Tuesday 4 February 2014

Spanish Tax Update 2014 for Non Residents


For this year 2014   in general terms the  same tax rates are applicable  as in 2013 for non residents which means that the tax rate for income tax remains at 24,75 %  which will be applicable in case of rental of property or  use of your own property and if you decide to sell  your  property  in Spain the capital gains tax  to be paid  is still  21%.

Also  for those you who have to present a non resident Wealth tax declaration (owners with a net asset value exceeding 700.000 Euros ) , which was temporarily set only  for the years 2012 and 2013,   this obligation has been extended to this year 2014  and , if required the corresponding Tax assessment declaration has to be presented in 2015

There is another  item  which affects non  resident which is that  the rateable value (valor catastral)  this year will vary  in some cases depending on the  year when the last  revision of the rateable value   took place  in  the  municipality. The increase starts at 13 %  and goes down to   6 % for  those locations where the tax revision took place between 1984 and 2003. What is new is that there are certain places where the  ratable value could even  go down (85 % to  73 % of the 2013 value) . This is applicable to  places where the revision took place  between 2006-2008 and there is a big difference between the market value used at the time to establish the rateable value  and the  present value of the properties.  The  change of the rateable value will  affect you  as this is used to work out some of the taxes to be paid annually by the non residents i.e. , income tax  for own use of property , local rates, etc.

For more information or an appointment please contact us on (0034) 952 822 321 or admin@nonresidenttaxesinspain.com. 

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