Revision of local taxes – reduced in Marbella – increased in Nerja
All property owners in Spain have to pay local taxes – Impuesto de bienes inmueble – IBI – to their local Town Hall. These taxes or local rates are revised from time to time. They are based on the catastral or rateable value which is fixed by each Town Hall. The central government uses these […]
Inheritance tax reductions – Andalucia
This year 2018 brings good news for family members who inherit property and assets bringing inheritance tax reductions in Andalucia. The regional tax has been reduced, with spouses, children, parents and those registered as partners – parejas de hecho – receiving an increased tax allowance of 1,000,000€ per beneficiary. Spanish inheritance tax is a donee […]
Inheritance tax 2017 Andalucia
Inheritance tax in Spain is charged differently in the regions of Spain if you are an EU resident. There have been some very beneficial inheritance tax changes this year in Andalucia. They apply when both deceased and the beneficiaries are resident in a European Union country*. Main home relief If certain criteria are met, […]
Inheritance rules
How often have you heard the phrase he or she “left all their money to the dog’s home.” British people do generally have testamentary freedom and can do this. The 3 distinct legal systems of England & Wales, Scotland and Northern Ireland do adhere to this general principle but there are some variations in their […]
Town Halls to repay taxes to property sellers
A decision of the Malaga administrative courts may have set a precedent for thousands of vendors in Andalucia who sold their properties for less than the purchase price. The local Town Hall tax – plusvalía – has been charged on all property sales, inheritances and donations for many years. In some cases the tax has […]
Tax and Holiday Rentals
Income earned on the rental of holiday properties in Spain has to be declared to Hacienda, the tax authority. The rate is now 19% but importantly there are a number of expenses that can be set off against the income. These are IBI (rates), Community of owners charges, Agency fees for advertising and maintenance and interest […]
Non resident property owners taxes – Spain
The Spanish tax authorities – Hacienda – have begun a new campaign to ensure that non-residents who own property in Spain do pay their taxes. For many years we have been advising property owners of the importance of paying this tax annually. Now the tax authorities are actually sending demands giving an estimated or provisional figure […]
Inheritance tax reductions Andalucia 2017
Inheritance tax reductions for Andalucía The Junta de Andalucía is set to increase the tax free sum before inheritance tax is payable on estates within the region of Andalucía. At present the amount a spouse or direct descendant can receive is 175.000€ before any succession tax is payable. From January 2017 this is set to […]
Good news – Tax reductions
REDUCTION IN TAXES FOR NON RESIDENT PROPERTY OWNERS We are very pleased to report a reduction in three important taxes for non-resident property owners in Spain. In moves to encourage property purchases and ownership the Spanish government has announced that from 1st January 2016 European citizens as well as those from Norway and Iceland will […]
Powers of attorney
A large number of properties in Spain are jointly owned by spouses, partners or sometimes by brothers and sisters who have inherited property from their parents. It is not always possible for all the joint owners to travel when it is necessary to sign documents, attend banks and local authorities who may then require proof […]
Selling your Spanish property
Selling your Spanish property When you are selling property in Spain it is important to get independent legal advice. It is particularly important to ensure that your funds can be transferred back to Holland, Belgium, the UK or elsewhere having completed all the necessary documentation on leaving. If you have been resident in Spain and […]
Reasons to review your wills in 2015
How Modelo 720 affects inheritance tax This is a change in working practice and enforcement of existing law rather than a change in the law. Since December 2012, there has been a requirement on Spanish tax residents to declare all overseas assets to the hacienda (the Spanish tax office), if the value of those assets […]