I am considering buying a second property by the beach for our siblings and their (potential) siblings use.
Having read elsewhere about Spanish inheritance tax laws would it be best if I purchased in their names?
If yes would they all (3) need NIE's etc. or could I get away with naming the eldest child only on the understanding ownership was shared with the other siblings thus avoiding some paperwork?
Also could I use my current Spanish bank account to buy and run the new property with or preferably without adding a siblings name to it?

Thanks in advance.

Talk about brotherly love, wow.

I would certainly put it in the names of your children.

Having seen how some families develop over time, I would name all the children on the deeds.

Your bank will be fine.

It was early!

Thanks. Do you know if they would they all need to go over to Spain to sign the documents? Bit difficult as one lives in Singapore.

I believe that they can give power of attorney to someone else. They will all need NIE numbers of course.

Hola

This is exactly what I did in 2002 on advice from Blevins Franks; I have an usufructo which gives me the right to live there, but I am (on paper) a pauper so inheritance tax will never be a problem

Davexf

Have you looked at placing it within the wrapper of a UK Ltd Company? The company would hold shares, say one for everyone concerned. UK wills could be used to leave shares to whoever the donor wishes, as we are talking UK law, there would never be a gain until the property was sold, downside is half yearly audited accounts at say, £1000 p/a, but it gets rid of much of the Spanish autocracy.

Plus the cost of annual submission to Companies House and then the cost of changing share ownership when someone dies etc.

The overheads can be quite high - IMO

We did almost exactly the same with the advice from BF except that both my wife and I are both owners as well dividing the ownership between all FIVE of us. This means that each 1/4 is less than the value for IHT. The Notary we used also recommended a clause in our wills which he said comes from Italian practice whereby if any of the children gets bolshi they are disinherited.

For our purchase my wife and I together with our daughter were on holiday and all bowled into a Notaries office and asked for power of attorney for each of us given to me. When we got back to UK I went along to the London consulate with my two sons and we got power of attorney for each of them. This meant I had 4 PA's and could deal with any requirement.

This was all done ten years ago and I had obtained 5 NIE's at the Extranajero office in Huelva for each of us.

All up it cost less than €200 to put us in a position to proceed with the purchase when required. To cap it all our chosen Abogado was so useless I sacked him and went along to the Notary's office myself and completed the sale myself.

This required a huge amount of research and extensive use of google translate but I got there in the end and we have a completely legal property with every item of paperwork required to sell the property when the time comes.

Not a good idea for normal property works for millionaire pads.

One snag with putting your childrens names on the escritura is if one of them gets divorced. You need a legal document whereby their partners sign away all rights to said property. A trust is much better than a company.

Please explain.

Jackytoo, please look at post number 7, he can´t be thrown out as he has a usofructo.

wasn't referring to that post.