capital gains tax excemption
Apr 21st 2010, 1:06 pm
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Joined: Apr 2010
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capital gains tax excemption
Hi,
I want to sell my apt in Spain where I have lived and resided (main and only residence) for more than 3 years. All the proceeds from the sale will be reinvested within 2 years into another property. I have a NIE card but have never declared tax.
A few questions about capital gains excemption...
1a) Do I have to be fiscally resident and have been for three years prior to selling to be excempt or
1b) Will declaring between May-June this year and receiving a tax certificate be sufficient for being excempt and not having the 3% held back at the notary?
2) Will the tax office fine me for not declaring as a property owner before now?
3) If someone who owned a property (with a mortgage) paid their mortgage and bills by earning a few "cash in hand" hours a week (no contract nor wage slips) and the rest from their family in the UK - if they went to declare at the tax office in order to be fiscally resident so they were excempt from capital gains tax when they sold (as they wanted to reinvest all the proceeds into another property in Spain) but hadn't declared before, what would they say to the tax man with regards to their source of income. Would any income from the UK be taxable (if so, how much) and what should be said about the few hours work paid in cash?
Thanks for any advice.
I want to sell my apt in Spain where I have lived and resided (main and only residence) for more than 3 years. All the proceeds from the sale will be reinvested within 2 years into another property. I have a NIE card but have never declared tax.
A few questions about capital gains excemption...
1a) Do I have to be fiscally resident and have been for three years prior to selling to be excempt or
1b) Will declaring between May-June this year and receiving a tax certificate be sufficient for being excempt and not having the 3% held back at the notary?
2) Will the tax office fine me for not declaring as a property owner before now?
3) If someone who owned a property (with a mortgage) paid their mortgage and bills by earning a few "cash in hand" hours a week (no contract nor wage slips) and the rest from their family in the UK - if they went to declare at the tax office in order to be fiscally resident so they were excempt from capital gains tax when they sold (as they wanted to reinvest all the proceeds into another property in Spain) but hadn't declared before, what would they say to the tax man with regards to their source of income. Would any income from the UK be taxable (if so, how much) and what should be said about the few hours work paid in cash?
Thanks for any advice.
