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Tax liable Spain and UK

Tax liable Spain and UK

Old Nov 22nd 2019, 1:15 am
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Default Tax liable Spain and UK

What does one do if you become tax liable in Spain by spending over 183 days in country but also in the UK (domicile) by spending over 120 (90-120) days also?

I have been wondering about this, am retired but my pension is from a 3rd country (not taxed at source). Would I be liable in both countries for the full tax or could I opt to pay tax in one country and not the other based on tax treaty.

I have been wondering about this especially as UK tax is lower than Spain for me. Could I live in both places with one tax bill?
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Old Nov 22nd 2019, 8:09 am
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Default Re: Tax liable Spain and UK

This I think covers it

https://www.gov.uk/guidance/living-i...#money-and-tax
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Old Nov 22nd 2019, 9:32 am
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Default Re: Tax liable Spain and UK

Originally Posted by Rorypens View Post
What does one do if you become tax liable in Spain by spending over 183 days in country but also in the UK (domicile) by spending over 120 (90-120) days also?

I have been wondering about this, am retired but my pension is from a 3rd country (not taxed at source). Would I be liable in both countries for the full tax or could I opt to pay tax in one country and not the other based on tax treaty.

I have been wondering about this especially as UK tax is lower than Spain for me. Could I live in both places with one tax bill?
I thought you had opted for Portugal due to tax situation?
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Old Nov 22nd 2019, 9:35 am
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Default Re: Tax liable Spain and UK

Originally Posted by Moses2013 View Post
I thought you had opted for Portugal due to tax situation?

I have Moses, am just intrigued by this question though. I never did finish my personal review of Spain before I opted for Portugal as I could not find a gester who would discuss my situation other than face to face (that intrigued me as well).
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Old Nov 23rd 2019, 4:26 pm
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Default Re: Tax liable Spain and UK

You cannot be tax resident in two countries at the same time nor can you "opt" to pay your tax in one country instead of another.

Where there is a conflict your place of residence will be determined by which country you have the greater ties with, or as it's been put, 'the place where your family photos are on the mantlepiece'.
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Old Nov 23rd 2019, 4:43 pm
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Default Re: Tax liable Spain and UK

Or 'Your centre of economic interest'
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Old Nov 28th 2019, 2:21 pm
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Default Re: Tax liable Spain and UK

Originally Posted by Notdunroamin View Post
You cannot be tax resident in two countries at the same time .
Not quite true. You can be tax liable to more then one country, residence is not always relevant. Local tax governance apply, not personal expectations.
https://www.gov.uk/tax-foreign-income/residence
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Old Nov 28th 2019, 4:43 pm
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Default Re: Tax liable Spain and UK

There is a big difference between being liable to pay tax and tax residency. Income arising in the UK (with some exceptions such as pensions etc) is always taxed in the UK irrespective of tax residency. If you meet the tax residency requirements in both countries the taxation treaty ultimately determines which country you are tax resident in. It also allows for the offsetting of tax paid in both countries, one against the other with UK tax paid deducted from Spanish tax paid on the same income.

https://assets.publishing.service.go...-_in_force.pdf
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