Go Back  British Expats > Living & Moving Abroad > Europe > Spain
Reload this Page >

Question re making a will

Question re making a will

Old Aug 29th 2019, 4:21 pm
  #16  
 
Fred James's Avatar
 
Joined: Jun 2006
Location: Granada Costa
Posts: 10,877
Fred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond repute
Default Re: Question re making a will

I'm not even sure that Spanish law has the concept of an executor.
Fred James is offline  
Old Aug 29th 2019, 6:53 pm
  #17  
Forum Regular
 
Joined: Dec 2017
Location: Malaga
Posts: 80
NABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond reputeNABman has a reputation beyond repute
Default Re: Question re making a will

We recently revised our UK wills and therefore our Spanish wills (property and assets in both jurisdictions). Our Spanish lawyers firm are Executors and the will confirms the existence of our UK Will and the clear instruction that our Spanish estate is to be liquidated and alĺ proceeds are to be forwarded to the UK for final settlement.

NABman is offline  
Old Aug 29th 2019, 7:10 pm
  #18  
BE Forum Addict
 
el collado kid's Avatar
 
Joined: Jul 2019
Location: jalon valley costa Blanca
Posts: 4,283
el collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond reputeel collado kid has a reputation beyond repute
Default Re: Question re making a will

all we want really is to stop a certain person gaining after our deaths, and to make sure our daughter dose.we want her to be the soul inheritor
el collado kid is offline  
Old Aug 29th 2019, 7:32 pm
  #19  
Forum Regular
Thread Starter
 
Mustard's Avatar
 
Joined: Feb 2015
Location: Madrid
Posts: 155
Mustard is an unknown quantity at this point
Default Re: Question re making a will

Originally Posted by NABman
We recently revised our UK wills and therefore our Spanish wills (property and assets in both jurisdictions). Our Spanish lawyers firm are Executors and the will confirms the existence of our UK Will and the clear instruction that our Spanish estate is to be liquidated and alĺ proceeds are to be forwarded to the UK for final settlement.
I'm very interested to know if when you say 'forwarded to the UK' do you mean directly to the UK legatees or to the Executor of your UK Will?

Last edited by Mustard; Aug 29th 2019 at 7:36 pm.
Mustard is offline  
Old Aug 29th 2019, 8:20 pm
  #20  
 
Fred James's Avatar
 
Joined: Jun 2006
Location: Granada Costa
Posts: 10,877
Fred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond reputeFred James has a reputation beyond repute
Default Re: Question re making a will

Originally Posted by NABman
We recently revised our UK wills and therefore our Spanish wills (property and assets in both jurisdictions). Our Spanish lawyers firm are Executors and the will confirms the existence of our UK Will and the clear instruction that our Spanish estate is to be liquidated and alĺ proceeds are to be forwarded to the UK for final settlement.
There is no such thing as an ‘estate’ in Spanish law. Each beneficiary is responsible individually for any taxes due and the amount depends on the personal circumstances and relationship to the deceased. They have to pay the tax before they get the money even if they are not resident in Spain. In the UK the total assets of the deceased are the ‘estate” and any taxes are taken out of that before being distributed, which is where an executor is involved. Inheritance tax is paid by the “estate” not by the beneficiaries.

The two systems are totally different.
Fred James is offline  
Old Aug 29th 2019, 8:48 pm
  #21  
Forum Regular
Thread Starter
 
Mustard's Avatar
 
Joined: Feb 2015
Location: Madrid
Posts: 155
Mustard is an unknown quantity at this point
Default Re: Question re making a will

Originally Posted by Fred James


There is no such thing as an ‘estate’ in Spanish law. Each beneficiary is responsible individually for any taxes due and the amount depends on the personal circumstances and relationship to the deceased. They have to pay the tax before they get the money even if they are not resident in Spain. In the UK the total assets of the deceased are the ‘estate” and any taxes are taken out of that before being distributed, which is where an executor is involved. Inheritance tax is paid by the “estate” not by the beneficiaries.

Sounds like leaving Spanish assets to a UK resident could be very problematic as thay would have to deal with the Spanish tax system.

The two systems are totally different.
So if hypothetically I have 'bienes' in Spain of 200,00 and leave 100,000 to my girlfriend in Spain and 100,00 to my brother in England, they both have to complete tax forms which decides how much they will receive, depending on various factors. In the meantime, who is sitting on the money and administering the assets if the concept of Executor doesn't exist?

Sounds like leaving Spanish assets to a UK resident is difficult for the legatee as they would have to deal with the Spanish tax system.

Last edited by Mustard; Aug 29th 2019 at 8:56 pm.
Mustard is offline  
Old Aug 30th 2019, 7:01 am
  #22  
Retired and loving it!
 
snikpoh's Avatar
 
Joined: Sep 2007
Location: Ontinyent - Valencia region (campo)
Posts: 5,151
snikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond reputesnikpoh has a reputation beyond repute
Default Re: Question re making a will

Originally Posted by Mustard
So if hypothetically I have 'bienes' in Spain of 200,00 and leave 100,000 to my girlfriend in Spain and 100,00 to my brother in England, they both have to complete tax forms which decides how much they will receive, depending on various factors. In the meantime, who is sitting on the money and administering the assets if the concept of Executor doesn't exist?

Sounds like leaving Spanish assets to a UK resident is difficult for the legatee as they would have to deal with the Spanish tax system.
Yes, they both have to have NIE's and must pay any taxes due - before receiving any assets. This can be hard if they don't have spare cash to pay the taxes.

I think the assets just 'sit' there. Any property can't be sold until taxes have been paid. Any cash is held in the banks.
snikpoh is offline  
Old Aug 30th 2019, 9:02 am
  #23  
BE Forum Addict
 
Joined: Aug 2006
Location: Velez-Malaga
Posts: 4,873
Lynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond reputeLynn R has a reputation beyond repute
Default Re: Question re making a will

Originally Posted by Mustard
So if hypothetically I have 'bienes' in Spain of 200,00 and leave 100,000 to my girlfriend in Spain and 100,00 to my brother in England, they both have to complete tax forms which decides how much they will receive, depending on various factors. In the meantime, who is sitting on the money and administering the assets if the concept of Executor doesn't exist?

Sounds like leaving Spanish assets to a UK resident is difficult for the legatee as they would have to deal with the Spanish tax system.
Money in bank accounts just sits there, other investments likewise, property just keeps accumulating costs such as utility standing charges, IBI bills and community fees if applicable. Once the inheritance tax is paid and, in the case of property, an escritura de herencia drawn up by a notary, then the legatees can take possession.

It really can be difficult and costly for a UK legatee to receive an inheritance of assets in Spain. A friend of ours inherited a house in Spain from her brother (he had no closer relatives). She also inherited his UK property and savings - luckily, because she was able to get probate in the UK quite quickly and use that money to pay the Spanish inheritance tax within six months of his death. The Spanish inheritance tax was quite substantial, even on a house valued at under €100,000k, she also had to pay plus valia to the Ayuntamiento on the "official" increase in the value of the land the property was built on, and of course she had to pay a lawyer to sort everything out for her. It all took well over a year. A child inheriting a Spanish house from a parent would pay less inheritance tax as they are in a different group for Spanish IHT purposes, having a closer degree of relationship. Leaving it to a girlfriend, though, would mean an even higher IHT bill for her as she would be classed as a person unrelated to the deceased and therefore would not be entitled to claim any tax allowance to offset against the IHT due.

Last edited by Lynn R; Aug 30th 2019 at 9:06 am.
Lynn R is offline  

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Contact Us - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service -

Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Use of this site indicates your consent to the Terms of Use.