Freedom24: which report for Modelo 720 and Spanish income tax
Freedom24 is a foreign broker: securities and cash held outside Spain. Modelo 720 applies if a group goes over €50,000. Which report for the 720 and for Renta.
The ideas in this guide are there to explain why Freedom24 belongs on Modelo 720 and what goes on Renta. With Aitax you upload the documents: the AI takes care of the heavy lifting. You check that the figures are right. If a question comes up, you ask the specialised AI, trained on the law as it stands.
Freedom24 is a foreign broker, and its securities and cash are held outside Spain. You will have to file Modelo 720 if, at 31 December, the group of foreign accounts or the group of foreign securities goes over €50,000. You add up all brokers, not Freedom24 alone, and the total is done by group. The detail, with examples, is in the threshold guide.
Spanish income tax (Renta / Modelo 100) is a different tax return. On that one you declare the gains and losses on investments you made during the year: sales, dividends, interest and withholding for the year.
Sources: Royal Decree 1065/2007, the Spanish Personal Income Tax Act (LIRPF), the AEAT Modelo 720 FAQ (Agencia Estatal de Administración Tributaria, Spain’s tax agency) and the Freedom Finance Europe Ltd general terms.
Which report to use for Modelo 720 and for Renta
Do not use the same document for both. Modelo 720 needs the portfolio as it stood at 31 December. Renta needs the history since you opened the account. At Freedom24 both come from the same kind of report: the Broker Report.
| What for | Report |
|---|---|
| 720: securities and cash | Broker Report (PDF or Excel at 31 December) |
| Renta (Modelo 100) | Broker Report for each year (buys, sells, dividends and withholding) |
What Modelo 720 asks for: where the securities and cash sit
At Freedom24 the usual picture is that the money and the shares sit in Cyprus, but that can change, so you should check it yourself or pass your reports to a tool like Aitax. The country that counts is where the securities and the cash are held, not the broker’s country and not the share’s.
Cash and shares go in separate groups. Each group has its own €50,000 limit. If you leave money parked on a term product at Freedom24, it counts as cash in the account, not as shares.
What Renta asks for: gains, dividends and withholding
A sale this year may rest on a purchase from three years ago. So Renta needs the history: buys, sells, dividends, interest and withholding, since you opened the account. That also includes interest from money parked on a term product.
Spanish law requires FIFO — first in, first out — to calculate capital gains and losses: the first share you bought is the first one treated as sold. If you use more than one broker, you have to line up in time every buy and sell of the same instrument — shares or ETFs — to get the real gain or loss. Aitax rebuilds that history and applies the other rules Hacienda requires, such as the two-month rule and European Central Bank currency conversions. How it orders the purchases · Why the draft leaves out foreign brokers.
What Aitax does with those reports
Aitax reads your reports and rebuilds the full history: buys, sells, dividends, interest and withholding. It infers custodians, brokers, securities and so on, and calculates everything Hacienda requires on each return. You simply upload the documents to Aitax, review, and file your return with Hacienda — all in minutes.
Frequently asked questions
Does uninvested cash at Freedom24 have to be reported?
Yes, if your foreign accounts go over €50,000. It sits with a company in Cyprus. Money you leave parked on a term product counts the same: as cash in that account, not as shares.
Can I use the same report for Modelo 720 and for Renta?
The same kind (Broker Report), not the same file. The 720 uses the 31 December snapshot. Renta needs the history since you opened the account so FIFO across brokers can be calculated and rules such as the two-month rule can be applied.
Are Freedom24 cash and shares held in Spain?
No. In principle the custodian is usually Cyprus, but that can change case by case — best to use software like Aitax for your specific situation.
Do my Freedom24 dividends appear on the Spanish tax draft?
No. Freedom24 is not a Spanish broker, and Hacienda’s draft does not include those accounts.
How to prepare Modelo 720 and Renta with Aitax
With Aitax you upload your Freedom24 statements. You get the document ready for Hacienda, with gains, dividends and withholding already calculated at the European Central Bank rate. You review the result, then file it on the AEAT site.
Ready for Modelo 720?
Upload your statements and generate the file for Hacienda.
Related guides
Back to guides- How to declare foreign brokers in Form 720Specific guide for investors using foreign brokers.
- Trade Republic and Modelo 720: Spanish IBAN, securities and 31 DecemberA Spanish-IBAN cash account stays off Modelo 720. ETFs are not decided by the IBAN. What to read on the statement before 31 December, and what belongs on Modelo 721.
- Modelo 720 threshold: from what amount must you file?When Modelo 720 applies (~€50,000 per block), what counts as foreign assets, and what goes on Modelo 721.