EXPATS OVER TAXED ON CAPITAL GAINS
The Law has changed and foreigners pay the same amount of Capital Gains Tax as the
Spanish. But the effect of the former regulations in Spain which were deemed illegal is
now having a rebound on the Spanish Authorities.
Thousands of Euro may be owed to previous owners as a result of the illegal taxation and
there’s no doubt they want refunding, which is not surprising!
In January 2007 the Spanish Law governing Capital Gains Tax altered. This was brought
about because of irregularities in the tax system which meant that non-resident sellers
paid 35% capital gains whereas residents, where appropriate paid 15%
It was argued and found in the EU that this was illegal. This was then translated in to
the legislation that came in to force in January 2007. The adjustment being that anyone
due to pay capital gains would do so at 18%. It does not take a genius to work out that
those that sold before the change in law paid too much tax. There is now the opportunity
to try to recover the tax paid.
The difficulty is that it must be done within 4 years of the sale. So if the sale took place
over 4 years ago there is no recompense.
Confused? We can help you on a fixed fee!
The Spanish authorities are attempting to resist reclamation of the tax and anyone
involved in so doing is likely to be in for a long wait.
However, if you register your claim within the 4 years then it will be dealt with, no matter
how long it takes.
It goes without saying that if you do not claim you will not recover the excess taxes. The
worrying part is that it amounts to an average of 11,000€ per non-resident seller.
Therefore it is certainly worth considering. If you owed the money to the Tax man then
they would be after you rather quickly!
Anyone wishing to follow this process must have the forms sent to Hacienda detailing the
monies paid. For most people there was a 5% retention at the point of sale for payment
to the Hacienda.
Bring your paperwork along to us and we can work out what if anything you could claim.
It is certainly a well worth exercise. It’s your money not the Tax man. To submit this for
you we have a competitive fixed fee.
To see if you are due a refund from the Spanish Authorities for CG Tax call us now on 96
681 4506.
Article written by Jo Caress, Costa Blanca Lawyers, Alfaz del Pi and La Marina, San
Fulgencio.
Spanish. But the effect of the former regulations in Spain which were deemed illegal is
now having a rebound on the Spanish Authorities.
Thousands of Euro may be owed to previous owners as a result of the illegal taxation and
there’s no doubt they want refunding, which is not surprising!
In January 2007 the Spanish Law governing Capital Gains Tax altered. This was brought
about because of irregularities in the tax system which meant that non-resident sellers
paid 35% capital gains whereas residents, where appropriate paid 15%
It was argued and found in the EU that this was illegal. This was then translated in to
the legislation that came in to force in January 2007. The adjustment being that anyone
due to pay capital gains would do so at 18%. It does not take a genius to work out that
those that sold before the change in law paid too much tax. There is now the opportunity
to try to recover the tax paid.
The difficulty is that it must be done within 4 years of the sale. So if the sale took place
over 4 years ago there is no recompense.
Confused? We can help you on a fixed fee!
The Spanish authorities are attempting to resist reclamation of the tax and anyone
involved in so doing is likely to be in for a long wait.
However, if you register your claim within the 4 years then it will be dealt with, no matter
how long it takes.
It goes without saying that if you do not claim you will not recover the excess taxes. The
worrying part is that it amounts to an average of 11,000€ per non-resident seller.
Therefore it is certainly worth considering. If you owed the money to the Tax man then
they would be after you rather quickly!
Anyone wishing to follow this process must have the forms sent to Hacienda detailing the
monies paid. For most people there was a 5% retention at the point of sale for payment
to the Hacienda.
Bring your paperwork along to us and we can work out what if anything you could claim.
It is certainly a well worth exercise. It’s your money not the Tax man. To submit this for
you we have a competitive fixed fee.
To see if you are due a refund from the Spanish Authorities for CG Tax call us now on 96
681 4506.
Article written by Jo Caress, Costa Blanca Lawyers, Alfaz del Pi and La Marina, San
Fulgencio.
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YOU HAVE THE RIGHT TO CLAIM DON'T MISS OUT
COSTA BLANCA LAWYERS Your Helping hand in Spain NORTH OFFICE ALFAZ DEL PI Tel 966 860 555 SOUTH OFFICE LA MARINA/ SAN FULGENCIO Tel 96 672 7931 |
Spanish authorities to
non resident British tax
payers
Over payment of Capital
Gains on sales is unlawful
Only 4 years from date of
sale to claim your refund
Don’t delay you could
miss out average refund
11,000 GBP
A long process resisted
by the authorities but
probably worth it to get a
refund on overpaid CG
Tax
Is it your money the tax
man is holding ?
You think it is easy?
See the Spanish Tax
Authorities Website!!
non resident British tax
payers
Over payment of Capital
Gains on sales is unlawful
Only 4 years from date of
sale to claim your refund
Don’t delay you could
miss out average refund
11,000 GBP
A long process resisted
by the authorities but
probably worth it to get a
refund on overpaid CG
Tax
Is it your money the tax
man is holding ?
You think it is easy?
See the Spanish Tax
Authorities Website!!
