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My wife & I have recently bought a property in Spain (Barcelona). We are tax residents in UK but have a residency card (TIE) in Spain, as we used to live there full time. We spent less that 183 in Spain, per year. My question is, how are we taxed now, regarding the property? Do we have to file non resident tax forms for the property, as we are not tax residents?
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You should have informed the Spanish authorities that you are no longer a resident of Spain ...if you haven't done so you are liable for all the Spanish Taxes as per Spanish resident you also need to inform your Bank in Spain that you are no longer a Spanish resident...you can only be a resident of one country.
This message was last edited by windtalker on 08/10/2021.
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Hi Windtaker, I did inform authorities that I had left but as my NIE said EU citizen on it, I was able to obtain my TIE. I am a tax resident of UK, but will spend a decent amount of time in Spain so won't be a tax resident there. That's why I wondered how I declare for this year.
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A TIE ...is for a British expat that is a full time resident of Spain ..as you said you now live in the UK so you are no longer permitted to use a TIE Spanish resident's card...as for the NIE.card the number on the card will stay with you for Life anyone that owns a property / holiday home or a permanent resident has a NIE..as I said before you can olny be a resident in one country ..this is the country that you will pay income tax to...if you are like me and spend less that 183 days in Spain you will be classified as a holiday maker ..a holiday maker is also permitted to own property in Spain which they will be eligible to pay none resident tax on the property this is the only tax that the Spanish government will require you to pay as a none resident..
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Thanks. What do you make of this statement though?
If you spend more than 183 days per year in Spain (6 months), you will be regarded as a tax resident. On the other hand, only living from 1 to 182 days in the country will imply you are a non-resident. ... So, as you can see, you can have the residency in Spain and still be considered a non-resident.
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Christ3005 it sounds like you have been reading the Facebook forum Brexpats in Spain...this site is full of Brit's trying to beat the system ... lots of people have been Ducking and Diving over the years but this came to a abrupt end when the UK left the EU ..I have a good friend of mine that used to be a full time resident in Spain ..and frequently traveled back and forth to the UK for a couple of months at a time ..he was telling me that when he came over to Spain by car for what he thought was his regular 8 weeks stint he had his passport stamped on entering Spain and was promptly informed that he was only permitted to stay in Spain for another 11 day's due to the 90 days in every 180 day EU rules...as I said before have a look on Facebook Brexpats in Spain and read some of the post's put on by stupid duckers and divers ..it will make you laugh.
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Hi. I don't go on FB, ever. That was from Immigration Spain website. I've read similar on other legal services such yes.
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Hello Christ
I realise this is a long shot and may seem bizarre to some, but have you thought about contacting the Spanish tax authorities to sort out your tax status in Spain? They do not charge for their advice.
_______________________ There is enough in the world for everyone, but not enough for the greedy!
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You are confusing physical residency with fiscal residency. It is technically possible to be resident in one country, but fiscally (tax) resident in another.
If you stay in Spain more than 183 days in any fiscal year, you will by default be deemed a tax resident. As you have stated that you spend less time than this in Spain, and are a tax resident in the the UK, you will be liable for non-resident income tax on your property, which you will submit by filing form 210 annually. Assuming you are UK citizens, you will be taxed now at the non-EU citizen rates.
I am aware of non-resident holiday home owners who applied for residency/TIE before the Brexit deadline, intending using this apparent loophole to get around the 90/180 rule, post-Brexit. I haven't heard (yet) of anyone falling foul of this pratice - but I would not be at all surprised if the Spanish authorities at some point start comparing the foreign residents register with individual tax statuses, with a view to drawing some of those "residents" in to their tax nets. Much as I personally despair at the fact that British citizens have lost (thrown away?) their right to freedom of movement, I would not recommend anyone take this route - those nets can be awfully tricky to wriggle out of once caught!
_______________________
"Get your facts first, then you can distort them as you please"
Mark Twain
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