Tax Newsletter - July 2019 | Legislation

Amendment of a number of rules on keeping personal income tax records

The July 17, 2019 issue of the Official State Gazette (BOE) published Order HAC/773/2019 of June 28, 2019 on keeping personal income tax records, which has revised the formal, accounting and registration obligations for personal income taxpayers who are traders or professionals.

The main new change is the need, in notes added to record books for sales and revenues and purchases and costs, to state the taxpayer identification number of the other party to the transaction.

On its website, AEAT will publish a standard format for record books.

The order came into force on July 18, 2019, and will apply to notes added to record books for 2020 and the following years.

Publication of the annual equivalent rate for the third calendar quarter of 2019, for the purpose of characterizing certain financial assets for tax purposes

On June 28, 2019 the Official State Gazette (BOE) published the decision of June 26, 2019, by the Office of the General Secretary for the Treasury and Financial Policy, which, as is now the custom, sets out the reference rates that will apply for the calculation of the annual effective interest rate for the purposes of characterizing certain financial assets for tax purposes, this time for the third calendar quarter of 2019. The rates are as follows:

• Financial assets with terms of four years or less: -0.326 percent.
• Assets with terms between four and seven years: -0.146 percent.
• Assets with ten-year terms: 0.671 percent.
• Assets with fifteen-year terms: 0.706 percent.
• Assets with thirty-year terms: 1.695 percent.

In all other cases, the reference rate for the period closest to the period when the issuance is made will be applicable.