Income Tax

[Michael]

As non-resident property owners and we do not rent our property out, we have had a letter from Agencia Tributaria which relates to income tax due on the value of the property from 2007 to date. From research I understand we have to make a tax return, could anyone advise on this please ? Thanks.

 

[lollipop]

You do have to complete a tax return, should be by the end of June but I think most non residents stick to the original timescale which is end of October. The forms can be downloaded and completed or you can get your solicitor or Gestoria to do for you for a fee. Some people on the forum have done themselves so could maybe give some help if you need it. The tax is a percentage of the rateable value, was 24% of 2% or something like that.

 

[whaleywanderer]

I have included a link from previous posts on this subject, hope it helps.

http://www.forum.puertopollensa.com/living-working-pollensa-area/6534-non-residents-tax-help.html

 

[Smiddy]

As non-resident property owners and we do not rent our property out, we have had a letter from Agencia Tributaria which relates to income tax due on the value of the property from 2007 to date. From research I understand we have to make a tax return, could anyone advise on this please ? Thanks.

Michael, You don't say wether you actualy owned the apartment since 2007, if so i'm surprised your lawer or buying agent did not tell you about this tax, i'm assuming it's the wealth tax we're talking about. I don't know who Agencia Tributaria are, but no doubt others will. But, be prepared for a bit of a shock as as far as i can recal, if this is not paid anually then a 10% surcharge is added to each year. Perhaps have a chat with your lawer to see if he can sort it out.

 

[JMD40]

You may wish to ask Paul Danks to complete your tax return for you each year. He provides this service for many residents and it is very important that a professional person explains to you the system to avoid getting any nasty surprises at a later date. At the end of the day you get what you pay for and it is worth paying for the services to get you on the right track. It is almost impossible to argue and win against the tax office (Agencia Tributaria) here in Spain. Good luck.

 

[pollensa]

Michael, You don't say wether you actualy owned the apartment since 2007, if so i'm surprised your lawer or buying agent did not tell you about this tax, i'm assuming it's the wealth tax we're talking about. I don't know who Agencia Tributaria are, but no doubt others will. But, be prepared for a bit of a shock as as far as i can recal, if this is not paid anually then a 10% surcharge is added to each year. Perhaps have a chat with your lawer to see if he can sort it out.

There did used to be wealth tax but there is also, & still is, a nominal income tax to pay if you did not rent out your property. If you did rent it out then there is income tax to be paid on the rental income. Paul Danks can do this for you at Premier Mallorcan Properties as can a solicitor - see puertopollensa.com/property_services.html#solicitors & you may have contact with one from when you purchased. Ours has been doing it for us ever since we purchased over 10 years ago.