We are moving to Spain in June this year and will be living near Murcia City.

hi , we are purchasng a 2 bed duplex penthouse on phase 4 , whilst appreciatint this is some way off at the moment !! , i was wondering if anyone could enlighten me on the the spanish wealth tax .

it is my understanding that you pay this tax on the equity in your property ?? is so it would appear better to have a loan on theproperty  to reduce the tax liability .

this system however would appear very difficult to adminster and almost impossible to police .

any avice would be most helpful .

 regards  peter 

Not an expert Peter and you should ask your Spanish solicitor but I believe wealth tax is 2% of value of property less any loans which is why many use mortgages to offset this.

Not at all difficult to administer as Spanish tax authorities are pretty efficient and your NIE number is basically their way of keeping on top of individuals but it is your responsibility to send a return each year which can be done eitther by yourself or a solicitor/accountant.

Plenty of good books to read and research the subject.

Hi Peter,

the following website seems very useful. www.payingtaxesinspain.pwp.blueyonder.co.uk t seems to be