Fiscal help... Gestor?

Hi.

We are hoping to move out shortly and wonder if people have any kind of financial experts to help to sort out the various taxes and when they should be paid?

Is it wise to have a gestor? If so.... would anybody know of someone near Dolores?

Many thanks.

Laury

Looks like the answer is no then.

Laury

Sorry I was a bit vague.

We are moving out to Spain and as we aren't retirement age, we will be living on equity from the UK house until some endowments mature and the old age pension kicks in a few years later.

We have a mortgage on the spanish house.

From a taxation point of view... especially as it's done on assets, we are not sure of the best way to deal with things and thought we may need someone to help.

For example...  do we pay off the whole mortgage... part of the mortgage ...  leave money in the Uk... etc..

Ta.

Laury

Hi Laury

Contact Glyn Moran on http://www.legalandfiscal.com/index.htm   (He posts in EOS)

You can email Glyn on info@legalandfiscal.com 

Thanks for the links More.

I just have to work out what to ask now.

Fees would probably be a good starting point I suppose.

Laury

There are a number of Spanish taxes to concern you:-

(1) Wealth Tax - which is based on your net (of mortgage and loans) assets in Spain. However Residents get certain exemptions in respect of their main residence

(2) Property Owners income tax

Both the above are very easy to calculate - your Spanish bank may even have the computer programme set up by the Spanish tax authorities to help you with your submission. Alternatively get a copy of David Searls book 'You and the Law in Spain' - published by Santana Books of Fuengirola. However before you can pay these you need receipted copies of your most recent IBI invoice (see below)

(3) IBI  and Basura - the garbage collection - (your rates - payable to the local town hall 'Ayaumiento'). If you are having a problem with this go to the Foreigners Department in the town hall for help.

If you have a Gestor or Abogado do this for you they will charge about 150euros for this service. Remember that both husband and wife must complete individual returns.

I hope this will be of some help to you.

Many thanks for the info. GB66.

We have a few books on what's what in Spain and that was why we thought we needed a gestor.

I understand that your assets for wealth tax include your property minus the mortgage? That was why I wan't sure if it was better to pay the lot off or not.

Our endowments don't mature for a few years and we will have to leave some money in the UK bank to keep up the payments. Would we be taxed on that, despite having paid our taxes here?

It seems a bit grey to me. Just like all of the Spanish set up is.

We pay our utilities through our Spanish bank already, so we could check on the tax side of things too. No doubt they would probably charge us more than €150 for the privilege though.

Laury

Hi - as I understand it Spain has a double taxation treaty with the UK - which means that you do not pay tax twice. The only time you will pay extra tax is if the tax rate (where you are due to pay tax) is more than that you have already paid (I hope that makes sense !!). If you come from the UK - you will undoutably be domiciled in the UK for tax purposes and due to pay  (UK)taxes on all your worldwide income.

Spanish residents get exemptions from Wealth Tax (on their main residence). But you must hold a residents card. If you do not have this they take the total value of the assets - property, money in the bank etc - deduct any mortgage you have - and presupposing everything is jointly owned between husband and wife - the value is divided equally between you. The tax is them charged (for each of you) on this net sum.

I hope this helps

Does that mean we need residencia to get the tax relief? I understood we were deemed residents if we lived there anyway.

Also. Does the house not enter into the calculations whether we have a mortgage or not?

Confused now.

Laury