Income tax for non residents

 You are correct, Semijubilada, that these taxes affect both Spanish residents and non-residents.  However, there is a difference in that the "notional" income deemed to be derived by the use of a residence is not applied to the property where you have your primary residence.  This notional income tax is only applied to secondary or more properties that are reserved for the owners' own use.

Spanish residents, therefore, only have to pay this part of their Income Tax on secondary residences, never on the primary one (residencia habitual in Spanish).  Non-residents, on the contrary, are deemed by definition to have their primary residence outside Spain and so their property in Spain is their secondary residence and, as such, subject to tax in the same way as resident's secondary residences calculated as a deemed or notional income when the property is used by the owner.

I believe from speaking to UK tax experts, that the concept of "notional or deemed income" also exists for UK tax purposes although perhaps not on the same type of income, of course.  The theory is that if you own a property (except your primary residence) it should generate income for the owner and if it does not then a way of calculating the income that should be assessed is through the deemed income calculation.

As I said, this concept applies to everyone who has to pay Spanish Income Tax, whether they are resident or not and, of course, it applies to Spanish nationals too and not only to expats as I have read in some posts.

I hope this helps posters to understand the deemed income concept a little better.

Thank you Lobin for expanding on my earlier post.  Hopefully now people will realise why they have to pay these taxes. 

Jarvi  You should have a copy of your NIE certificate, your solicitor will hold the original copy plus the original copy simpla (house deeds).  I used to pay the annual charge in January so in November I went in to inform them that I was taking over my own tax affairs and arranged that I would come back in a week to pick up my paper-work.

This included copies of the yearly annual tax paid, documentaion for water, electricity contracts and original copies of NIE and Copy Simpla.  Once you have the copies then it will be easy to complete the annual forms yourself and it can be done on-line.  There's loads of information to help you on the Spanish Taxes section of this forum.  What you must do is complete a form to stop the Pagintas (stickers) going to your Solicitor.  Can't remember the name of the form at the moment but I'm sure someone will be able to provide this information.

Your NIE number is also your tax number which should be quoted on all legal documents.  When I've had work done on the house I've been asked for this number to go on paperwork.  I may be wrong but I think this can be used as proof of improvements against the sale of the property and Capital Gains Tax.  Also by having this number on paperwork if you have any proplems you can go to Ayunmiento if you have difficulty resolving it with builder/merchant.

Jarvi

Anyone taking over your tax should be able to work with a copy of the last completed return or a copy of NIE cert or just give them your NIE number.

The NIE can easily be validated online by a registered tax agent.

But if you want a replacement NIE cert then just pop into police staion and pay fee and request a copy.

I have just had my Non Resident Tax Notification to pay my Tax corresponding to the year 2010.

To be paid by 30 December 11.

€386.16

Hi there,

                  I also have paid my taxes  for this Year it depends on the size of your property you should also give your Accountant your suma bill, it helps to reduce the amount you pay, there are many people who never pay this tax in Spain because the don't know about it and don't want to know about it, but they are so wrong when ever the sell the will pay a huge fine........

 I am having problems getting the paginatas (stickers) for the forms, I request them from the tax website quoting our NIE numbers and a message says they will be posted out but they never turn up in my post box :-(

is this your fist time that you have paid this tax, did someone else do it for you before?  If so then you need to complete a form to have the Pagintas sent to your address.

I think the form is called ??30, hopefully someone will confirm the correct name.

http://www.eyeonspain.com/forums/posts-long-14628.aspx
 

Found this further down and maybe this will help.

Theres a lot of threads been started on this subject in different sections, there's also a separate section labled income tax which also may answer any questions you may have.

Good news!

Thank you everyone for your advice.

The on-line company have submitted my forms and they have been accepted - I can't believe that I am actually happy about paying tax!

The company that I used were Advoco.es, their rates are very reasonable. 30 euros plus vat for filling in and submitting the form. They also did the first time registration for 10 euros. 

We purchased & completed in 2008, Spanish lawyer/solicitor recommended by Atlas charged huge fees and failed to tell us that the builder was in debt and was about to fail. After paying the Builder through the lawyer in full for the utility service meters to be installed via the builder we are still waiting in 2011 for the pleasure of having meter's. We have signed & pay the Sumo Tax but have never seen a general tax bill.

The local council in Rafal have since 2008 been informed of our problems via the president's of our complex, non of the many unfinished problems have been improved, the community pay for the work to be done, we still wait with baited breath for the now new party in office to check the complex & decide to grant the Habititation Certificate which will enable the Utility companies to install the long awaited meters & the water utility company agree that the drains etc are complete.

Several Nationals have been resident since 2007 & the community fund pays for the utility costs. Without the Habitation Certificates it is not permitted to reside in a premises. UK owners who spend just a few weeks holiday and pay the €80 a month community fee have never received a bill for the general rates. The Sumo Office in Calliosa, which we visited several times before they send the Sumo bill to our rafal address don't talk to the local council and therefor we have not heard if and what is due. 

The latest accumulation of work needed at a cost of over €100,000. for building the road, installing the water pump to all floors (the original pump was taken by the builder for another site) repairs to the swimming pool. Electrical equiptment to divide the current to each individual apartment & meter.

This is just touching on the problems our complex has and the fact that we do not have mail delivered. We go to the Rafal Post Office to collect mail. the problem with this is that the Post Office send the mail back if it is not collected within two weeks.

Hi. We have owned a property in Spain for 4 years, it took several visits to the Sumo office befor being registered. then last year they chased me even though I told that we had no Habitation Certificate when we had visited the office and were told you don't  pay without the HC. We were misinformed at the Sumo Office as they don't inform their staff of the law. Even without the HC you still have to pay and also pay the unpaid years. my advice is visit the Sumo Office.

If you have a Spanish Bank account then you will or should get a form to fill in via the Bank to give the Spanish authorities your details, this happens by-anually, I think the information you give tells the authorities the information they need to send out any tax bills you need to pay as it ask's for all your personal identity information.

The local government also charge a (Council Tax/Rates) But we are yet to find out what we have to pay, We are both UK pensioners & Non resident, waiting for the complex to be completed and have spent short periods each year in our Spanish Property.

If you have a solicitor then he should inform you of all this, our Solicitor was very poor giving information needed to keep you legal in Spain, but that is another story we sacked our Spanish Solicitor,  who was recomended by the Property Agent, Therefore we don't have a solicitor in Spain, trust had been spoiled by the prevoius one. We hate being in debt and hope one day it will be made clear by the Spanish Government what taxes have to be paid by non residents in Spain.

Hope this is of help.

 Sorry to say that this is not an imaginary tax. This tax has been with us for many years. I have been paying it for 8 years now. A good solicitor would have mentioned it at the time of purchase- I leave my solicitor to sort it for me. What can happen if not paid. If caught you will have to pay plus a fine. If and when you sell you will be caught and have to pay also with a fine. So no win really. The Spaniish tax office are chasing those that owe them. It has been in the free newspapers on and off for sometime now. Why wait until you get caught. They may even embargo your Spanish bank account.

I have found that a Gestoria is often the best place to go to get the form completed, as they specialise in 'official paperwork.'

I have found that a Gestoria is often the best place to go to get the form completed, as they specialise in 'official paperwork.'

We had our gestoria complete the tax returns for us but when their charge was more than the actual charge I decided to have a go at completing the forms myself.  It was easy.  Last year the forms were completed online and then printed off.  To get the stickers we went to the local tax office, showed them the forms and they printed off about six sheets of stickers for my husband and the same for me.  Stuck the stickers on the printed forms, took them to the bank and paid the two tax bills.  I have been told that for the tax year 2011 I can complete the and file the forms online in the same way as I do in the UK.

The figures quoted by Johnzx  - "It amounts to 0.5% of the catastral value or the escrituras value" is not entirely correct.

This figure only applies if the catastral value of the property has not been reviewed since 1994.

If the catastral value has been reviewed since 1994 than the tax is (1.1% of catastral value) x 24%.

Regards

Noreen

Johnzx - I think you have addressed your comment to the wrong person.

You said - Noreen, I am not that certain your post will have simplified things for those who are seeking advice. 

I don't see how correcting the incomplete information that you provided is doing anything other than maker things clearer & more accurate.

Perhaps your comment was meant for Lijaloo, although why you would be critical of their posting I don't know because they are simply illustrating that they have used both methods of payment & have now managed to make their tax payments themselves without difficulty, perhaps providing a level of comfort for those who have not attempted this before.

Regards

Noreen