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Old Aug 4th 2013 | 2:58 am
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Default Wealth Tax re-introduced?

A friend of mine has decided to 'baja' his residence for a number of reasons. Not least of which is that his lawyer and tax advisor has informed him that wealth tax is being 're-introduced' next year (I presume he means that the % will be increased or the allowances reduced). Has anyone heard about this for certain?

I suspect it's pure speculation but he insists that it is FACT.

He was also informed that he does NOT have to keep details of when he is in Spain. His lawyer told him that the onus was on Spain to prove when he has been in Spain. I know from previous threads etc. that people are always being told to keep receipts to prove when they are out of the country. He refutes this and says he knows (legally) that he does not have to. Thoughts ?
 
Old Aug 4th 2013 | 3:06 am
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Default Re: Wealth Tax re-introduced?

Wealth tax is in force at the moment. Of course they could change the allowances but I certainly haven't seen any rumours about that.

As for tax residency it is up to him to prove he wasn't in Spain, not the other way round.

Hacienda will just send him a demand/fine and access his bank account or embargo his property if he refuses to pay it. It will be up to him to challenge their decision with his proof that he was not in Spain.

It is also worth noting that you can be deemed tax resident even if you don't spend over 6 months in Spain. For example if the centre of your family interests or economic interests are in Spain you will be deemed tax resident.

Good example of this is if your wife (and children if appropriate) lives in Spain you will be deemed tax resident.

It's an absolute minefield and we know exactly who lays the mines!
 
Old Aug 4th 2013 | 3:51 am
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Default Re: Wealth Tax re-introduced?

Time the Brits got out of Spain and also ceased holidaying there.

They should consider some places that are friendlier and less corrupt.

May I suggest Afghanistan Iraq or Iran as starters.
 
Old Aug 4th 2013 | 4:06 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by Fredbargate
Time the Brits got out of Spain and also ceased holidaying there.

They should consider some places that are friendlier and less corrupt.

May I suggest Afghanistan Iraq or Iran as starters.
Err, OK if we all come to Gibraltar Fred ?

I'm sure you can cope with another few hundred thousand of us alright and I don't think the Monkeys will mind too much, lots more scraps and tasty morsels for them, so everyone will be happy,.....won't they ?
 
Old Aug 4th 2013 | 4:09 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by Dick Dasterdly
Err, OK if we all come to Gibraltar Fred ?

I'm sure you can cope with another few hundred thousand of us alright and I don't think the Monkeys will mind too much, lots more scraps and tasty morsels for them, so everyone will be happy,.....won't they ?
Can you afford the proposed €50 congestion charge to cross the frontier??

If so I have a couple of spare beds

http://gbc.gi/news/2170/playtime-is-...h-on-gibraltar
 
Old Aug 4th 2013 | 4:15 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by Fredbargate
Can you afford the proposed €50 congestion charge to cross the frontier??

If so I have a couple of spare beds

http://gbc.gi/news/2170/playtime-is-...h-on-gibraltar
I can but what about a few hundred thousand of my mates, got beds for them as well?

As for the charge, .....Check the other thread for an even better idea.

Last edited by Dick Dasterdly; Aug 4th 2013 at 4:17 am. Reason: add on
 
Old Aug 4th 2013 | 4:22 am
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Default Re: Wealth Tax re-introduced?

 
Old Aug 4th 2013 | 4:25 am
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Smile Re: Wealth Tax re-introduced?

Originally Posted by Fred James
Wealth tax is in force at the moment. Of course they could change the allowances but I certainly haven't seen any rumours about that.

As for tax residency it is up to him to prove he wasn't in Spain, not the other way round.

Hacienda will just send him a demand/fine and access his bank account or embargo his property if he refuses to pay it. It will be up to him to challenge their decision with his proof that he was not in Spain.

It is also worth noting that you can be deemed tax resident even if you don't spend over 6 months in Spain. For example if the centre of your family interests or economic interests are in Spain you will be deemed tax resident.

Good example of this is if your wife (and children if appropriate) lives in Spain you will be deemed tax resident.

It's an absolute minefield and we know exactly who lays the mines!
Hi Fred we have the green A4, S1 and are tax resident. We always fly in via Faro but once a year sail in via Bilbao, Santander or Gijon, if we came in through France instead they would have no record that we were actually here so if we became non resident how would they know if we were here or not. I may have to think about it next year with the changes to the DTT!
 
Old Aug 4th 2013 | 4:53 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by Fredbargate
Can you afford the proposed €50 congestion charge to cross the frontier??

If so I have a couple of spare beds

http://gbc.gi/news/2170/playtime-is-...h-on-gibraltar
That's OK, they're talking about an entirely different Gibraltar:
Gibraltar, a British overseas territory lying on the northern tip of Spain, has been the subject of a dispute over three centuries of sovereignty, as Spain asserts a claim on the Rock.
Source: The Independent (until they make a correction )
 
Old Aug 4th 2013 | 5:27 am
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Default Re: Wealth Tax re-introduced?

Very simple. Ask the customs to stamp your passport in and out. Even on the border with france there are customs (as non eu residents have to be "stamped" wherever they enter the country.)

As has been said, you have to prove your absence, however they will accept boarding cards so book some cheap flights from Uncle Mick (oh and make sure you don't use a spanish ATM while you are "away".)
 
Old Aug 4th 2013 | 5:36 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by frigilianafreddy
Very simple. Ask the customs to stamp your passport in and out. Even on the border with france there are customs (as non eu residents have to be "stamped" wherever they enter the country.)

As has been said, you have to prove your absence, however they will accept boarding cards so book some cheap flights from Uncle Mick (oh and make sure you don't use a spanish ATM while you are "away".)
You're joking - last time we came across, there was no one at the border. In fact, we didn't even know we were in Spain (but then we did come a strange route due to my navigator(a) !)
 
Old Aug 4th 2013 | 5:51 am
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Default Re: Wealth Tax re-introduced?

There is ALWAYS a CUSTOMS post. Rarely a passport checking process at Shengen european borders.
 
Old Aug 4th 2013 | 6:26 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by frigilianafreddy
Even on the border with france there are customs (as non eu residents have to be "stamped" wherever they enter the country.)
Once non EU residents are in the EU (Schengen area) there are no border controls. It is up to the country of entry to either allow them in or reject them.
 
Old Aug 4th 2013 | 6:39 am
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Default Re: Wealth Tax re-introduced?

There is always a CUSTOMS post. ALWAYS.

Google and see.

Schengen is ONLY about passports for eu citizens. You have every chance of a customs dog sniffing your backside for counterfeit fags/alcohol/drugs etc.
 
Old Aug 4th 2013 | 6:44 am
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Default Re: Wealth Tax re-introduced?

Originally Posted by frigilianafreddy
There is always a CUSTOMS post. ALWAYS.
Why?

I recently traveled from Spain into France and back and their was no sign of a customs post

I also regularly travel between Spain and Portugal and again there are no signs of customs posts.
 


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