Nowadays, a part of the population has opted for do without the use of cashDigital payments have gradually replaced the use of bills and coins. Many everyday needs can be met with debit, credit, and prepaid cards. online shopping and dozens of apps mobile phones compatible with smartphones.
It is possible to make any type of payment in physical stores and online, and even file the Income Tax Return, through telematic meansOf course, this option offers significant advantages such as speed, convenience, security, and improved money traceability.
However, although paying with cash has lost relevance, Cash is still appreciated by those who prefer more traditional methods, distrust or They are unaware of new technologiess. It is also important for certain communities in rural settings, older people, or people with disabilities that make it difficult for them to use digital methods.
Cash will always be important
There always has been, there is and there always will be people who choose not to adapt to changes and continue to use banknotes and coins to pay and collect for goods and services. This was done in the past and will continue to be done for some time to come.
Many of these people also They prefer to keep a certain amount of money at home. The reasons for doing so range from dealing with unforeseen events, not trusting banking systems, living in rural areas with technological limitations, or because it gives them greater feeling of security.
This is what is commonly It is known as keeping money "under the mattress" And it comes precisely from past times when banks were not accessible to the majority of the population. Obviously, the number of banked people in society is immense. Added to this is the variety of digital wallets and mobile platforms that we can link to our financial products for greater convenience.
The other side of “keeping money under the mattress”
Have cash at home In significant quantities it is a practice that can have its benefits, but also numerous drawbacksOne of the greatest dangers is the robberyIf an intruder breaks into our home, they can take our reserve.
In case of natural disasters such as earthquakes, floods or if it is a fire or similar, having cash may not be so attractive, since we run the risk of losing it just when you might need it most to deal with contingencies.
Banks also offer financial products that allow us to earn returns And if we have the cash at home, it doesn't generate any profit. If there is inflation the lack of financial profits could be felt even more.
On the other hand, if large quantities are involved, there may be tax and financial implications. It is also impractical for use in high volumes.
Is it legal?
Saving money at home, whether by an individual or a family, It is a completely legal practice. But, it is important to keep in mind that the tax authorities usually monitor closely the use of this money, as it is frequently associated with the underground economy, a significant challenge for many countries.
Regarding the amount of cash allowed at home, some people wonder if there's a legally permitted limit. The answer is clear: There is no maximum amount established to keep outside a bank. However, this does not imply comply with the provisions of tax regulations, so the origin of the money must be properly declared.
Cash and Income Tax Return
The most appropriate way to justify the origin of the money you have at home and avoid legal problems with the Treasury is to include it in the Income Tax Return. To do this, we must know that the campaign will begin on April 2nd.
To make the declaration, the person who owns a specific sum of money must review the draft and verify that this money is reflected in the income obtained during the fiscal year which is declared. In addition, its origin must be specified.
In this case you must detail whether it comes from your salary as an employee, income as a self-employed person, the return on real estate capital or furniture, capital gains and even lottery and gambling prizes.
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Don't try to cheat the Treasury
The Tax Agency has various mechanisms to monitor Cash handling. In other words, deceiving this public entity isn't as easy as one might think. One of the methods used by authorities to maintain this control is collaboration with banking institutions.
These financial companies are legally bound to report movements related to 500 euro bills or transactions involving income orcash withdrawals exceeding 3.000 euros.
This obligation of banks is established in the General Tax Law, specifically in its article 93 which states that financial institutions must provide "All types of data, reports, background information, and supporting documents relevant to tax matters related to the fulfillment of their own tax obligations or arising from their economic, professional, or financial relationships with third parties."
INVITE AND WINEn este sentido, There is no problem in saving the amount of money you want at home, as long as you file your tax return properly with the Treasury. It's essential to provide all the necessary information to avoid legal problems. If you fail to declare a significant amount of money, Tax Agency stipule fines of up to 150.000 euros.
Added to this, It is prudent to avoid unnecessary risks or undesirable situations that may occur if third parties become aware that you have a existence of cash in the home, as you could be a target for robbery.
