How to Report Airdrop Income in Spain: Complete Tax Guide 2024

## Introduction to Airdrop Taxation in Spain

Cryptocurrency airdrops – free distributions of tokens to wallet holders – have become popular in Spain’s digital asset landscape. However, many recipients overlook a critical fact: The Spanish Tax Agency (Agencia Tributaria) treats airdrops as taxable income. Failure to properly declare these assets in your annual tax return (Declaración de la Renta) can lead to penalties, interest charges, or audits. This guide explains Spain’s airdrop tax rules, step-by-step reporting procedures, and common pitfalls to avoid.

## Understanding Airdrop Tax Rules in Spain

Under Spanish tax law, airdrops are classified as **rendimientos del capital mobiliario** (income from movable capital). Key principles:

– **Taxable Event**: Income is recognized when tokens are received and controllable in your wallet
– **Valuation**: Use the token’s market value in euros at reception time
– **Tax Rate**: Added to your total income and taxed at progressive IRPF rates (19%-47%)
– **Reporting Threshold**: All airdrops must be declared regardless of value

Note: Subsequent token sales trigger separate capital gains/losses calculations under Modelo 720 rules.

## Step-by-Step Guide to Reporting Airdrop Income

Follow this process for accurate declaration:

1. **Document Reception Details**
– Date and time of airdrop
– Token name and quantity received
– Wallet address and transaction ID

2. **Determine Market Value**
– Use exchange rates from reputable platforms (CoinMarketCap, CoinGecko) at exact reception time
– Convert value to euros using ECB exchange rates if needed

3. **Classify Income Type**
– Report under Box 2 (Rendimientos del capital mobiliario) on Form 100
– Code 06 (“Otros rendimientos de capital mobiliario”)

4. **Calculate Taxable Amount**
– Total all airdrop values received during the tax year
– No deductions allowed unless directly related acquisition costs exist

5. **File Through Correct Channels**
– Online via Agencia Tributaria’s website (Renta WEB)
– Physical forms for non-resident taxpayers
– Deadline: Typically April-June following the tax year

## Common Reporting Mistakes to Avoid

Steer clear of these frequent errors:

– **Assuming small airdrops are tax-exempt** (Spain has no minimum threshold)
– **Using incorrect valuation dates** (must be reception date, not sale date)
– **Neglecting to report airdrops from decentralized protocols** (DeFi, DAOs)
– **Forgetting foreign airdrops** (all global crypto income must be declared)
– **Poor record-keeping** – maintain spreadsheets with:
– Transaction timestamps
– Screenshots of wallet balances
– Exchange rate documentation

## Frequently Asked Questions (FAQ)

### Are all cryptocurrency airdrops taxable in Spain?
Yes. The Agencia Tributaria considers any token distribution to controlled wallets as taxable income, regardless of project origin or token utility.

### How do I value airdropped tokens with no immediate market price?
Use the first verifiable market price after reception. If unavailable for >72 hours, consult a tax professional for valuation methods.

### What if I received an airdrop but never accessed the tokens?
Tax liability still applies once tokens are technically controllable in your wallet, even if unclaimed.

### Do I pay taxes again when selling airdropped tokens?
Yes. Sales trigger capital gains tax calculations based on:
(Sale Price – Reception Value) – Allowable Expenses

### Can I offset airdrop income with crypto losses?
Only capital losses from asset sales can offset gains. Airdrop income itself cannot be reduced by losses.

### How long should I keep airdrop records?
Maintain documentation for 5 years (statute of limitations for tax audits).

## Final Considerations

Spain’s crypto tax landscape evolves rapidly. Monitor Agencia Tributaria guidelines for updates, especially regarding NFT airdrops and staking rewards. For complex cases involving large sums or multiple tokens, consult a Spanish tax advisor specializing in cryptocurrency. Proper reporting avoids penalties up to 150% of owed tax plus interest. Stay compliant by treating airdrops as taxable events from the moment they hit your wallet.