Form 347. Annual tax return transactions with third parties.

What is Form 347?

An informative tax is presented each year, detailing the total volume of transactions with your main clients and suppliers to the Tax Agency.

Both clients and suppliers have to provide this information to the Tax Agency. Therefore, they can compare the data received and determine if there are any significant differences.

An example could be that your client declared that he has invoices for a higher total amount than what appears on your Form 347. The Tax Agency will likely send a data request to clarify the difference in that case.

Who has to present Form 347?

All freelancers and companies must submit the Tax Agency Form 347 whenever they have a total of income or expense invoices for an amount larger than €3,005.06, including VAT, with any of their clients or suppliers. If the amount was negative (credit note for previous invoices) and larger than -€3,005.06, it must also be reported.

What transactions are declared in Form 347?

All deliveries and acquisitions of goods and services are declared in Form 347, even those that do not have VAT, such as “Inversión Sujeto Pasivo” (VAT reverse charge) or grants received from Administrations.

Transactions already reported to the Tax Agency in other informational forms (180, 190, 193, 349), such as rental or professional with tax withheld and intra-community invoices, should be excluded. 

Nor do they have to include amounts paid for insurance policies, Social Security freelancer receipts or local taxes such as IBI or IAE.

How is Form 347 prepared?

For each client or supplier, a record must be filled out detailing the volume of transactions for each quarter and general identification data (name/company name, NIF, province). It is even possible for the same company/self-employed person to have two separate records in Form 347 if they are both our client and supplier.

As with the rest of the informative taxes, I always file my clients’ Form 347 online.

What is the deadline for submitting Form 347?

The filing period for Form 347 begins on January 1 of the following year and ends on the last day of February.

When February 28 or 29 falls on a Saturday/Sunday, the end date to submit Form 347 will be the following Monday.