Spain's anti-money laundering rules have undergone their most significant revision in years. Regulators have extended the scope of obligated entities, tightened beneficial ownership disclosure requirements, and introduced stricter timelines for customer due diligence. Companies that fail to act before the compliance deadlines face administrative sanctions, restrictions on bank account opening, and potential suspension of business licences.
Spain's updated anti-money laundering legislation, effective from the first quarter of 2025, expands the categories of obligated entities and introduces enhanced KYC obligations for companies with international ownership structures. Businesses must verify and register beneficial owner data within prescribed deadlines or face significant administrative penalties. The Tribunal Supremo (Supreme Court of Spain) has consistently upheld enforcement decisions by the supervisory authority, Sepblac (Spain's anti-money laundering supervisory body), underscoring the seriousness of non-compliance.
This alert outlines the regulatory changes, identifies which business categories are directly affected, and sets out the immediate steps that international companies operating in Spain must take now.
What has changed and when it takes effect
Spain's AML legislative regime has been updated through amendments to the existing body of law governing the prevention of money laundering and terrorist financing. The revisions align Spanish rules more closely with the Fourth and Fifth EU Anti-Money Laundering Directives and reflect guidance issued by the Financial Action Task Force.
The core changes cover four areas. First, the definition of obligated entities has been broadened. It now expressly captures technology platforms facilitating payment services, crypto-asset service providers, real estate intermediaries acting on behalf of third parties, and professional service firms advising on corporate structuring. Second, beneficial owner identification thresholds have been tightened. Previously, ownership above a certain percentage triggered disclosure; the revised rules require full mapping of ownership and control chains regardless of individual shareholding levels where indirect control exists. Third, enhanced due diligence is now mandatory for any customer relationship involving a Sociedad Anónima (SA – Spanish public limited company) or Sociedad Limitada (SL – Spanish private limited company) with non-resident shareholders or directors. Fourth, the timeline for filing updated beneficial ownership records with the Registro Mercantil (Spanish Commercial Register) has been reduced.
These changes took effect progressively from January 2025, with full enforcement applicable from 1 April 2025 across all obligated entities.
Which businesses are affected and what thresholds apply
The updated obligations apply to a wide range of entities operating in Spain. Businesses should assess their position against the following categories.
- Financial institutions, including banks, payment institutions, and electronic money issuers engaged in correspondent banking or cross-border credit facility arrangements
- Real estate agents, developers, and legal professionals who handle the execution of a Notario (Spanish civil law notary)-certified property transaction above a defined threshold
- Corporate service providers, auditors, accountants, and tax advisers who assist in forming or managing Spanish companies
- Crypto-asset service providers registered or operating in Spain
- Holding companies and investment vehicles with beneficial owners resident outside Spain or in high-risk jurisdictions identified on EU and FATF lists
The threshold for enhanced due diligence in the corporate context is triggered where a company's ultimate beneficial owner cannot be identified at the first level of ownership. In practice, this affects the overwhelming majority of internationally structured groups operating through a Spanish SA or SL. Any entity where the chain of control passes through two or more intermediate holding companies must now document the full ownership structure and certify it to their Spanish bank and, where relevant, to Sepblac.
Correspondent banking relationships and credit facility applications are particularly exposed. Spanish credit institutions are required to apply enhanced KYC procedures to all incoming correspondent requests and to re-screen existing relationships against the updated beneficial owner register before 30 June 2025.
For a broader overview of banking and finance compliance obligations for companies in Spain, see our dedicated service page on banking and finance law in Spain.
To discuss whether your company falls within the updated AML scope in Spain, contact us at info@ferrazwhitmore.com for a preliminary review.
Immediate actions for international companies
International companies with a Spanish presence, banking relationship, or regulated activity must act before the April and June 2025 deadlines. The following steps are time-sensitive.
1. Map your beneficial ownership structure now. Identify every individual who ultimately owns or controls your Spanish entity, directly or indirectly. Document the full chain of ownership, including intermediate holding companies. This mapping must be consistent with records held at the Registro Mercantil and presented to your bank on request.
2. Update Registro Mercantil filings. If your beneficial ownership data has not been refreshed within the last 12 months, file an update immediately. Outdated or incomplete registry entries are a primary trigger for Sepblac enforcement action and can block bank account opening procedures.
3. Prepare a KYC file for each Spanish entity. Assemble certified corporate documents, beneficial owner declarations, and source-of-funds evidence. Spanish banks are required to request this documentation before 30 June 2025 for all existing corporate customers. Having a complete file ready avoids delays in banking access and credit facility reviews.
4. Review correspondent banking and cross-border payment arrangements. If your group operates intra-group flows through Spain, assess whether any arrangement qualifies as correspondent banking under the updated rules. Enhanced due diligence requirements apply immediately. Delays in responding to bank requests under the new rules can result in account suspension.
5. Appoint or confirm your AML compliance officer. Spanish law requires obligated entities to designate a responsible person for AML compliance. For entities newly captured by the expanded definition, this appointment must be formalised and notified to Sepblac before the end of Q2 2025. Failure to do so is treated as a serious administrative infraction under Spanish banking and finance legislation.
Companies entering the Spanish capital markets or considering issuance structures should also be aware that AML compliance forms part of the regulatory gateway for those transactions. Our analysis of capital markets law in Spain sets out the disclosure obligations that interact with these AML requirements.
For companies that have recently undergone restructuring or ownership changes, a parallel review of AML obligations in neighbouring jurisdictions may also be necessary. Our alert covering AML updates in Portugal addresses similar changes affecting Portuguese entities.
About Ferraz & Whitmore
Ferraz & Whitmore is an international law firm based in Lisbon, advising business clients across 46 jurisdictions. Our banking and finance practice supports international companies managing AML compliance, KYC procedures, beneficial owner registration, and regulatory engagement in Spain and across the EU. As a law firm in Spain and Portugal with dual civil law and common law expertise, we advise both in-house legal teams and executive management on compliance obligations that cut across multiple legal systems. Our attorneys have experience before Spanish regulatory authorities and have advised on correspondent banking and credit facility structuring across both common law and civil law jurisdictions. Engaging a lawyer in Spain with cross-border AML experience is increasingly essential as enforcement timelines shorten. To receive an expert assessment of your AML compliance position in Spain, contact us at info@ferrazwhitmore.com.
Disclaimer: This publication is provided for informational purposes only and does not constitute legal advice. The information herein should not be relied upon as a substitute for professional legal counsel tailored to your specific circumstances. Ferraz & Whitmore assumes no liability for actions taken or not taken based on the contents of this material. For advice regarding your particular situation, please contact info@ferrazwhitmore.com.