Reporting of Assets Outside Spain and UK Rental Income.

 http://www.telegraph.co.uk/finance/financialcrisis/9993790/Wealth-tax-to-pay-for-EU-bail-outs.html

They are coming for your money!

Campsol: 

                        I think you'll find that most people think the UK is a better place to be right now,

Yep, some people cannot see further than their noses. 

They should take on board what Baz says,   "Our debt (UK) alone is 5 times what our entire economy is worth, more then Spain, Portugal and Italy together, twice that of Greece"     and start being realistic.

It would seem the UK are potentially in more trouble than Spain. 

I am very happy to live here, and Camposol, "I am not living below the radar" but a realist.

Oh for the days when tax was deducted at source-even though I pay less tax here. Everything to do with tax here is a pain.

I know you don't live under the radar, Johnx-you're a fine upstanding citizen, just like me! I refer to those for whom ignorance is bliss and to those who know about tax but ignore it. you cannot ignore the fact that many expats are heading back purely because of the tax situation.

it. you cannot ignore the fact that many expats are heading back purely because of the tax situation.

The expats i have spoken to only mention the tax when it's due as in one lump sum, many i have spoken to mentioned the fact that when they came out to Spain they got close to, or more then 1.55€ to the ££££ now it's a lot lower it's "We are so much worse of it's hard to live".

Many i know sold in the UK at the top, bought into Spain at the top, selling now in Spain at the bottom...and think the money they get is going to buy back what they left behind, eye openers all round.

One friend came back for a visit and we went out to dinner, four of us and nothing fancy, with drinks, well over £140.00, i bought four top class meals in Spain with drinks 80€, that means going out in Spain twice a week, UK once if your lucky...Now i know this is not the be all and end all of everything. Many in Spain visit the UK a couple of times a year, in the UK they crib about the cost of going to Butlins for a week in the wet.

Advice given on here about coming to live in Spain seems to be... rent before you buy to see if you like it, and can afford it....Don't see the same advice given out to folk coming back to the UK.

I had previously mentioned on this thread that my colleague had been told by his asesor/gestor not to bother declaring  his American wife's US assets.  My colleague was chatting to his asesor again late last week and he said that none of his clients are bothering to declare their overseas assets (he has a lot of clients with foreign assets due to being based close to Gibraltar).  He even has one particulalry dodgy client who is a builder with cash stashed in Switzerland and even he is not going to declare.  I think I would be very worried if I had undeclared assets in Switzerland.  I read that Hacienda is going to use the Falciani list of HSBC Switzerland foreign account holders and cross reference this with the Modelo 720 declarations.

I have to say, out of the twenty or so people (Spanish and non Spanish) I know with foreign assets over 50K, not one of them will be declaring them.  The only ones I know of who are declaring are the hand full of people who have said so on this thread...

We have had a surge of ENQUIRIES to our firm in respect of THIS REPORTING requirement, CLIENTS wishing to value there PENSION and INVESTMENTS in order to complete the SPANISH ASSET returns fortunately its available at a flick of a button NOWADAYS with modern TECHNOLOGY

Rod

That seems a bit selfish Johnzx.  This financial mess has been created over many years by Spanish governments who mismanaged and allowed appalling practices to achieve a massive deficit.  It is outrageous that they now intend to change the rules and hit Brits and other expats with increased taxes to put matters right.

There is a limit to how much we should be responsible.   People have already been taxed on their savings.  Surely many in the future will opt to remain under the UK tax system and so longer term the Spanish government might have shot themselves in the foot.

Johnzx seems to be in a different world to that we have discovered in out 10-weeks in Spain

I have discussed the situation with my landlord who clearly has mountains of cash and 3 properties to our knowledge here in Soto. He says that he knows of no one who will be declaring assets.

If my dealings with Spanish authorities is representative of their processes and connected IT systems I doubt if they will be able to find the real tax avoidance that goes on every day.

However it will be easy to introduce a wealth tax on people who provid detailed information.

Beware the near future where it might be Spain needs some of the German Euros when they might ask for a contribution from the assets being declared right now.

Glad I'm just a visitor.

Rossetti

I have discussed the situation with my landlord who clearly has mountains of cash and 3 properties to our knowledge here in Soto. He says that he knows of no one who will be declaring assets.

 While i can see exactly where your coming from, it sounds like your landlord is saying in not to many words that he wont be declaring assets, surely he already has by owning three properties which one way or the other had to go through the government system.

Acer            

     It is outrageous that they now intend to change the rules and hit Brits and other expats with increased taxes to put matters right.

Rosseti,

        I  have discussed the situation with my landlord who clearly has mountains of cash and 3 properties to our knowledge here in Soto.  He says that he knows of no one who will be declaring assets.

As the Declaration applies ONLY to assets held OUTSIDE Spain that is not surprising, but as a recent visit from  France I am  not surprised that in your endeavour to criticise us here in Spain, you are not that careful with your FACTS.

                    .................    However it will be easy to introduce a wealth tax on people who provide detailed information.

Another piece of news for you Ross (just like your beloved France)  Spain has had a wealth tax (Patrimonio) since 1977

Johnzx, we both know that they are far too savvy to announce their plans in advance - but perhaps you can tell me why they suddenly want to know about assets etc if a wealth tax is not planned?    Do you not think that it's another "Cyprus" on the way.

I've always paid my taxes and not a problem in doing so in the future.  But on past performance I'm not sure I fully trust the Spanish authorities to do the job fairly. 

 The posts now are beyond paranoia.

As Johnzx (gosh, I'm agreeing with him again), there is already a wealth tax !  They could reduce it back to the old levels tomorrow, without the information. However, with the information they could make sure you are paying the correct amount.

If you had these assets before i.e when the old limits were in force, and you didn't include them in your declaration, then that was tax evasion.

But why all of a sudden is there a requirement to disclose individual wealth - not just income.  Perhaps you can assist those in a paranoid state by saying why this additional info is now demanded.  None of us know for sure, but until proved wrong I believe it's reasonable to be suspicious.

After what happened in Cyprus, some 'paranoia' is self-evidently entirely justified. Anyone who is not somewhat concerned by that, and who is a resident of a country that might be in line for a 'bail out' must be on on happy pills and must also believe in the tooth fairy (and the honesty and integrity of bankers and politicians). It is touching to see some poster's unwavering faith in 'the authorities' good intentions...... 

johnzx,

I think you should definitely move all your remaining UK assets to a Spanish bank, and if possible, buy another house (or two) in Spain.

There are of course wealth taxes... and wealth taxes, and if you actually bothered to read some of the ideas being suggested by certain German economists at the moment, you might not be quite so blase' about them. They are not talking itsy-bitst tiny wee little percentages, you know... but massive "haircuts", US Army style.

But, carry on regardless.

However, if it actually happens,  then would be the time to be  concerned.
 

No. Then would be too late.