residency subject again - sorry!!
#1
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residency subject again - sorry!!
My hubby works abroad and is home (Spain) approx 3 months a year. He is paid from the UK into a UK bank (pays UK tax on his pay) and has a UK address for the bank. I am here permanent,signed on padron and have residency. I am not working so not liable for tax here, but where does my hubby stand? He is home in April for 3 weeks, does he need to do anything about tax here? He is not resident as he is hardly ever here, I will do a tax return but won't have to pay anything but advice on what he should be doing would be appreciated. Another question - what is the difference for me between residency or fiscal residency. thanks in advance for any advice
#2
Re: residency subject again - sorry!!
My hubby works abroad and is home (Spain) approx 3 months a year. He is paid from the UK into a UK bank (pays UK tax on his pay) and has a UK address for the bank. I am here permanent,signed on padron and have residency. I am not working so not liable for tax here, but where does my hubby stand? He is home in April for 3 weeks, does he need to do anything about tax here? He is not resident as he is hardly ever here, I will do a tax return but won't have to pay anything but advice on what he should be doing would be appreciated. Another question - what is the difference for me between residency or fiscal residency. thanks in advance for any advice
From what you say your husband is not a Resident nor Fiscal Resident. He is properly paid and taxed in UK. If you fullfill the 183 day test you are a fiscal resident in Spain and should submit a tax return, You also need to get a green sheet Residencia and sign on the Padron.
#3
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Re: residency subject again - sorry!!
Thanks for that, my hubby is not in Spain for more than 183 days in one year - does this mean he doesn't have to do anything about tax here? I have the residency "certificate" and will be doing a tax return this year - does this then make me fiscal resident or is there more forms to fill in to go from resident to fiscal resident?
#4
Re: residency subject again - sorry!!
Thanks for that, my hubby is not in Spain for more than 183 days in one year - does this mean he doesn't have to do anything about tax here? I have the residency "certificate" and will be doing a tax return this year - does this then make me fiscal resident or is there more forms to fill in to go from resident to fiscal resident?
If you complete the Residents Tax return later in the year in June that puts you both on a level footing and makes things easier down the line such as Capital Gains tax and Inheritance tax.
#5
Re: residency subject again - sorry!!
The residency issue may not be as simple as that.
Your post implies that your husband does not work in the UK but gets tax deducted in the UK on his income which is deemed to be arising in the UK.
This does not necessarily make him tax resident in the UK.
Even though he does not spend 183 days in Spain, the fact that you have your family home in Spain could class him as a Spanish tax resident.
A lot depends on the individual circumstances but any tax paid in the UK could be offset against any tax due in Spain.
Your post implies that your husband does not work in the UK but gets tax deducted in the UK on his income which is deemed to be arising in the UK.
This does not necessarily make him tax resident in the UK.
Even though he does not spend 183 days in Spain, the fact that you have your family home in Spain could class him as a Spanish tax resident.
A lot depends on the individual circumstances but any tax paid in the UK could be offset against any tax due in Spain.
#6
Re: residency subject again - sorry!!
The residency issue may not be as simple as that.
Your post implies that your husband does not work in the UK but gets tax deducted in the UK on his income which is deemed to be arising in the UK.
This does not necessarily make him tax resident in the UK.
Even though he does not spend 183 days in Spain, the fact that you have your family home in Spain could class him as a Spanish tax resident.
A lot depends on the individual circumstances but any tax paid in the UK could be offset against any tax due in Spain.
Your post implies that your husband does not work in the UK but gets tax deducted in the UK on his income which is deemed to be arising in the UK.
This does not necessarily make him tax resident in the UK.
Even though he does not spend 183 days in Spain, the fact that you have your family home in Spain could class him as a Spanish tax resident.
A lot depends on the individual circumstances but any tax paid in the UK could be offset against any tax due in Spain.
#8
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Location: inaskip
Posts: 1,380
Re: residency subject again - sorry!!
hang on.if he is working paying tax in uk.never here .then what are you all babling on about.
Last edited by betris; Mar 12th 2011 at 2:47 pm.
#9
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Re: residency subject again - sorry!!
he is actually in Australia, there for 16 weeks and here for 3 weeks, his company is UK based therefore paid as if in UK, totally confusing, but wanted the info as he is home in 3 weeks for 3 weeks and we would need to sort it, probably just go to local solicitor for advice,
thanks for all your replies
thanks for all your replies
#10
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Location: inaskip
Posts: 1,380
Re: residency subject again - sorry!!
he is actually in Australia, there for 16 weeks and here for 3 weeks, his company is UK based therefore paid as if in UK, totally confusing, but wanted the info as he is home in 3 weeks for 3 weeks and we would need to sort it, probably just go to local solicitor for advice,
thanks for all your replies
thanks for all your replies
#11
Re: residency subject again - sorry!!
The law is set up that way to stop people claiming to never be resident in one country long enough to pay tax anywhere.
#12
Re: residency subject again - sorry!!
he is actually in Australia, there for 16 weeks and here for 3 weeks, his company is UK based therefore paid as if in UK, totally confusing, but wanted the info as he is home in 3 weeks for 3 weeks and we would need to sort it, probably just go to local solicitor for advice,
thanks for all your replies
thanks for all your replies
#13
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Joined: Mar 2007
Location: inaskip
Posts: 1,380
Re: residency subject again - sorry!!
Read what I said - the law says that if your wife is tax resident in Spain and the "family" home is there, then you can also be considered tax resident in Spain.
The law is set up that way to stop people claiming to never be resident in one country long enough to pay tax anywhere.
The law is set up that way to stop people claiming to never be resident in one country long enough to pay tax anywhere.
#14
Re: residency subject again - sorry!!
yes fred the law is the law.but why would any body paying tax in uk and not living in spain open a can of worms and complicate things by going to the people who dont know there arse from there elbow and usualy make up rules as they go along just to relive you of your hard erned cash.
The OP specifically asked what the tax situation was - hopefully she is now the wiser and can make her own decisions as what to do.