gizmo01

I intend to move permanently to Spain later this year. At the moment I, of course, pay UK tax and have a UK bank account. All my money is paid by cheque into the account and when I move to Spain I will transfer money into my Spanish bank account from UK bank account regularly. I would rather pay tax in Spain and not in the UK anymore. Does anyone know if this is possible?

accommodation-in-spain

I think it depends on if you are earning your money in the UK but I may be completely wrong.

I am sure if you contact someone via the HM Revenue & Customs I am sure they will be able to answer your question:

http://www.hmrc.gov.uk/

Mitzyboy

As far as I know if you reside in Spain then you become a spanish tax resident and will pay tax in Spain.

Fred James

You will pay tax in Spain.

Once you have registered with the Spanish taxman you can get a form from HMRC which will enable you to have your UK income paid gross.

gizmo01

Hi
Thanks for your replys to my question. That has cleared things up a bit for me.

vox populia

Hi Fred James is there benefits to paying your tax in spain rather than GB as you mentioned about get paid gross in spain?

Mitzyboy

I may be wrong, but I don't think you have a choice once you become a resident ... I didn't think there was an opt out clause.

In general taxes are higher I believe in Spain than in the UK, but for people that have retired and have a relatively low income it tends to take you out of the tax brackets altogether in the UK and Spain. For instance I was of course paying interest on my building society accounts and bank accounts at source, but now I am paying nothing.

You de register for tax in england therefore getting all payments paid gross, and you declare over here using the allowances available to you. Only Gov't pensions are taxed in the Uk then.

Fred James

There are no benefits of paying tax in Spain - it is not optional and the tax rates are often higher than the UK.

You can only get your UK income paid free of UK tax if you can prove that you are paying the tax in Spain.

Rosemary

I have been reading the threads regarding tax, does anyone know of a good gestoria in the Alzira, Cullera, Sueca area who could organise my tax situation. Preferably English speaking, my Spanish is not up to leal level.
Also is it worth while applying for residencia?