ray.lemon

Hello, I have a question regarding Spanish Income tax that I hope somebody may have an answer to. First a quick outline of our circumstances......My wife is due to receive a moderate payout for compensation for medical neglience but attached to that is a annual payment to compensate her for not being able to work also included in this amount is an allowance for me to be paid as a caregiver. Now in the UK we've been informed that this is non-taxable as it is a compensation payout and I was wondering if this is the same in spain,,,I realise this may need taking to a good tax accountant in spain but am just looking for pointers as to how viable a move to spain would be.

Cheers
Ray

Fred James

All these sort of situations are different and I am sure you don't want to go into the details on a forum.

There are pages of exemptions from tax listed in the Spanish tax manual and most of them refer to various sorts of disabilities and compensation from things like car and industrial accidents.

I would be very surprised if your benefits are taxable in Spain but if it is going to be a show stopper with regards to making your future plans then you will have to get specific advice from either the tax office here in Spain or from a very knowledgeable tax advisor here.