Spain Explained

A guide for foreigners on every aspect of safe property ownership in Spain

Posts filtered by Tax requirements in Spain

IBI in Spain: What is it and how to pay

IBI in Spain

If you’ve bought a property, you’ve likely come across IBI in Spain. This tax is basically Spain’s equivalent of council tax.  Impuesto sobre Bienes Inmuebles, or IBI, is a tax that every property owner in Spain has to pay. Either your local town hall or SUMA offices will collect the payment, which they use to […]

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Non-resident tax in Spain: The complete guide

Non-resident tax in Spain

For many non-residents in Spain, the deadline for tax returns will be here by the end of the year. Non-resident tax in Spain amounts to a complicated time for many, so we at Ábaco Advisers try to answer some of your questions.  However, we would like to remind you that taxes in Spain can be […]

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Taxes in Spain: The complete guide

Taxes in Spain

Taxes in Spain depend on your residency status. Both resident and non-residents have to pay taxes in Spain and make Spanish tax declarations but they are at different times of the year. We would like to remind you that taxes in Spain can be complicated and you could be subject to fines or penalties if […]

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What you can and can’t be taxed on in spain

One thing you will soon become familiar with if you spend time in Spain are the range and variety of taxes. Most of them are the same as you would expect in your home country. However, one or two might take you by surprise. Like all countries, public services in Spain are paid for through […]

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Did you miss the non-resident tax declaration deadline?

December 31st was the deadline for the non-resident tax declaration. This is the form that every non-resident is required to complete annually. It’s a busy time of year and so it isn’t surprising that it can fall off the list of To-Dos. If this applies to you there’s no need to panic. It is possible […]

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Renting in Spain – the tax implications


Renting is a good option if you are looking to make some money out of a property you have bought in Spain. Whether it is a short term or long term let, renting is increasingly popular and many different types of property are in demand. Some people choose to do all the paper work themselves […]

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Demystifying the valor catastral


Like most countries, you must pay council tax in Spain. But what is it and how is it calculated?  In this article Linda Robertsson Posada, from the fiscal department, explains IBI and the role that the valor catastral has to play. However, we would like to remind you that taxes in Spain can be complicated […]

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Making a resident tax declaration in Spain

Tax declaration in Spain

If you are a resident in Spain then it is very likely that you will have to make a resident tax declaration annually. This declaration or tax return provides evidence of your income in Spain that can be used for a number of reasons, including determining your prescription charges. The process is quite straight forward […]

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New Spanish tax law for 2015


The new tax legislation in Spain has been debated for a while. Originally proposed in June 2014 it has now been passed and will come into force from the income year 2015. The new law brings with it implications for both residents and non-residents. In most cases the reduction in tax rates will be welcomed. […]

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Myth busting – Spanish complementary tax


We’ve recently been reading letters in some well-known free papers from people who really have got their facts wrong. Nothing new there may be, but we feel that some of the myths around complementary tax, if you believe them, could cost you a lot of money. We want to put you straight. When you buy […]

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Changes to Spanish capital gains tax


It’s perhaps a symptom of government austerity that taxation is a particular target for change. It is one of the best means of increasing revenue but must also be handled carefully if your electorate are not to be upset as an election year approaches. As the Spanish government has the ballot box in its sight […]

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Proposals for capital gains tax in the UK


It might come as a surprise to know that in the UK, until now, capital gains tax (CGT) wasn’t payable by non-residents when selling property there. This is perhaps one reason why house prices in London have risen to such exorbitant levels. They have become a guaranteed source of investment, with prices rising annually and […]

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Will you benefit from the tax reform?


A draft Spanish tax reform law was approved on the 20th June. The new reforms were proposed by the finance minister Cristobal Montoro at a meeting of the Council of Ministers and are intended to be introduced by January 2015. In this article we will go through some relevant information regarding the Spanish tax reform. […]

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Bringing your Spanish paperwork up to date


So, here we are in Spring. If you live on the Costa Blanca or have spent much of the past few months out here, you will perhaps feel that winter passed us by this year. Now, we have the promise of all the spring and summer to come but aren’t yet wilting under the intense […]

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Tax, tea and travel in Mazarrón

It’s an important time of the year for residents in Spain. The end of March is the deadline for those who have to present the 720 this year and the 30th June is the deadline for the annual resident tax declaration. We know that many people continue to have questions they want to ask about […]

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Tackling Spanish paper work


If you are a resident, living in Spain, how did you approach Spanish paper work: no time like the present – I tackled it straight away and got everything done as soon as I could poco a poco – no rush I just took one piece of paper at a time what paper work? Presuming […]

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Why you should make a resident tax declaration in Spain


Would you do a good deed if you didn’t anticipate a reward of some kind from it? The concept of the random act of kindness has taken root. In case you haven’t heard of this, there is even a website dedicated to it: Wikipedia describe it as ‘a selfless act performed by a person […]

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Must you make a resident tax declaration in Spain?

Do you enjoy sudoku? Are you one of those people whose coffee table is piled high with completed, half completed and ready to complete puzzle books? Working with numbers is absorbing; it can also be frustrating at times. When you are locked in battle with a particularly difficult sudoku grid, they have the upper hand. […]

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The 720 asset declaration form


Every resident who has assets outside of Spain that total over 50,000€ within any one group, must complete the asset declaration form in Spain before the deadline or risk incurring a substantial fine. The groups are: bank accounts (group 1) pension plans and investments (group 2) property (group 3) In this article we will go […]

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What you need to complete the Spanish 720 asset declaration form


You’ve got your ticket, you’ve waited in the queue, you get to the ‘funcionario’, and guess what? You haven’t got the right paper work. There always seems to be something you’ve forgotten; not had copied; that’s out of date or you didn’t realise you needed. It’s become a bit of a preoccupation with the expat […]

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Getting ready for the Spanish 720


It sounds a little like a bus route, the 720. The publicity surrounding its introduction last year certainly made it a household name, at least amongst the expat population. However, just in case you haven’t heard of it before, the 720 is the asset declaration form that many residents in Spain had to complete to […]

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The second round of the Spanish 720


Last year around this time, there was great consternation amongst many foreigners living in Spain. The requirement to complete the 720 asset declaration form really shook the community. In case you are blissfully unaware, the 720 is a form on which foreigners living in Spain must record assets of a specified value and type held […]

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Deductions from 3% retention in Spain


The 3% retention is the amount that is kept back by the Spanish Tax Authority after the sale of a property by a non-resident. It is used to pay the Spanish Capital Gains Tax and ensures that funds remain available. Ábaco sometimes receive notifications from the Spanish Tax Authority of retentions that are being returned. […]

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Find out more about non-resident property taxes


Do you know what you’re getting for Christmas? Is it a present you’ve already asked for, some money, or will it be a surprise? People seem to fall into two groups when it comes to Christmas surprises. Those who seek out their presents, feel the package and take a peek and those whose worst nightmare […]

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The Valor Catastral


What attracted you to the property you bought in Spain? Was it the number of rooms or the size of the plot? Was it the proximity to local shops and bars or the fact that you have a large patio that takes the sun in the morning? All of these features that can influence our […]

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