A failure to learn, early on in your relationship with Spain, that the more you push the incrementally more difficult your dealings will become, is a recipe for disaster. You cannot shout at a Spaniard and expect to amend their stance – they won’t. No matter how big you ego is, it will be totally deflated by a Notary’s cashier or shop assistant – I know this from experience. However frustrating, responding proactively to a complaint is just not within the litany of many Spaniard’s reactions. As Spain’s First Minister, Jose Luis Rodriquez Zapatero is alleged to have remarked recently that he is the head of a country comprising over 40 million “First Ministers”. This tells us something of the national character.

Advising, our Northern European clients to become “Californian” may sound like nonsense. However, I have learned in the last three years of dealing with colleagues and administrators in this environment, that you can only work with the System, and it is a folly to try to buck it. Maintaining a stress level in the red zone is not only highly unproductive - its life threatening. Although exasperation is acceptable, a coronary awaits those who allow the pressure to overwhelm them. “Chill a little.”

In our working lives we have been able to “soften the blow”, as its one of our prime roles to “drive” the relationship between the advisor and the expat client. We cannot provide a totally stress free Spain –it really is part of the nation's charm – but we do work with some excellent advisors who really do make the difference for our clients.

We have known of people for whom the dream of Spain didn’t translate to the reality. They are rare but a couple who I know recently returned to the UK cited the System as being a major contributor to their unhappiness. Albeit a complete generalisation Spaniard’s seem to know how the System can be made to work in their favor. Their logic is infallible; they “Work to Live” rather than “Live to Work”.

Lesson 5 - Give Flamenco a chance.

At the risk of offending the heritage of our friends and neighbours – particularly those from the Celtic regions of Northern Europe - no distinct musical style is more definitive of its homeland than Flamenco. Whether it’s the guttural signing – which a really acquired taste - the whirling dancing, a prancing horse or a bright guitar chord, Flamenco is a brand and for any marketing executive it is short hand for Spain.

Trust me there will come a point when you are in a supermarket queue when you will start to drum you fingers in time with the in store music and you may just be tempted to clap a Flamenco beat.

My suggestion, and a topical cure to this inevitable decent into becoming pro Spanish, are the CDs “Chambao”. The skill of “Chambao” is to marry more traditional Flamenco phrasing and style with a modern techno beats to produce the coolest chill out music – see the advice given in Lesson 16 above - currently available on my in car CD player.

Lesson 6 - The Life/Work/Play/Family balance.

In moving to Spain, although I suspect that I did work fairly hard in London the workload I have had since opening our business in Spain has been fairly intense. As a consequence I have had to explore an ability to blend the elements of life such that one doesn’t submerge the others. I am starting to learn, and am aware that I have yet to perfect this skill, but acknowledging that something exists is the start of finding a solution. Unlike much of the time in London, at least my kids now know me by sight!

When there is more certainty about the weather the ability to plan for outdoors is greatly improved. Much of our family time is spent outdoors, whether it’s the beach, the mountains or the stables it is possible to blend some of these elements around our working day.

The working day starts early and much e mailing and many meetings can be done by 4.00 pm when school exits. After a couple of hours out and about its home for homework, baths and dinner during which time my home based broadband comes into its own and I can handle much of the day’s paperwork.

At least that’s the theory…. Getting it right will take time but it’s already a more satisfying way to live.

Finally, a small but highly valuable technical note. Spain is about to become less Taxing for the Non-resident.

After several years of pressure from the European Union, Spain’s Executive has tabled a series of measures that the Spanish Parliament will need to pass by the end of 2006 to reduce Spain’s discriminatory practices towards the Non-resident property owning community.

The true value of obtaining a legal “Residencia” (Residency) has been the subject of some question in the past and is usually explained by reference to the different levels of tax suffered by Residents and Non-residents. Well, no longer. As from January 2007 it is planned that the effective rate of tax that will be paid by a Resident or a Non-resident on a Capital Gain made on, for example, a property sale will be equalised at 18%. This is a reduction from the current rate of 35% for a non-resident and an increase for the resident up from 15%.

My colleagues tell me that measures already exist to allow the Owner of the property – particularly if the property was purchase many years ago – to create a notional price by the actual purchase price being inflation linked. This will mean that the Capital Gains and therefore the tax to be applied will be effectively levied at “today’s prices” thereby reducing some of the burden of Spain’s flourishing property market. Additionally, I am told that credits for the costs of improvements can be taken in further reduction of the tax to be ultimately paid.

I do hope that you’ll find some practical use from this further series of lessons born out of our experiences in Spain. We look forward to seeing you here!