{"id":15929,"date":"2025-09-23T18:32:23","date_gmt":"2025-09-23T16:32:23","guid":{"rendered":"https:\/\/www.white-baos.com\/?p=15929"},"modified":"2025-09-23T18:32:27","modified_gmt":"2025-09-23T16:32:27","slug":"gifting-money-to-family-members-joint-bank-account","status":"publish","type":"post","link":"https:\/\/www.white-baos.com\/en\/gifting-money-to-family-members-joint-bank-account\/","title":{"rendered":"Gifting money to family members. Joint bank account. Tax risks and planning. Legal advice."},"content":{"rendered":"\n
<\/p>\n\n\n\n
As we have emphasized in numerous articles, gifts between family members have surged in recent years. Real estate, cash, and other assets are increasingly transferred within families. This growth is largely due to the very favourable tax treatment offered in some regions of Spain, such as Andalusia or Valencia. Gifting money to family members may seem straightforward, but without proper planning<\/a>, there are risks that must be understood.<\/p>\n\n\n\n Under Valencian law, gifts between close relatives (parents, grandparents, children, or grandchildren) benefit from a 100.000\u20ac deduction. In addition, a 99% tax rebate<\/a> applies to the amount due. In other words, the tax payable by the recipient is almost non-existent or extremely low.<\/p>\n\n\n\n For instance, on a gift of 150.000\u20ac, with the deduction and tax rebate, the tax due would be approximately 50\u20ac. However, to claim these tax benefits, certain requirements must be met.<\/p>\n\n\n\n For the Tax Agency to recognize the tax benefits, the following conditions must be met:<\/p>\n\n\n\n .- The donation must be formalized in a public deed before a notary public<\/a>.<\/p>\n\n\n\n .- The tax must be filed within one month from the money transfer.<\/p>\n\n\n\n .- And the family relationship between donor and recipient must be proven (family book, birth certificate, etc.).<\/p>\n\n\n\n Failure to meet these requirements results in the loss of tax benefits, and the recipient will need to pay tax as if the gift was made between unrelated parties (Group IV).<\/p>\n\n\n\n When gifting money to family members, two key aspects are often overlooked:<\/p>\n\n\n\n .- Identifying the bank accounts<\/a> where the money comes from and where it is going (both must be listed in the public deed).<\/p>\n\n\n\n .- The importance of the \u201csource of funds,\u201d i.e., where the money originates (savings, sale of property, etc.).<\/p>\n\n\n\n Let\u2019s consider a very common scenario. A father makes a bank transfer to his son from a joint account he holds with another person. In this situation, the Tax Agency could require evidence that the money gifted belongs exclusively to the father. If this is not clearly proven, the authorities may interpret that the money belongs to both account holders. In other words, that half of the gift was made by the other joint holder of the bank account. This portion of the donation would not be eligible for tax benefits, which could have very negative consequences for the recipient. Following the example used before, the gift tax payable could be around 17.000\u20ac, instead of just 50\u20ac.<\/p>\n\n\n\n Currently, in the Valencian Region, gifting money to family members is highly incentivized. However, it is crucial to understand and meet the requirements to claim the applicable tax deductions and rebates<\/a>. When a gift is made from a joint bank account, careful planning and detailed review of each case are essential. If you wish to make or receive a monetary gift in Spain, White-Baos Lawyers can assist you\u2014do not hesitate to contact us<\/a>.<\/p>\n\n\n\n The information provided in this article is not intended to be legal advice but merely conveys information relating to legal issues.<\/p>\n\n\n\n Carlos Baos (Lawyer)<\/p>\n\n\n\n White & Baos.<\/p>\n\n\n\n Tel: +34 966 426 185<\/p>\n\n\n\n E-mail: info@white-baos.com<\/a><\/p>\n\n\n\n White & Baos 2025 \u2013 All Rights Reserved.<\/p>\n\n\n\n <\/p>\n\n\n\n As we have emphasized in numerous articles, gifts between family members have surged in recent years. Real estate, cash, and other assets are increasingly transferred within families. This growth is largely due to the very favourable tax treatment offered in some regions of Spain, such as Andalusia or Valencia. Gifting money to family members may […]<\/p>\nMoney Gifts in the Valencian Region.<\/u><\/strong><\/h2>\n\n\n\n
Formal Requirements to Apply Tax Benefits.<\/u><\/strong><\/h2>\n\n\n\n
Joint Bank Accounts and Source of Funds.<\/u><\/strong><\/h2>\n\n\n\n
Conclusions.<\/u><\/strong><\/h2>\n\n\n\n
You may be interested in the following services and articles:<\/h1>\n\n\n\n
How and When to Declare a Gift in Spain. Tax Benefits. Requirements. Documentation.<\/a><\/h2>\n\n\n\n
We explain when it\u2019s possible to request the suspension of the deadline for paying Inheritance and Gift Tax in Spain.<\/a>.<\/h2>\n\n\n\n
When is it necessary to declare in Spain, a gift received abroad?. Spanish Gift Tax. Tax Agency. Expert legal advice.<\/a><\/h2>\n","protected":false},"excerpt":{"rendered":"