CGT on selling main home

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01 Nov 2020 4:51 PM by Poppyseed Star rating. 897 posts Send private message

I have received and am reading much conflicting advice so if anyone is a tax expert or knows of one I can contact please let me know.

We are looking to become Spanish resident towards the end of 2020, probably in December,the process has been started. Our current main home is in France and it's not certain the sale can complete before the end of the year. If it completes after 31/12/20 when we will hopefully be resident in Spain will we have to pay CGT on the sale if the proceeds are going to be reinvested in a main home in Spain? We are both of 65 and have lived in our French home over 3 years. 

Please only comment if you definitely know or can direct me to someone who does as I am confused enough already. I know what I "think" but I may be wrong and it could be a costly mistake either way if I get it wrong.

 

Thanks.

 


This message was last edited by Poppyseed on 01/11/2020.

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01 Nov 2020 5:17 PM by Kavanagh Star rating in Oil Drum Lane Newcas.... 1311 posts Send private message

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You should stop reading all this conflicting advice and contact, The Agencia Estatal de Administración Tributaria (AEAT), commonly known as Agencia Tributaria, is the revenue service of the Kingdom of Spain, who are considered tax experts.



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01 Nov 2020 6:59 PM by Poppyseed Star rating. 897 posts Send private message

Thanks Kavanagh. I have had a look and found some of what I wanted, it talks about exemptions for over 65's and also if the proceeds are being reinvested in a main home but it doesn't mention that you have to have been resident in Spain for 3 years to qualify for these exemptions or whether the house being sold has to be in Spain. These are my main questions as I have been told by one 'tax' expert that the house sold has to have been a main home in Spain and the seller has to have been tax resident in Spain for 3 years. I will try and actually contact them unfortunately my experiences in France and Spain show the answer depends on which official is answering you, it can vary.

 


This message was last edited by Poppyseed on 01/11/2020.

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01 Nov 2020 7:29 PM by Kavanagh Star rating in Oil Drum Lane Newcas.... 1311 posts Send private message

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Most of the answers you are given from any so called ‘tax’ expert can be unreliable. The main difference is that experts charge ‘plenty’ and have no responsibility, whereas government authorities do not charge and have a duty to be accurate. You can put it all in writing to (AEAT) and query everything until you are satisfied.



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