The most common mistakes made by non-residents property owners in Spain are the two following:
– to ignore that they are liable to file a yearly non-resident income tax return.
– to think that their liabilities are just to complete and file a tax return and that whoever acquainted with the Spanish tax system can be in charge of these task.
You should be aware that the Spanish authorities are improving the ways to catch up people defaulting the payment of this tax. Property tax (IBI-SUMA) and some other records are being used to identify those owning property in Spain who do not pay this tax. If you are caught by the Tax Authorities you will be liable to pay the last four years’ tax and probably significant fines.
Once you start to pay this tax or if you are already paying it, for your peace of mind, you should consider appointing a fiscal representative who can provide you a comprehensive tax service. Our expert team may provide you that service for a modest fee right now.
Please note that the Spanish Tax office sends notification of any outstanding taxes to your fiscal address, which is initially your property address in Spain. If after two attempts to deliver the notifications, you do not receive them, you will be officially notified, which means your notification will be published by the Government. After this, the Tax Office is free to proceed with embargoes which might be applied to your bank account or even to your property.
As result of appointing our firm as your fiscal representative, our address will be named as your fiscal address for tax notifications and Aniorte & Laakso will assume the responsibility of receiving any formal communication and informing you inmediately. For sure, distress caused by lack of notification, such as unexpected fines or even having your bank accounts or property have been seized, will not be a problem for you.
The services included in our fiscal representation service are the following:
- Fiscal address for notifications
- Analysis of your fiscal situation
- Tax calculations
- Meeting with a tax advisor in your native language
- Completing and filing income tax returns (upon receipt of covering funds)
- Tax advice on all questions related to non-resident taxation, including informing about main changes in current regulation
- Free legal consultations regarding owning a property and non-resident taxes in Spain
- Legal paperwork safekeeping (NIE numbers, wills, paid tax forms, power of attorney, title deeds, etc.)
We can assist you even if you are a non-resident owning property in another region of Spain.
Browse through the below topic to find more information about the non-resident income tax.
Please contact us for more information about the fiscal representation service
LOCAL /ANNUAL TAXES IN SPAIN