{"id":4940,"date":"2020-09-07T15:55:44","date_gmt":"2020-09-07T13:55:44","guid":{"rendered":"https:\/\/entretramites.com\/en\/?p=4940"},"modified":"2023-03-21T18:40:50","modified_gmt":"2023-03-21T17:40:50","slug":"what-are-annual-accounts","status":"publish","type":"post","link":"https:\/\/entretramites.com\/en\/accounting\/what-are-annual-accounts","title":{"rendered":"What Are Annual Accounts? Everything You Need to Know"},"content":{"rendered":"\n<p><a href=\"https:\/\/entretramites.com\/en\/accounting\/all-about-annual-accounts\"><strong>Annual accounts<\/strong><\/a> are a set of financial documents that reflect a company&#8217;s economic situation over the course of a fiscal year. In Spain, preparing and submitting these reports is mandatory for most companies and essential to demonstrate transparency, financial health, and legal compliance.<\/p>\n\n\n\n<p>Whether you&#8217;re an entrepreneur, a director, or an investor, understanding what annual accounts are, who must file them, and the key deadlines in 2025 is crucial to avoid penalties and manage your business properly in Spain.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>What Are Annual Accounts?<\/strong><\/h2>\n\n\n\n<p>Annual accounts are structured financial statements that provide insight into a company\u2019s assets, liabilities, earnings, and overall financial performance during a fiscal year.<\/p>\n\n\n\n<p>In Spain, <strong>annual accounts<\/strong> consist of the following documents:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\"><strong>Balance sheet<\/strong>: Shows the company\u2019s assets, liabilities, and equity.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Profit and loss account<\/strong>: Details income, expenses, and net result.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Statement of changes in equity<\/strong>: Reports variations in shareholders\u2019 equity.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Cash flow statement<\/strong>: Explains cash movements within the year.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Annual report (Memoria)<\/strong>: Provides additional context and details.<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>These documents must be drawn up every 12 months (unless there&#8217;s an early company dissolution) and signed by the company director(s), who are responsible for their accuracy.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>Who Must File Annual Accounts in Spain?<\/strong><\/h2>\n\n\n\n<p>As of 2025, the following entities are required to submit <strong>annual accounts<\/strong>:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\">Public Limited Companies (S.A.)<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Limited Liability Companies (S.L.)<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">General and Limited Partnerships<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Cooperatives<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Branches of foreign companies operating in Spain<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Some foundations and associations, depending on activity and turnover<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p><strong>Sole traders<\/strong> are also obliged to file annual accounts if they exceed two of these thresholds for two consecutive years:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\">Total assets over \u20ac4 million<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Annual turnover over \u20ac8 million<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">More than 50 employees on average<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p><strong>Important:<\/strong><em> These thresholds have been updated in line with the 2024 legal reforms.<\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>Key Deadlines for 2025<\/strong><\/h2>\n\n\n\n<p>Here are the <a href=\"https:\/\/sede.agenciatributaria.gob.es\/Sede\/en_gb\/impuesto-sobre-sociedades\/gestion-impuesto-sobre-sociedades\/plazos-presentacion.html\" rel=\"nofollow noopener\" target=\"_blank\"><strong>official 2025 deadlines<\/strong><\/a> for submitting annual accounts:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\"><strong>Fiscal year-end<\/strong>: 31 December 2024<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Preparation of accounts<\/strong>: by 31 March 2025<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Legalisation of accounting books<\/strong>: by 30 April 2025<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Approval by shareholders<\/strong>: by 30 June 2025<br><\/li>\n\n\n\n<li style=\"margin-top:10px\"><strong>Filing with the Mercantile Registry<\/strong>: by 30 July 2025<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>If the accounts are approved earlier, the filing deadline starts from the approval date.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>Types of Annual Accounts Depending on Business Size<\/strong><\/h2>\n\n\n\n<p>Spanish regulations allow different formats of <strong>annual accounts<\/strong> based on company size:<\/p>\n\n\n\n<p><strong>Ordinary Annual Accounts<\/strong><strong><br><\/strong> Full version with all five reports, mandatory for large companies.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><strong>Abbreviated Annual Accounts<\/strong><strong><br><\/strong> Available for companies that meet at least two of the following for two years:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\">Assets \u2264 \u20ac4 million<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Turnover \u2264 \u20ac8 million<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">\u2264 50 employees<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>Only the balance sheet, profit and loss account, and abbreviated annual report are required.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><strong>SME Annual Accounts<\/strong><strong><br><\/strong> Designed for small businesses that don\u2019t belong to a large group and don\u2019t trade on stock markets.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><strong>Microenterprise Annual Accounts<\/strong><strong><br><\/strong> For companies with:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\">Assets \u2264 \u20ac350,000<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Turnover \u2264 \u20ac700,000<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">\u2264 10 employees<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>A highly simplified format is accepted.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>How to Submit Annual Accounts<\/strong><\/h2>\n\n\n\n<p>In Spain, <strong>annual accounts<\/strong> must be filed electronically through the Colegio de Registradores platform.<\/p>\n\n\n\n<p>You\u2019ll need to:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li style=\"margin-top:10px\">Prepare the documents in digital format (PDF or ZIP as required).<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Sign them using a valid digital certificate.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Access the relevant Mercantile Registry\u2019s electronic office in Spanish <a href=\"https:\/\/www.registradores.org\/el-colegio\/registro-mercantil\" rel=\"nofollow noopener\" target=\"_blank\"><strong>Registro Mercantil<\/strong><\/a>.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Complete the guided online submission process.<br><\/li>\n<\/ol>\n\n\n\n<p><\/p>\n\n\n\n<p>Failing to file annual accounts may result in fines from \u20ac1,200 to \u20ac60,000 and even lead to a company registry block (which prevents registering changes such as new directors).<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>What If There Are Errors in the Filed Accounts?<\/strong><\/h2>\n\n\n\n<p>If you find errors after submitting your <strong>annual accounts<\/strong>, you must:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"margin-top:10px\">Hold a new shareholders\u2019 meeting to approve the revised accounts.<br><\/li>\n\n\n\n<li style=\"margin-top:10px\">Submit rectified annual accounts to the Mercantile Registry.<br><\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<p>Serious errors\u2014such as falsified data or missing key details\u2014can lead to investigations, penalties, or legal consequences for company directors.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"margin-top:40px\"><strong>FAQs About Annual Accounts in Spain<\/strong><\/h2>\n\n\n\n<p style=\"margin-top:10px\"><strong>What happens if I miss the deadline?<\/strong><strong><br><\/strong> You could face financial penalties and be blocked from updating your company\u2019s registry data.<\/p>\n\n\n\n<p style=\"margin-top:10px\"><strong>Do I always need to include the cash flow statement?<\/strong><strong><br><\/strong> Only if your company is not eligible to submit abbreviated annual accounts.<\/p>\n\n\n\n<p style=\"margin-top:10px\"><strong>Can I correct a mistake after submitting?<\/strong><strong><br><\/strong> Yes. You must prepare revised documents, approve them again in a general meeting, and re-submit them.<\/p>\n\n\n\n<p style=\"margin-top:40px\">Understanding and correctly managing your <strong>annual accounts<\/strong> is not just a legal obligation\u2014it\u2019s a valuable tool for strategic decision-making and protecting your company\u2019s reputation. At <a href=\"https:\/\/entretramites.com\/en\/\"><strong>Entre Tr\u00e1mites,<\/strong><\/a> we help you meet your tax obligations simply and stress-free. We offer specialized services in tax returns, tax advice, and accounting for both freelancers and individuals.<\/p>\n\n\n\n<p style=\"margin-top:30px\">You can also contact us directly through this<a href=\"https:\/\/entretramites.com\/en\/contact\"> <strong>contact Form<\/strong><\/a> for us to call you, or if you prefer, you can<a href=\"https:\/\/entretramites.com\/en\/consultancy\/free-tax-consultation\"> <strong>schedule a free consultation<\/strong><\/a> or write to us on<a href=\"https:\/\/api.whatsapp.com\/send\/?phone=34644034481&amp;text=Hola%21+Quisiera+saber+m%C3%A1s+sobre+sus+servicios&amp;type=phone_number&amp;app_absent=0\" rel=\"nofollow noopener\" target=\"_blank\"> <strong>WhatsApp<\/strong><\/a>. We&#8217;re here to make the process easier for you!<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Annual accounts in Spain: who must file, deadlines, types of accounts and how to submit them correctly<\/p>\n","protected":false},"author":3,"featured_media":51424,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[400],"class_list":["post-4940","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-accounting","tag-mercantile-registry"],"acf":[],"_links":{"self":[{"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/posts\/4940","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/comments?post=4940"}],"version-history":[{"count":7,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/posts\/4940\/revisions"}],"predecessor-version":[{"id":50970,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/posts\/4940\/revisions\/50970"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/media\/51424"}],"wp:attachment":[{"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/media?parent=4940"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/categories?post=4940"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/entretramites.com\/en\/wp-json\/wp\/v2\/tags?post=4940"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}