No Residence Tax - Page 3

UK voters voted for their MEP. Whether you can name them or not is irrelevant! (most voters couldn't name their own MP probably, never mind MEP)

Most on this forum unlikly to have had 'freedom of movement' before the EU, so let's put that where it belongs. 

I find it amazing that 'Brits' (for want of a better word), based in Spain, would think they will be better off out of the EU. Why are you here in tbe first place? To enjoy the sun, a more relaxed way of life, etc? But wait, we are not immigants, only those who want to access the UK are. Doh!!

I owned a home in the US - would they let me stay? Not a chance unless I 'invested' 500k+ and only then, a temporary visa. (unless I was one of the lucky 50,000 from 3rd world countries granted a free visa each year)

Bewildered, confused and totally pi**ed off with the whole thing!

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I don't live in Spain but I have property there. I live in England and I want this exit from the EU for many reasons which I won't go into here. Clearly you are a remainer and have strong opinions as do brexiteers. Pointless discussing it further.

Why not start a campaign to raise the taxes in Spain on alcohol and tobacco, raise the price of petrol, put IBI to the same levels as council tax as the UK......?

When you choose to move to a different country any sensible person does a “balance sheet” of all the plusses and minuses, from the weather and the language to all the costs of essentials and luxuries they might want.

Hi I am in the process of purchasing a house. I recall the bank advising g me of a non resident tax but can’t remember how much it is?? Also is their an equivalent of council tax or property charges on an annual basis in Spain?

For those who are concerned about having to pay the various taxes associated with living (Resident or Non-Resident) in Spain, it's best to refer to the well-documented cases to be found on the internet. Start with "Wealth Tax" and from there you will find your way to present day tax rules including the recent Tax Law in Andalusia regarding Inheritance Tax. There is no tax  harmonisation in Spain and whilst there is an aspiration to introduce tax harmonisation across the EU, it would be difficult to introduce. 

I don't know how far you are in the process of buying but your solicitor should make you fully aware of your tax obligations. When they do that they usually offer their services, but you're under no obligation to employ them. As Peter99 says, tax payments in Spain vary depending where you live.

IBI and non residents tax varies according to your property and unique to you.

I agree but there is no parity really. 

There are many examples of it -  In Ireland, for example, you have to pay VRT (Vehicle Registration Tax) when you buy a new car - this doesn't apply in any other EU country that I am aware of - maybe I'm wrong but it is a very steep tax.  The Non Resident tax in Spain is another example of this and I agree, it is completely unjustified but they do it because they can.

I think that his question is more than reasonable - you can't live life not caring a toss about matters financial.  Not everyone has money to throw around just because they can't be bothered to ask questions.  If you don't like the question why bother replying to it - just enjoy the sea, sun and sangria if thats what you want but don't criticise others for being a bit more responsible.

Not sure who your reply is aimed at.

Hi Paul, as I understand it, the name "non resident" is causing the confusion - you are liable for the non resident tax on your property regardless of how long you spend in the country. It's a tax on the property not the length of time you spend in it. This tax is in addition to other annual tax owed on the same property. The assumption seems to be that this is a second home and has to be taxed. 

If a Spaniard owns a second home in Spain then they will have to pay tax on that home or any other property they have too. It's much the same in Ireland and, I suspect, most other countries - every property you own is liable for tax . 

If you own property here but are a tax resident in another country you should declare that property in your tax returns - that's the requirement but I suspect many don't. It's considered an asset for tax purposes. With the way technology works it is not easy to conceal anything across jurisdictions nowadays, not that I'm suggesting you are:)

I hope this helps clarify things - it's as I understand it, I'm not an expert but have had property in Spain for 15 years and always had to pay non resident tax. They can go back for four years if it hasn't been paid but eventually they will find you and you will be liable for four years tax if it hasn't been paid. That's what my accountant told me. 

Also, &  you may know this already but Citizens Advice Bureau have some information on this tax. 

As to the fairness of it, it's no more so that what other countries do. In Ireland we have VRT (vehicle registration tax) on cars & it's hefty  & in addition to normal car tax, also hefty. Despite being in the EU every country in it have their own tax laws & I understand there is a drive on for tax harmonisation - that word is not one that springs to mind when talking about tax but that's another matter;).