making a tax declaration after 5 years
Apr 26th 2007 | 7:18 pm
#18
Joined: Jun 2006
Posts: 11,231
From: Granada Costa
Re: making a tax declaration after 5 years
I've just, today, had a letter from my lawyers requiring information so my tax can be paid. I do not, yet, have residencia, but they want to know:- Income from work, address of home, certificate of benefits and retentions for pensions and unemployment, bank statement showing duplicate of bill for IBI-SUMA, receipts of collected rents and invoices of expenses fro the rented properties, certificate showing bandk accounts [B]WORLD WIDE[B], Certificates of life insurance and any refunds, deeds of purchase or sale of any real estate, quoted and non quoted securities certificates, certificates of investment funds, Certificate of pansion plans, invoices and receipts of purcahse of family home, bank statements showing mortgage remaining anf payments made, and any accounts of any business I own.
The vast majority of these i do not have as I'm retired, but for others out there, that's what is needed.
The vast majority of these i do not have as I'm retired, but for others out there, that's what is needed.
Tax in Spain is on a self assessment basis - you put whatever you like on your declaration with no justification at all.
If you do your own declaration (very easy using the software provided by AEAT) you just fill in the details and take the forms to the bank.
However, if you should ever be the subject of a tax investigation, you would need to have the documentation to back up your declaration.
Apr 27th 2007 | 12:10 am
#19
Click my Signature
Joined: Dec 2006
Posts: 112
From: Sierra de Yeguas
Re: making a tax declaration after 5 years
Hi all
After reading all the posts in this thread I am feeling a darn site more positive about the Spanish tax system than before I read it. It seems to me, especially after reading through the link about Spanish income tax, that it isn't really all that much more difficult or "taxing" than the UK system. The thing that will make it more difficult for us when we finally get there in a month or so (Hurrah) is the language. But with an English speaking gestor even that should be ok. We are neither of us brilliant at language learning (It's taken me 48 years to learn English and I'm STILL not very good at it!) but we are going to do it. School in Antequera from Malaga university is as good a way as any to learn the language basics to expand upon. Obviously knowing what is being asked and how to answer it is a huge factor in how we percieve the tax system of any country. Black money doesn't even come into it. It's due and we want to pay our dues and be real members of the community rather than the type thats becoming more and more prevalent in UK.
Our main worry is stamp...
Do we pay Spanish and stop UK and how much.
We will be running a holistic/beauty therapy salon so do we both pay stamp or do we just have one to cover both of us. Any info appreciated. We will be seeing a gestor, but forewarned is forearmed.
Stuart
After reading all the posts in this thread I am feeling a darn site more positive about the Spanish tax system than before I read it. It seems to me, especially after reading through the link about Spanish income tax, that it isn't really all that much more difficult or "taxing" than the UK system. The thing that will make it more difficult for us when we finally get there in a month or so (Hurrah) is the language. But with an English speaking gestor even that should be ok. We are neither of us brilliant at language learning (It's taken me 48 years to learn English and I'm STILL not very good at it!) but we are going to do it. School in Antequera from Malaga university is as good a way as any to learn the language basics to expand upon. Obviously knowing what is being asked and how to answer it is a huge factor in how we percieve the tax system of any country. Black money doesn't even come into it. It's due and we want to pay our dues and be real members of the community rather than the type thats becoming more and more prevalent in UK.
Our main worry is stamp...
Do we pay Spanish and stop UK and how much.
We will be running a holistic/beauty therapy salon so do we both pay stamp or do we just have one to cover both of us. Any info appreciated. We will be seeing a gestor, but forewarned is forearmed.
Stuart
Apr 27th 2007 | 3:01 am
#20
Lost in BE Cyberspace
Joined: Jun 2005
Posts: 6,912
From: Puente Esuri
Re: making a tax declaration after 5 years
Actually, the taxman does not require any of this documentation. Your lawyer asks for it so that he can be sure that he is putting the right information into the computer. He does not submit them to the tax office - just the final declaration.
Tax in Spain is on a self assessment basis - you put whatever you like on your declaration with no justification at all.
If you do your own declaration (very easy using the software provided by AEAT) you just fill in the details and take the forms to the bank.
However, if you should ever be the subject of a tax investigation, you would need to have the documentation to back up your declaration.
Tax in Spain is on a self assessment basis - you put whatever you like on your declaration with no justification at all.
If you do your own declaration (very easy using the software provided by AEAT) you just fill in the details and take the forms to the bank.
However, if you should ever be the subject of a tax investigation, you would need to have the documentation to back up your declaration.
Who or what is AEAT?
Regards,
John
Apr 27th 2007 | 3:16 am
#21
Structural Surveyor
Joined: Mar 2006
Posts: 1,048
From: Sevilla/Cordoba border
Re: making a tax declaration after 5 years
AEAT = Agencia Estatal de Administración Tributaria
www.aeat.es
www.aeat.es
Apr 27th 2007 | 3:18 am
#22
Joined: Jun 2006
Posts: 11,231
From: Granada Costa
Re: making a tax declaration after 5 years
Hi John
AEAT is the Agencia Estatal de Administración Tributaria. It is part of the Ministerio de EconomÃa y Hacienda (MEH).
Essentially it is responsible for things like income tax etc.
An analogy would be that AEAT is equivalent to HMRC in the UK and that the MEH is eqivalent to the UK TReasury.
Fred
AEAT is the Agencia Estatal de Administración Tributaria. It is part of the Ministerio de EconomÃa y Hacienda (MEH).
Essentially it is responsible for things like income tax etc.
An analogy would be that AEAT is equivalent to HMRC in the UK and that the MEH is eqivalent to the UK TReasury.
Fred
Apr 27th 2007 | 7:35 am
#23
Senior Moment
Joined: Jan 2006
Posts: 20,459
From: On the edge
Re: making a tax declaration after 5 years
Hi all
Our main worry is stamp...
Do we pay Spanish and stop UK and how much.
We will be running a holistic/beauty therapy salon so do we both pay stamp or do we just have one to cover both of us. Any info appreciated. We will be seeing a gestor, but forewarned is forearmed.
Stuart
Our main worry is stamp...
Do we pay Spanish and stop UK and how much.
We will be running a holistic/beauty therapy salon so do we both pay stamp or do we just have one to cover both of us. Any info appreciated. We will be seeing a gestor, but forewarned is forearmed.
Stuart
Apr 27th 2007 | 12:55 pm
#24
Forum Regular
Joined: Jan 2007
Posts: 264
From: Galicia
Re: making a tax declaration after 5 years
Stuart, I'd start a new thread with your question as it might get lost in here .... my understanding is that you can pay a set monthly figure as a self employed person every month which I think is 250 euros, but you pay it if you earn or if you don't earn. Not an expert though, I don't know if you would both have to pay it
Stuart,
Quickly, go down to your Hacienda Office in Malaga or Marbella and ask, sin problema, and they will give you the correct answers
You will get loads of answers, but disrecpt them and do what I say
May 1st 2007 | 6:58 am
#25
Just Joined
Joined: May 2007
Posts: 1
Re: making a tax declaration after 5 years
Well .... I'd say that you have a bit of a problem 
As you say, if you declare anything to the tax authorities I'm guessing they will see how long you have been living here and want to know some more details. They can have open access to your building society and / or bank accounts and will see all the money that has been paid in ... and ask where its come from. If you've earned that for as long as you've been here you're talking about over 100,000 euros of taxable income.
I'm no expert of course, and as mentioned above I would take advice.
As you say, if you declare anything to the tax authorities I'm guessing they will see how long you have been living here and want to know some more details. They can have open access to your building society and / or bank accounts and will see all the money that has been paid in ... and ask where its come from. If you've earned that for as long as you've been here you're talking about over 100,000 euros of taxable income.I'm no expert of course, and as mentioned above I would take advice.
Do they have powers to review bank accounts ?
I'm sure they would be the only cross-european authorities that do communicate with one another...
May 1st 2007 | 7:50 am
#27
RETIRED ;-))
Joined: Jul 2003
Posts: 20,156
From: Benalmadena Pueblo,Spain
Re: making a tax declaration after 5 years
May 1st 2007 | 8:18 am
#28
Lost in BE Cyberspace
Joined: Jun 2005
Posts: 6,912
From: Puente Esuri
Re: making a tax declaration after 5 years
Germany actually opened tax offices on the CDL some years ago and a lot of Germans sold up and went home under the pressure.
Regards,
John.
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