Overview
This document provides an overview of how the Spanish Financial Transaction Tax (FTT) will be handled by Interactive Brokers.
Effective January 16, 2021, a new tax will be implemented on the purchase of certain Spanish securities.
Tax Rate
The announced tax is 0.20%.
Scope
The FTT will be applied to shares of Spanish companies whose market capitalisation exceeds EUR 1,000 million as of December 1 of the year preceding the year that the acquisition takes place. The shares must have been admitted to trading on a regulated market which may be the Spanish market, a market of another European Union Member state or an equivalent market in a third country. The Spanish Ministry of Finance will publish a list of Spanish companies with a market cap exceeding this threshold by December 31 each year. The Ministry of Finance will review and republish the list the first month the FTT is in place.
The following cases are subject to the Spanish FTT:
Accrual
Tax becomes payable on the settlement date of the transaction
Tax Base
There will be a special calculation for intra-day transactions. Therefore, only the net settlement will be taxed.