A friend ( no not me!!!) has stupidly overstayed the 183 day limit for tax residency. She returns to the UK with a total of 191 days here during 2017. She works in U.K. not Spain

She has asked me for advice and I know she should come clean before returning to England but frankly I am afraid to say anything as I do not want to contribute further to her predicament.

I know many will say she should just keep stumb but she's worried about consequences of doing that as she owns a house in Spain and fears drastic action- charge against her property etc

Anyone ever find themselves in similar situation

Hola

The best answer is to go and see a gestor - but take loads of tissues because he will be crying with laughter. There are many people here with much greater days, even some with 365 days each year that do not pay tax in Spain.

Davexf

I think the gestor idea is excellent as I genuinely am afraid of advising her either way

Thanks for your input

Nobody's likely to notice...

...or care, unless she's living here permanently for years. Then it can get messy if she's stopped in a police (Guardia Civil) control. They're trained to look for signs of people residing permanently without declaring residence. If they sense that may be the case, it can get ugly.

She owns property here as a "non-resident"? Not sure if that could be an advantage or not. I know a German who's lived in Mallorca for 50 years, owns a house, but never declared residency. The problem for him now is that he's 84 years old. So now, he wants to sell his house and move back to Germany where he can get better OAP healthcare benefits, but non-resident property owners (regardless of their age) are liable for capital gains tax. In his case, big problem because he paid pennies for his house 45 years ago. Now it's worth a bundle. Almost all of what he sells it for will be CGT taxable. Upwards of 40 grand in tax, I reckon.

I wouldn't worry about it for a few days over.

Cheers

I will show her your reply but at the end of the day it's her call. I am afraid to even suggest she might be ok for such a short overstay as if the sh1t hits the fan then it's my fault!!!

Bless your friend, an honest person by the sounds. In the circs, the only way that this may flag up is if THEY bring it to attention, honestly.
Did she leave Spain at any time for any reason, Gibraltar even? Even if not,honestly, let it go. There are FAR bigger fish here as regards that aspect as has been highlighted. If their centre of economic interests is still the UK, they pay tax there and worried about the UK HMRC, take a look on their website at the test for UK tax residency, that may help put your friend at ease. Unless they have done some major avoidance here, Capital gains, Inheritance or similar, jog on I think!

There is absolutely no way that the Spanish authorities are going to invest the resources to prove that she didn't take a two week holiday in France or Portugal at some time during the 191 days, by just driving over the border.

It is unlikely that there is evidence even theoretically available unless she uses a credit card every day or two in Spain.

AFIK; If (in the very unlikely event) it became an issue it is up to you to prove

As others have said I would let sleeping dogs lie. If you seek advise from gestor or any official they will simply say what rules are i.e. 183 days. I would advise that they take more care counting next year. How is anyone going to know unless you make them aware.

Correct. Bad choice of words on my part. But there is no alerting system for her to have triggered to alert the authorities of her overstay.

My friend has just sold his house; been here for 20 years and never paid tax in Spain - so solicitor simply said he prepare tax returned for the last three years which will satisfy the authorities and save him the inheritance tax - saving 15K roughly

Davexf

Spain isn't quite an Orwellian State.....yet.