1. Anyone who, through action or omission, defrauds the Social Security system by evading the payment of contributions and jointly collected levies, improperly obtaining refunds thereof, or improperly claiming deductions of any kind, shall be punished with imprisonment for one to five years and a fine of one to six times the amount defrauded, provided that the amount of the contributions evaded or the improper refunds or deductions exceeds fifty thousand euros, unless they have regularized their situation with the Social Security system in accordance with paragraph 3 of this article.
The mere presentation of contribution documents does not preclude fraud when it is proven by other facts.
In addition to the aforementioned penalties, the offender shall be barred from receiving public subsidies or aid and from enjoying tax or Social Security benefits or incentives for a period of three to six years.
2. For the purposes of determining the amount mentioned in the preceding section, the total amount defrauded during four calendar years shall be considered.
3. The situation with the Social Security system shall be considered regularized when the obligor has fully acknowledged and paid the debt before being notified of the initiation of inspection proceedings aimed at determining said debts or, if such proceedings have not taken place, before the Public Prosecutor or the Social Security Legal Counsel files a complaint or report against the obligor or before the Public Prosecutor or the Investigating Judge takes actions that allow them to have formal knowledge of the initiation of proceedings.
Likewise, the effects of the regularization provided for in the preceding paragraph shall apply when debts to the Social Security system are paid after the Administration's right to determine them through administrative channels has expired.
Regularizing one's situation with the Social Security system will prevent the individual from being prosecuted for any accounting irregularities or other falsifications that, solely in relation to the debt being regularized, they may have committed prior to regularizing their situation.
4. The existence of criminal proceedings for an offense against the Social Security system will not suspend the administrative procedure for the assessment and collection of the debt owed to the Social Security system, unless the Judge orders otherwise upon the provision of a guarantee. If a guarantee cannot be provided in whole or in part, the Judge may, exceptionally, order the suspension with full or partial waiver of the guarantees, if they determine that enforcement could cause irreparable or very difficult-to-repair damage. The administrative assessment will ultimately be adjusted to the decision reached in the criminal proceedings.
5. Judges and courts may impose a penalty one or two degrees lower on the person liable to Social Security or the perpetrator of the crime, provided that, within two months of being summoned to court as a defendant, they settle the debt with Social Security and judicially acknowledge the facts. The foregoing shall also apply to other participants in the crime, other than the debtor to Social Security or the perpetrator, when they actively collaborate in obtaining decisive evidence for the identification or capture of other responsible parties, for the complete clarification of the criminal acts, or for ascertaining the assets of the person liable to Social Security or of other responsible parties.
6. In proceedings for the offense contemplated in this article, for the execution of the fine and civil liability, which shall include the amount of the debt to Social Security that the Administration has not settled due to prescription or other legal cause, including its late payment interest, the Judges and Courts shall request the assistance of the Social Security Administration services, which shall demand them by the administrative enforcement procedure.