Selling your Spanish property<\/p>\n
When you are selling property in Spain it is important to get independent legal advice. There are important obligations on the seller and you should be aware of these. The tax authorities are now much more vigilant and you will not want to be looking over your shoulder once you have sold the property. It is particularly important to ensure that your funds can be transferred back to the UK or elsewhere having completed all the necessary documentation on leaving.<\/p>\n
Leaving Spain
\nAt the moment a number of people are returning to their country of origin and some of these people have been tax resident in Spain. A Certificate of Fiscal residence will be required if you have been here for some time and this must be obtained prior to the sale. The notary will not accept that you have been tax resident here without this document and you would therefore be subject to a 3% retention on the sale price. This 3% is taken on account from non residents and any additional Capital gains tax should be paid.<\/p>\n
Tax Resident
\nA Spanish lawyer can calculate the sum you will receive on the day and ensure that you are not left with any ongoing liabilities after the sale. If you surrender your Spanish tax residence to take up tax residence in the UK for example it is very important to notify the tax authorities correctly. If you fail to do so fines could accrue without your knowledge and affect bank accounts or other assets.<\/p>\n
Change to Capital Gains Tax
\nFrom 1st January 2015 Capital gains tax rates will be changing and although there is no change in the percentage charged to non residents many current allowances are coming to an end. Each case is different so if you are thinking of selling it is best to get information now. This also applies to the changes in Inheritance tax which you will see elsewhere in this newsletter.<\/p>\n
Professional Advice
\nPrevention is always better than cure and it is best to get advice from experienced property lawyers and accountants particularly when you are selling property.<\/p>\n