Wealth tax

I've just received an email from the Solicitor that I used approx 1 year ago when buying on CDA informng me that I have to pay Wealth tax on the property. There is no indication of how much the actual tax will be.. But the fees he's offering me to do it is 150 Euros.

A quick internet search tells me that Wealth tax was abolished on April 2008. But... His reply to this is that it must be paid - according to Spanish law.

Anyone know anything about this? Anyone else paid it so far???

According to his mail, I must pay it by 25th June.

Appreciate any help......

We completed in Feb 2009 and was told by our solicitor that wealth tax had been abolished. However, we still have to pay non resident tax.

Cherrie

That's right as Cherrie says, no wealth tax but still have to pay non-residents tax. Maybe it's non-residents tax that he's referring to?

My solicitor charged €60 each and the tax was €50 each making a total for two persons at €220 but this has to be paid every year so perhaps in future years I'll look into sorting myself.

It's form 210 that needs to be completed.

form 210 can be downloaded - someone posted a link on another thread - will try to find it

I think wealth tax was abolished after 2008. Therefore, if you owned the property in any part of 2008 then you need to pay it before end June 2009. If you completed after 2008 then it does not apply.

it was but non residents tax is different and we are all liable for it.

non residents income tax applies. If you want fiscal representation e mail affairsinorderspain@hotmail.com and I can send forms from a company I use.  Costs on forms.

Otherwise it may be suitable for you to come out of Spanish sytem and pay UK tax. Need to have discussion as to suitability

David

http://cid-6edbae6cf8da53fa.skydrive.live.com/self.aspx/Documents/scan0015.pdf?ccr=796

news article re income tax changes

Agreed that non residents tax applies but my point was related to Disneyscotts initial post. Their solicitor was telling them they had to pay wealth tax which, if they had a property in 2008, they would have to.

these link sets out very cleary what taxes we are liable for

http://spanishtaxforms.co.uk/page/1on0t/Spanish_property.html#question%201a

http://www.aeat.es/wps/portal/DetalleContenido?url=Campa%C3%B1as/Non-resident+Income+Tax//Taxation+on+Urban+Buildings+Owned+by+Non-resident+Individuals&content=127e41424aa11210VgnVCM1000004ef01e0aRCRD&channel=9e42047df08ce010VgnVCM1000004ef01e0a____&ver=L&site=56d8237c0bc1ff00VgnVCM100000d7005a80____&idioma=en_GB&menu=0&img=0

http://www.aeat.es/wps/portal/DetalleContenido?url=Campa%C3%B1as/Non-resident+Income+Tax//Owner+of+a+property+for+own+use&content=de7af6bbfba11210VgnVCM1000004ef01e0aRCRD&channel=9e42047df08ce010VgnVCM1000004ef01e0a____&ver=L&site=56d8237c0bc1ff00VgnVCM100000d7005a80____&idioma=en_GB&menu=0&img=0

This message was last edited by jeb321 on 18/06/2009.

In summary, no wealth tax is payable for 2008 onwards but imputed income tax is still payable even if you do not let your property.  This tax is based on the cadastral (rateable) value.  You need to complete form 210 and pay the tax.  I have researched extensively and the first company on the list below spanishtaxforms ltd appear to offer the cheapest service - they do it for you for £19.95 per property which seems a good deal, especially as others seem to charge per person and a lot of us are joint owners. Does anybody know of a better or cheaper option? Has anybody used them?

Thanks Jeb for posting email address below.  Ist address Spanish tax forms.co.uk looks very strainght forward and inexpensive.  Has anyone any experience of using this service?

Ethnea

I've just paidd my £19.95 to get my 210 sorted after following the link Jeb gave. Phoned the guy first, John Bosdet who was extremely helpful.

Will report back once I get my completed forms with stamps etc

Brett

Thanks Brett.  Hopefully it will be a doddle!

Ethnea

Brett, I'm thinking of going with them too as it seems the easiest way to get this done and at a reasonable price. Let us know either here or by PM how you get on,

thanks

Thanks for the info and link, look very straight forward and cheaper than the solicitors.

They ask for our rateable value - would that be the price we paid for our property or if not what would it be?

Thanks