Anyone spending more than 183 days a year in Spain and receiving income (worldwide) over the amount of the threshold set by the Spanish tax office is legally obliged to make an annual tax declaration. Once in the Spanish tax system, it is possible to apply for a “certificate of fiscal residence” which is needed in order to receive UK pensions without deduction of tax at source and to sell a property without suffering a retention of 3% of the selling price.  Now is the time to make the declaration for the calendar year 2014. Rental income from Spanish properties and sales of property during the calendar year 2014 must be declared at the same time as part of the annual declaration.  As you will be aware, the tax authorities in Spain are trying to increase revenue and are clamping down on non-declarers in a big way, especially those receiving pensions from overseas.  The Spanish Government is exchanging information with other authorities so anyone that hasn’t been declaring their pensions in previous years will have the opportunity to complete them before June the 30^th 2015.   At the same time, it is important to complete the required documents, under the pensions “amnesty”, for the waiving of any penalties, fines or interest for late declaration.  In this case, it is possible to pay the tax by instalments to help spread the cost, with the agreement of the tax office.

Friendly and efficient help and advice from our experienced professionals is available to make the tax process as hassle-free as possible.