Tax
Feb 19th 2019, 2:56 pm
#1
Just Joined
Thread Starter
Joined: Feb 2019
Posts: 6
Tax
Hi I'm hoping someone can help, what's the best way to deposit a British cheque of £12,000 without having to pay too many fees.
Also will I have to declare it to hacienda? I haven't done one before so not too sure anabo it, or is it better to declare straight away and pay any taxes. Someone mentioned 40% that seems a bit much even for Spain lol.
If anyone can help it would be greatly appreciated 😊
Also will I have to declare it to hacienda? I haven't done one before so not too sure anabo it, or is it better to declare straight away and pay any taxes. Someone mentioned 40% that seems a bit much even for Spain lol.
If anyone can help it would be greatly appreciated 😊
Feb 19th 2019, 6:12 pm
#2
Herreño
Joined: Aug 2015
Location: La Isla Meridiano
Posts: 274
Re: Tax
Deposit the cheque in a U.K. bank account, then transfer the amount in Eur using a currency transfer company, to a Spanish account.
I do not pay commission or tax on my transfers from the U.K.
I do not pay commission or tax on my transfers from the U.K.
Feb 19th 2019, 6:45 pm
#3
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Joined: Feb 2019
Posts: 6
Re: Tax
That's great to know thanks
Last edited by Rosemary; Feb 19th 2019 at 7:33 pm. Reason: corrected quote
Feb 20th 2019, 2:48 pm
#4
Just Joined
Joined: Feb 2019
Posts: 8
Re: Tax
For inter-currency transfers, I strongly recommend Transferwise. The fees there are really low compared to doing it through the banks
(I've used their Borderless account that gives you GBP / EUR / AUD / USD bank account numbers and has been super helpful to me)
Feel free to PM if you need details and a referral
(I've used their Borderless account that gives you GBP / EUR / AUD / USD bank account numbers and has been super helpful to me)
Feel free to PM if you need details and a referral
Feb 20th 2019, 2:58 pm
#5
Forum Regular
Joined: Aug 2018
Posts: 292
Re: Tax
I think you declare it on your tax return. Depends how you came by it. Sale of property , shares, etc?
Feb 20th 2019, 7:02 pm
#7
Joined: Jun 2006
Location: Granada Costa
Posts: 10,902
Re: Tax
It depends where the money came from. If it was earned income, yes you declare it (assuming you are tax resident in Spain). If it was a gift or inheritance you declare it. Where did it come from?
Feb 20th 2019, 7:19 pm
#8
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Joined: Feb 2019
Posts: 6
Re: Tax
So regardless where it comes from you declare it pretty much?
It's a gift from my Nan.
It's a gift from my Nan.
Feb 20th 2019, 9:26 pm
#9
Joined: Jun 2006
Location: Granada Costa
Posts: 10,902
Re: Tax
You still haven’t said if you are tax resident in Spain. Also where do you live? This makes a huge difference. Either way, you do not pay income tax on it, just, potentially gift tax.
Feb 20th 2019, 9:34 pm
#10
Just Joined
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Joined: Feb 2019
Posts: 6
Re: Tax
Sorry yes I'm a tax resident living in Malaga, do you know what tax they charge for a gift also wether it's best to declare straight away and pay the fees or through the hacienda? Thanks
Feb 21st 2019, 7:39 am
#11
Joined: Jun 2006
Location: Granada Costa
Posts: 10,902
Re: Tax
The tax would be about €1100.
If you asked a Spaniard about it, he would say that you should accept the gift in cash or transfer it in small amounts over time - a Spaniard would be very unlikely to declare such a small amount, especially if it didn't come from someone resident in Spain, but I could not possibly suggest that could I?
If you asked a Spaniard about it, he would say that you should accept the gift in cash or transfer it in small amounts over time - a Spaniard would be very unlikely to declare such a small amount, especially if it didn't come from someone resident in Spain, but I could not possibly suggest that could I?
Feb 21st 2019, 12:25 pm
#12
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Joined: Feb 2019
Posts: 6
Re: Tax
That's great I will take everything into consideration, thanks Fred you've been a great help 😊
