Some current Spanish legislation might be of direct financial benefit for readers who have recently given birth, are about to give birth or adopt a child.
If you have given birth after 1 July 2007, you may be entitled to a 2,500€ child cash handout (or hand-up) from the Spanish authorities. So, if you have the good physical fortune and the not quite so good fiscal fortune to bear twins, the good news is that you are entitled to a cash payment of 5,000€ – rather giving lie to the Bulls eye catchphrase: “Stay out the black and in the red and remember you get nothing for two in a bed”. In order to apply for one’s (or indeed, two’s) entitlement, one need satisfy certain criteria. Let me address them
First, like Family Allowance, only the child’s mother can apply. Although, in the sad event that the mother is deceased or some such other stated exception, the right to apply passes to the father.
Second, your child needs to have been born in Spain and the birth registered with the Civil Registry. Unfortunately, this means all mothers who returned to United Kingdom to give birth are not entitled to the allowance.
Third, the mother needs to have been legally resident in Spain for the two years immediately prior to baby’s birth. But, what constitutes ‘legally resident’?
The easiest way to establish legal residency is by demonstrating fiscal residency i.e. you live here for more than 183 days per year and file annual Spanish income tax returns. Equally, you may still have a valid old-style residencia card, although these are becoming increasingly rare. The residency card effectively proves that you live here for 183 days per year (which, subject to certain exceptions, generally means you ought to be filing Spanish income tax returns in any event).
Alternatively, the A4 residencia certificate might just do the trick if you are able to provide corroborative evidence demonstrating that you live here for more than 183 days per year (but again this would mean that you ought properly to have been filing annual Spanish income tax returns). Catch 22.
Also, working mothers with children younger than three enjoy tax breaks, whereby each child carries a 1,200€ per year tax allowance. Further, in certain circumstances, mothers may apply for a 2,500€ interest free loan – although, again, you need have given birth in Spain.
To apply for the grant, allowance or loan you (or your lawyer) need to complete forms 140 or 141, each of which are available on-line (www.aeat.es) and present the same and relevant documents, to the tax office and thank your lucky stars for such a wonderful gift!
If you wish more information on this particular topic or would like to discuss any matter raised therein, contact
Reyes Gomez Llorente, De Cotta McKenna y Santafe, on 952 527 014. Offices in Mijas Costa, Coín, Nerja, Granada & Tenerife.
De Cotta McKenna y Santafé
Calle Diputación, 6-2º-A
29780 Nerja
Málaga
Spain
Tel.: (+34) 952 52 70 14
Fax: (+34) 952 52 34 28
website: www.decottalaw.com
De Cotta McKenna & Santafé, English solicitors, and lawyers, and Spanish Abogados, in Marbella, Andalusia, Spain
De Cotta McKenna & Santafé’s Nerja Office of English Solicitors and Spanish Abogados, Costa del Sol.