Pensions. Tax. - Page 3

Yup

If you have been resident in Spain for more than 6 months you are deemed to be a fiscal resident & must declare your total income. Wherever it comes from.

People have tried to stay 'under the radar' & avoid being open with the Spanish Tax authorities. Eventually they get caught out and the penalties can be heavy. 

Bang on.

Sorry, tax man in Spain wants no tax from us, we have a Spanish accountant that sorts it all every year.

Civil service pensions, government pensions.

We are given the choice, UK or Spain, we chose UK, all  legal.

Only tax the Spanish tax man is interested in is interest on savings accounts, and at 0.001 interest, he did not want any thing, as interest is nothing.

We have been this way for over 3 years, so all ok.

We declared everything on the 720, and were still given the choice of paying tax in the UK.

So if the tax man here is happy, so are we.

Civil service pensions and government pensions pre brexit and post brexit had the same rules agreed by the EU, no change for Brits leaving the EU.

If the Spanish tax man says thats right, and the accountant, hey presto. 

That is fine if ALL your income is from sources covered by the double tax agreement between Spain and the UK. The change will come when you receive your state pension. That is not covered by the agreement. You could end up paying tax in both countries. Hopefully you are young enough not to be eligible for your state pension. Good luck

Just re checked it out re your comments, as we we were worried by your statement,  we have our state pensions being payed, yes we are more than old enough.

No tax payable here, all done in UK, accountant states that is all ok.

All declared each year to the Spanish tax man.

That is fine, everything depends on individual circumstances. In my case, my tax allowance in the UK had been reduced as I had a .gov pension. As a result I was in effect paying tax on my state pension in the UK. I obtained a certificate of fiscal residence from the Spanish tax authorities and after sending it to HMRC, I received a substantial repayment from them. All income declared in Spain. If you are not paying tax on your UK state pension by a reduction in your UK tax allowance that is great and you will have nothing to reclaim. My post was to help those that are.  Good luck

Tax returns here are basically self-assessment. Only problem would come if the tax man decides to do an examination of your return. That is the only time you will find out if what you are doing is acceptable, unless you have gone into the Hacienda and gone through everything with them.

Note that anyone filling in your return will take no responsibility for it being correct as it is you that signs the submission. They certainly will not pay any fines if they have got it wrong.

Yes. Even if your UK state pension is small and what you may think is below the tax threshold, you still have to declare it every year on your Declaración de la Renta.

Every ex pat in Spain has to declare every penny of pensions and earnings every year, and fill in the 720 as a one of.

They also have to declare all interest earnt on savings abroad.

They must print of and show their p60, and fiscal bank accounts as declared on the 720.

They must also show a print of of savings, and interest earnt.

If all is declared on the 720, there is nothing to worry about.

It was interesting to talk to a couple in the solicitors, who had been here about 5 years, and never heard of a 720 declaration, and had not declared anything on savings or property abroad.