The Treasury has a limit for Bizum transfers. If exceeded and not declared, there may be a (big) fine

  • 13

Bizum has become the WhatsApp of interpersonal mobile payments despite its rivals. The system supported by the Spanish banks themselves already has 22 million users It allows you to make electronic transfers and is fast and comfortable, but it has its limits. The Tax Agency in fact makes it very clear that we will not be able to use it to transfer large sums of money.

Bizum has limits. The service changed conditions in the summer of 2021, and it was then that the current limitations were established. Thus, the number of transfers that we can receive per month is 60 (before it was 150). Of course, we can send money as many times as we want, and in each operation we can according to BBVA send from 0.5 euros to 500 euros, with a maximum of 1,200 euros per day and 5,000 euros per month. These amounts may vary slightly between different banking entities, and as they explain in XatakaMobile some allow you to send and receive up to 2,000 euros.

Bizum: what it is, how it works and compatible banks

Treasury Limits. Although all those transfers that we make in Bizum are subject to controls and reviews —be careful with the jokes in the concepts that we use for these movements, by the way—, the limit of money that we can receive without being obliged to give an account is 9,999 euros.

So the General Tax Law specifies that from transfers of 10,000 euros we will have to specifically declare this movement, which we will do through a payment model S-1 (before the movement of money is made) that we can complete from a Treasury office or electronically.

10,000 or 100,000? Roams experts indicate that according to Law 10/2010 of April 28 in its article 34 actually specifies that “the maximum limit of money that can be transferred without declaring is 100,000 euros for transfers within Spain or 10,000 euros (or the equivalent in foreign currency) if it is about international transfers. If these limits are exceeded there is to present the S1 model Banks like ING also they try to explain what is the maximum transfer that can be made without declaring it.

Penalty fee. Penalties for failing to comply with this requirement start at 600 euros, with their relevant surcharges, or up to 50% of the value of the amount sent. In the case of 10,000 euros that exceed the allowed limit, we are talking about a 5,000-euro fine, an amount more than enough so that no one forgets to notify those payments through Bizum on time.

Fight against fraud. A private user may be in this case and have to declare these movements when they receive more than 10,000 euros, but the measure —which joins others to prevent fraud— is specially designed for online commerce companies and freelancers who do accept this payment method could end up receiving more than that amount.

A measure (especially) for entrepreneurs and freelancers. Thus, the measure of declaring income that applies to other types of transfers (or cash payments) also applies to receiving money through Bizum. Although the service is designed for small transactions, its use between businessmen and freelancers means that the same terms are applied as for other income: it must be declared, even if that income is only one euro cent.

Bizum has become the WhatsApp of interpersonal mobile payments despite its rivals. The system supported by the Spanish banks themselves…

Bizum has become the WhatsApp of interpersonal mobile payments despite its rivals. The system supported by the Spanish banks themselves…

Leave a Reply

Your email address will not be published.