Permanent Residence In Spain
 

We are looking to move to Spain before we retire and will not be working once we are there. I know that you have to apply to be a resident once you are living there for longer than 183 days a year, but is there any ruling on the amount of income you have to take with you to live on before you are accepted as resident? I read that you have to prove what income you have to support yourself prior to us receiving a UK state pension which for us is about 10 years away. We will have the funds from the sale of our property here plus a small private pension and will live off that plus the interest from the sale proceeds.

Also I have read different information about the tax we would have to pay once we have a property in Spain i.e. wealth tax etc. whether we are living there or not. Can anyone give me the right information about this as we have to budget for paying this plus our service charge on the property for a couple of years before we actually go out there to live?

Re: Permanent Residence In Spain
 

to apply for residencia u need at least 10, or i think it might of been 12, thousand pounds in the bank.

why do you want to become resident ?

alot of people arn´t...

i´m not.. and i´m here all the time...

and my friend.. who has been here 10 years, and works in a lawyers office.. isn´t either ;)

its a requiremtn.. but its not checked up on ;)

Re: Permanent Residence In Spain
 

to apply for residencia u need at least 10, or i think it might of been 12, thousand pounds in the bank.

why do you want to become resident ?

alot of people arn´t...

i´m not.. and i´m here all the time...

and my friend.. who has been here 10 years, and works in a lawyers office.. isn´t either ;)

its a requirement.. but its not checked up on ;)

you only NEED a NIE number.

Re: Permanent Residence In Spain
 

Thanks for your reply.

We don't particularly want to become residents. We thought we had to. We are going to be living right next to a very small town where the mayor knows everyone and the local residents invite the residents from the community (the only one within a few miles) to fiestas, football matches etc. The mayor has built a large house right next to the community. Therefore do you think it might be noticed if we didn't become residents. This may not be a town hall issue if we are paying all the right taxes?? I did read in a book about moving to Spain that they are doing more checks now. Do you mean £10-£12,000 per annum income or just that amount in the Bank as a lump sum and when was that figure applicable - was it a few years ago as it may have increased? We will have a lot more than that anyway from the sale of our property.

Gill

Re: Permanent Residence In Spain
 

My personal view -

Individuals' status is being checked on more and more these days. Yes, everyone has a friend or knows of someone who has been here for years without taking residencia, but why take the risk of being 'caught out ' ? I feel its reasonable that if you live in Spain, you should be come a resident.

If you live in Spain for more than 183 days a year, you are legally liable to pay Spanish income tax whether or not you are a resident.

For me at least, peace of mind is high on my list of priorities !

A few advantages of being resident

1. Non residents are subject to 35% capital gains tax, and not the 15% residents are liable for.
2. If you live here for more than 180 days a year and do not hold a residencia, you are breaking the law ! Fact !
3. There are wealth tax benefits for residents.
4. There are inheritance benefits for resendents.
5. Residents over 65 in some circumstances pay no capital
gains tax when selling their home.

A few disadvantages of being a resident......





For me the case is straightforward !

Re: Permanent Residence In Spain
 

Gill,

The medical and income requirements don't exist anymore. Like you, my wife and I have a few years to go until our pensions kick in.

All you need for residencia or 'Tarjeta de Residente Comunitario' as it is now called for EU citizens is:- an NIE, passport valid for six months, application form (EX16) and 2 photos. After a few weeks you will get a letter advising you that you are successful and a payment form to pay 6.44€ tax, which you can do at any bank. A few weeks after that you will be invited to a local police station where you will be fingerprinted. At this stage you will need two more photos. You will then be asked to return to the police station in approx 40 days to pick up your card.

This is how it works in Valencia, but in Spain different provinces may have different rules.

Derek

Re: Permanent Residence In Spain
 

Thanks for that. We will come under Valencia I think - we will be near to Guaduarmar about 30 kms from Alicante. The only problem is that we will be going to Spain once next year to choose our furniture and then back again maybe 3 months later to complete the purchase. We cannot really go again in between. Does it have to be fairly close to 40 days or is there a cut off time for going back to pick up the card?

Gill

Re: Permanent Residence In Spain
 

Gill, if your'e not living here yet you don't need it. Wait until you've moved permanently and then apply. BTW the fingerprinting is a specific appointment, but the 40 days is flexible.

Derek