Pay your share of dinner, a gift, a trip or even pay ‘the allowance’ to your children. Today, the use of Bizum It is completely extended in Spain for personal transactions. In fact, the number of users already reaches 27 million in our country, according to the latest analysis by the Funcas think tank. However, although many think otherwise, sending instant money through this platform is not exempt from taxes in the eyes of the Treasury or the Tax Agency.
How much money should I declare payments for Bizum?
If a taxpayer receives more than 10,000 euros per year through Bizum, they are obliged to include that amount in their income tax return.. Furthermore, any taxpayer who receives income through Bizum must declare it in the case of income subject to taxation, regardless of whether or not it exceeds 10,000 euros.
Failure to comply with this regulation may result in fines ranging between 600 euros and 50% of the undeclared amountdepending on the seriousness of the infraction, as stated in Law 58/2003.
In the case of the self-employed workersthe regulations are clear: All income received, regardless of the means of payment, must be declared as income from economic activities in personal income tax. This includes payments made through Bizum, as stipulated in Article 27 of the Personal Income Tax Law.
According to Law 20/2007 of the Statute of Self-Employed Work, Self-employed persons must record all income derived from their economic activitywhether by bank transfer, cash payments or platforms like Bizum. In addition, experts recommend that self-employed people use separate telephone numbers for their professional and personal activities, thus facilitating the correct management of their accounts.
Bizum as a tool to collect rent
For lessors, Royal Legislative Decree 3/2004, in its regulation of real estate capital returns, establishes that Any income received as payment for rent must be declared in the personal income tax base.. This includes payments made through Bizum. Failure to comply with this obligation could be considered a serious infraction according to the General Tax Law.