D4-form of foreign participation in Spain

By: Transfer Business Administration Services Spain

All Spanish companies with foreign participation in companies and establishments are obliged to submit the D4-Form. The measure is an attempt by the Spanish government to control the assets and capital transactions between domestic companies and their holding companies and subsidiaries abroad.

The initiative to increase transparency requires companies to issue an annual report on the development of the investments of Spanish companies with foreign participation in companies and establishments. Moreover, general accounting and financial companies are obliged to publish information on:

  • The establishment of the business in Spain, (reporting)
  • The holding companies abroad (group)
  • The subsidiaries of the company in Spain (subsidiaries)

The deadline for submitting the report is nine months after the end of the financial year. However, it is customary to present them in the declaration of the corporate tax (Form 200). Although the statement is statistical, the companies are not exempted from publication. Fines for failure to meet the requirement are variable and depend on the activity and turnover of the company.

The focus is on ensuring the quality and effectiveness. Please contact us for more information on how we can help you with this time-consuming work.