17 May, 2013
New financial reporting requirements in Spain have prompted many expat residents to think about leaving the country. The new tax laws require anyone who resides in Spain for more than six months of the year and owns overseas assets amounting to more than 50,000 euros to declare them.
Although this will certainly ring true for many expats, those affected should seek financial advice before deciding to leave as there may be ways of reducing the impact of the new laws.
Read the full story here: www.telegraph.co.uk
15 April, 2013
British expats have until 30 April 2013 to declare their assets outside of Spain.
Who needs to declare?
British people living in Spain need to declare each asset, e.g. a holiday home, worth over €50,000 (£44,000) to the Spanish authorities under new rules designed to stop tax evasion.
You’ll be considered a resident in Spain if you spend more than 183 days a year in the country, or if your spouse and dependent minor children live there. The Spanish authorities will also be looking for those who not only own any assets, but are the beneficiary or authorised signatory.
What do I need to declare?
Assets valued at more than €50,000 that need to be declared include property, bank accounts and other non-movable assets such as income generated from loans and shares.
What happens if I miss the deadline?
The reporting deadline will be set at 31 March each year. However, exceptionally in 2013, the deadline has been extended until 30 April. You could face a fine if you fail to declare your assets before the deadline. In fact, the minimum penalty for failing to declare an asset is €10,000 plus income tax on undeclared income and late-payment interest.
Where can I find out more?
Your first port of call for advice should be your local tax office in Spain or your solicitor. You can read more on this subject by checking out the links below: