20-30 % of Non resident tax declarations have errors or mistakes
A 2021 study by the Institute of Economic Studies (IEE) estimated that between 20% and 30% of the declarations of non-residents in Spain could contain errors. In 2022 Civitas Foundation report noted that fines on non-residents for tax non-compliance had increased considerably in recent years. Announcements from the Tax Agency: (“Agencia Tributaria”) • The Tax […]
Why is important hiring a tax professional to fill and to present Spanish tax declarations?
1. Expertise in Tax Law Tax professionals are well-versed in both federal and state tax laws. This knowledge is crucial for ensuring that your tax return is compliant with current regulations, helping to avoid legal issues or audits from the IRS or state tax agencies. 2. Maximizing Deductions and Credits A tax professional can identify […]
2024. Increase of property rental profitability in Spain?
Increased profitability in rental of Spanish residential properties (apartments, villas, etc) During these last months, we have witnessed an increase in housing prices, derived from the lack of supply in the market, as well as inflation that has set the economic pace in recent times. Given this panorama, it is increasingly difficult for Spanish citizens […]
Abolished Tax Valencia Nov 2023 – Inheritance and Gift/Donation Tax
New law Valencia region 22nd Nov 2023. 99 % reduction on Inheritance and Donation tax On November 22, 2023 Valencian government approved a new law that will have a huge impact on the regulation of donation and inheritance tax in the Valencian Community (Castellón, Alicante, and Valencia). Click here to see the law It is […]
Why USA citizens move to Valencia city for living?
Cost of living Valencia is a relatively affordable city to live in, especially in comparison to other popular cities in Europe like Barcelona or Madrid. A study by Numbeo found that the cost of living in Valencia is 30% lower than in New York City and 15% lower than in London. Here is a breakdown […]
Exploring the Enchanting Real Estate Market for 2024: Property for Sale in Spain
Nestled along the stunning Mediterranean coast, Spain’s real estate market continues to captivate both investors and prospective homeowners alike. As the demand for property in this enchanting country surges, the allure of owning a piece of the Spanish dream has never been stronger. From vibrant cities to tranquil coastal retreats, Spain offers a diverse range […]
List of international Schools in Valencia, Marbella, Mallorca, Alicante, Bilbao and Donosti
One of the most important issues when moving to Spain for expats or foreigners, is the language barrier. Overall for those nationals who do not speak Spanish. Spain has a wide variety of International Schools at the main Spanish cities as Madrid, Barcelona, Valencia, Alicante, Palma de Mallorca, Bilbao, etc. Here are some examples of […]
Cadastre – “Catastro”
“Catastro” is the institution which considers properties for maps, drawings, plans, and is the source of the valor catastral, the assessed value of property for Tax purposes. Whilst the Registro de la Propiedad and the escritura may well confirm the ownership of a property and the conditions of the same, like in which percentage, if there are limitations or charges […]
TOURIST RENT NON RESIDENT OWNER – VAT or NOT? – BUSINESS ACTIVITY?
Tax implications on the tourist renting a property in Spain by a NON RESIDENT in Spain. Purely, the rent of a property is not subjected to VAT. This VAT exemption includes any type of rent: Short term rent / Tourist rent Medium term rent Long term rent The reason of this is because the Spanish […]
LOANS IN SPAIN – TAXATION AND FORMALITIES – FOREING LENDER
TAXATION OF LOANS IN SPAIN – NON-RESIDENT LENDER 1.- Loans without mortgage guarantee are taxed by VAT or ITP in Spain? In Spain, loan or credit transactions are not taxed by VAT or ITP. This is stated in Article 5.2 of Council Directive 2008/7/EC. This Directive expressly provides that neither credit nor loans, by any […]
