bertiemc

I am a Spanish resident with a TIE based in Altea, but I work from home (more than 180 days per year in Spain) for a UK employer who pay me through PAYE in the UK.

I know there is a double taxation system here and have asked a few local tax firms what I need to do. Was told that if I earned under 60,000 euros per year then I just pay UK tax.
Recently someone suggested that is wrong.

I'd like to find a tax advisor who has actual experience of this. Can anyone recommend one please?

Many thanks!

Rosemary

Spain is a big country so probably best if you say which area you are in so that people can recommend a tax advisor near to you.

Rosemary

bertiemc

Thanks Rosemary, I'm in Altea and have just updated the original post. Any help much appreciated.

snikpoh

I presume you also, therefore, pay NI in UK and not Spain and so have private medical cover here?

It's my understanding that this is not correct and you should be self-employed and bill your UK company for services rendered.

Try these people https://taxadvicespain.com/

spainrico

These people are experts and understand international clients, speak excellent English and understand UK tax law as well -

https://www.pellicerheredia.com/en/

I use them myself for all my tax and legal affairs.

Barriej

Try Express Legal in Albir, they use a good spanish accountant.

Phone them and ask.

tebo53

I have used Express Legal Solicitors in Albir for many years. It's ran by English people.

www.expresslegalsolicitors.com

Steve

Notdunroamin

Whomever told you €60k is talking BS!

Working from home in Spain makes days irrelevant and as a non UK resident not performing significant work in the UK you are not entitled to be paying class 1 NI.

Dual tax agreements are instruments designed to ensure that you don't pay tax twice on the same income, where tax is actually due is a matter determined by circumstances and in those you have outlined that is without doubt Spain where you should be working as autonomo being paid gross by your employer and contributing to Spanish social security for your health care.

SanNico

I think the issue is a bit bigger than that. OP is working in Spain, presumably remotely, but getting paid in the UK as a PAYE employee. I'd suggest they get professional advice but I'm 90% sure they needs to register as autonomo to do that.

snikpoh

That's correct but is not legal. They can NOT live in Spain and expect to pay tax in UK (or SS for that matter).

The solution, is to be self employed here and bill the UK company for services rendered.

mikelincs

Another shout out to them. I lived in Albir for a while and used them to do my residencia and also to try and claim back some €8000 which should have been returned to us after being overpaid on a house sale. They investigated, but the Gestor we had used had skipped without leaving a forwarding address, they could have continues by going through the courts but warned us it would be likely to cost more than the money returned. I also knew one of the people working there at the time, she is now back in the UK however.

bertiemc

Thanks to everyone for your replies, much appreciated.

Loco

Save for the amount has to be under 60.100 euros the local tax firms are probably right due to Art.7.p of the IRPF law and 6 Regulation IRPF as you appear to fit the criteria. Its not actually to do with double taxation treaties as such.

Based on what you say you probably still have to declare it and everything else to the Spanish Tax Authorities.

Be careful !

Best
Loco







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SanNico

Did you manage to get an answer? It may be useful for others to know.

bertiemc

Hi everyone, in the end I have contacted a couple of advisors and I need to be paid as a contractor in Spain by my UK employer (as suggested here). First step has been to get HMRC to change my tax code to zero tax there (currently in progress), then I need to register as an autonomo.

Thanks for all your replies.