28 Aug 2008 1:01 PM:

Hi,

We have been involved in a similar situation of safeguarding tax payments with respect to a property we own in the Canaries. I would advise anyone thinking of doing this to check any company offering this service out very, very carefully. I would also suggest speaking to an independent accountant who is familiar with Spanish tax issues/law. As far as I am aware changes in Spanish Law have affected the "tax shelter" situation of Spanish SL companies housed in a UK LLP, eliminating any tax advantage they once had.

We know of people who have tried to sell their SL company which has their Spanish property as an asset . They have had lots of problems since it has resulted in a really complex mire of legal and tax implications.

We are also aware of a similar approach to "safeguarding" future tax payments by putting the property into a structure called a Bi-cell. My advice is DON'T DO IT!





Community thread: IBI TAX 2009 IN ESTEPONA

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