LIVING IN SPAIN – PROPERTY AND FINANCE

DISCLAIMER: Information provided by or sponsored by other organisations is done so for the convenience of the enquirers. No member of the Federación of Age Concern España takes any responsibility for the competence or probity of any of the organisations below or for the consequence of any advice given to or action taken by the enquirer.

Property

GOV UK WEB

Buying A Property in Spain
Provided by GOV.UK
A guide on buying property in Spain produced by The British Embassy in Spain. Includes information on timeshares, equity release and properties effected by the 1988 coastal law, as well as general advice on purchasing a property.

 

GOV UK WEB

Letting A Property in Spain
Provided by GOV.UK
A basic guide on letting out your property in Spain produced by The British Embassy in Spain.

 

Taxes

If you are resident in Spain but receive income in the UK (such as interest on savings, rental income, dividends from shares etc) then you may need to declare your income to both the UK and Spanish tax authorities. A dual tax agreement exists between Spain and UK to ensure you are not taxed twice on the same income. We would advise you to consult a tax advisor or accountant if you are in any way unsure about your tax returns.

GOV UK WEB

Getting Your Tax Right If You Retire Abroad
Provided by GOV.UK
Information on what steps to take with the UK tax office to declare yourself non resident for tax purposes in the UK. Includes links to the P85 form you should complete to inform the UK tax authorities you have moved abroad.

 
 

HM_RevenueCustoms

UK Tax Authority’s Webpage on Income Tax for Non-Residents
Provided by the HM Revenue & Customs
Information on when you need to pay income tax in the UK if you are resident abroad. For further information please call the HMRC’s helplines on:

HMRC self assessment helpline: +44 161 931 9070
HMRC Non Residents income tax and capital gains enquiries: +44 135 535 9022

 

HM_RevenueCustoms

UK Tax Authority’s Webpage on Capital Gains Tax for Non-Residents
Provided by the HM Revenue & Customs
Information on your liability for UK Capital Gains tax if you sell a property or other assets in the UK whilst resident abroad. For further information please call the HMRC’s helplines on:

HMRC Non Residents income tax and capital gains enquiries: +44 135 535 9022

 

HM_RevenueCustoms

UK Non-Resident Landlord Scheme
Provided by the HM Revenue & Customs
If you receive rental income from a UK property whilst living abroad you must register yourself with the HMRC’s Non-Resident Landlord Scheme. If you have any questions on this scheme please contact the HMRC NRL helpline on +44 151 472 6208/6209

 

HM_RevenueCustoms

Protection Against Double Taxation
Provided by the HM Revenue & Customs
The UK and Spain have Double Taxation Agreement to prevent individuals and companies from being taxed twice on the same income. If you are being taxed twice then you can use this form to claim relief.

 

European Union Tax Database
Provided by the European Union
A database of taxes in the European Union. Select Spain for a description in English of the taxes that exist in Spain. A great introduction to Spanish taxes, but we advise you consult an accountant if you are unsure about your Spanish tax return.

 

agencia tributaria

Spanish Tax Authorities
Provided by the Agencia Tributaria
If you are resident in Spain you should declare all your income, no matter in which country it was paid, to the Spanish tax authorities. This is usually done via the ‘Declaracion de la Renta’ in May/June on the form ‘Modelo 100’.

If you have assets abroad such as property, savings accounts, stocks and shares, then you also may need to declare these to the Spanish Tax Authorities via the ‘Declaracion Informativa Sobre Bienes y Derechos Situados en el Extranjero’ using the form ‘modelo 720’ usually done in April.

Please note the two above taxes do not form an exhaustive list. Other taxes such as the wealth tax (Patrimonio) and taxes on the self employed (Autonamo) may also apply. We would strongly advise you to consult with a tax advisor or accountant. A list of all Spanish taxes can be found on the Agencia Tributaria website (link above), which has been partially translated into English, or on the Spanish tax calendar which gives details on when all corporate and individual tax declarations are due in Spain.