Going back to the UK-questions

Information and questions about the Law in Spain and Andalucia.
infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Going back to the UK-questions

Postby infoseeker » Mon Jan 27, 2014 4:03 pm

It is necessary to keep the Santander Spanish bank account open for any remaining bills and deductions; Can I close it from the UK once all has been settled?
As I will need to keep my medical card and residency card until I have completely left Spain( in case I need medical attention) how can I then return them once in the UK and get proof I have deregistered?
Do I inform traffico? Do I need any documentation so I can exchange the licence for a UK driving licence once back?
Does Correos do a redirection of mail to the UK?
I will not be liable for CGT when I sell my house as over 65, tax resident, lived here 12 years etc.
Once back, how do I inform the Spanish tax office?

User avatar
scampicat
Resident
Posts: 482
Joined: Sat Sep 08, 2007 10:56 pm
Location: Home for Christmas! ex-Provincia de Granada

Re: Going back to the UK-questions

Postby scampicat » Sat Feb 08, 2014 11:32 am

We managed to close our bank account from UK. I wrote to them (proper letter, not e-mail) and enclosed a copy of our passports and residency cards. Our bank cards had expired, otherwise I would have enclosed those too. This was successful and they did close the account (although I did not know this until I found I was unable to access the internet banking, at which time I sent them an e-mail asking if it was closed and they replied in the affirmative). I asked them to transfer the (tiny) balance into a UK account, which they did.

The car, well that has been a bit of a nightmare, we re-registered it back onto UK plates after we had been here a couple of months when the ITV was about to expire. DVLA told us they would send the relevant papers to trafico. We have since sold the car. However, we are still getting bills (via e-mail) for Spanish road tax. I have sent them all the relevant documentation, but to no avail.

We kept our UK driving licences, never changed them for Spanish ones, so no problem there.

Didn't bother with the tax office as we owe them no tax, our lawyer dealt with them concerning the house sale and paid relevant taxes.

User avatar
White Horse
Resident
Posts: 1827
Joined: Fri Aug 27, 2010 9:35 pm
Location: England

Re: Going back to the UK-questions

Postby White Horse » Sat Feb 08, 2014 7:43 pm

infoseeker wrote:It is necessary to keep the Santander Spanish bank account open for any remaining bills and deductions; Can I close it from the UK once all has been settled?

Yes, but what are they to do with any balance. send a letter to the branch telling them to close the account, done!
As I will need to keep my medical card and residency card until I have completely left Spain( in case I need medical attention) how can I then return them once in the UK and get proof I have deregistered?

You don't need to return them.
Do I inform traffico? Do I need any documentation so I can exchange the licence for a UK driving licence once back?

No, just exchange your Spanish licence for the UK one, I have digital copies of my old UK licence so that I can change back to UK easily. It might help.
Does Correos do a redirection of mail to the UK?

Hmmm, I don't know, but I doubt it.
I will not be liable for CGT when I sell my house as over 65, tax resident, lived here 12 years etc.
Once back, how do I inform the Spanish tax office?

Best to get a certificate of fiscal residence. You don't need to tell them anything, but you should complete tax returns for the years that you are resident here, (2013) ?

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Sat Feb 08, 2014 8:11 pm

Surely I need to claim relief from cgt as I am over 65, fiscal resident and have lived in the house for over 3 years or will my accountant do that? Also I will then have to get a certificate of deregisration from the Spanish tax system?
Will dwp require proof I have deregistered from the Spanish health service?

User avatar
White Horse
Resident
Posts: 1827
Joined: Fri Aug 27, 2010 9:35 pm
Location: England

Re: Going back to the UK-questions

Postby White Horse » Sat Feb 08, 2014 8:29 pm

Once you arrive back in the UK with the intention of staying there, you become a UK resident. You then have healthcare in the UK. Depending on the date you leave Spain, you may or may not be resident in Spain for 2014. Once you are no longer tax resident in Spain you will not have to complete any tax returns.

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Tue Feb 11, 2014 3:07 pm

Whitehorse-once back in UK how will I claim the CGT relief that I will be entitled to, as I will have sold my house in Spain in 2014 while tax resident, over 65, and lived in our only property for more than 3 years?
Someone said I will have to put a tax return in next year, but of course I will not need to put a tax return in for income tax if I only spend less than 183 days in Spain before going back to the UK, so how can I then include the claim the CGT relief? Does David Searle have any info on this?

User avatar
Enrique
Andalucia Guru
Posts: 8328
Joined: Tue Mar 24, 2009 9:47 am
Location: Camberley/Alcala La Real

Re: Going back to the UK-questions

Postby Enrique » Tue Feb 11, 2014 3:18 pm

David who............ :lolno:

David Searle........have to buy his latest book as he is no longer a Member............. :shock:
UNIX is basically a simple operating system, but you have to be a genius to understand the simplicity.

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Tue Feb 11, 2014 3:30 pm

Don't mind who answers this, as long as the info is correct!

User avatar
Enrique
Andalucia Guru
Posts: 8328
Joined: Tue Mar 24, 2009 9:47 am
Location: Camberley/Alcala La Real

Re: Going back to the UK-questions

Postby Enrique » Tue Feb 11, 2014 4:26 pm

infoseeker,

Unfortunately the Section heading is out of date. At one time David did contribute but now we have to rely on Messrs Beachcomber and El Cid ................. :D
UNIX is basically a simple operating system, but you have to be a genius to understand the simplicity.

El Cid
Andalucia Guru
Posts: 14700
Joined: Sun Oct 24, 2004 10:42 pm
Location: La Herradura, Costa Tropical, Granada

Re: Going back to the UK-questions

Postby El Cid » Tue Feb 11, 2014 5:22 pm

infoseeker wrote:Whitehorse-once back in UK how will I claim the CGT relief that I will be entitled to, as I will have sold my house in Spain in 2014 while tax resident, over 65, and lived in our only property for more than 3 years?
Someone said I will have to put a tax return in next year, but of course I will not need to put a tax return in for income tax if I only spend less than 183 days in Spain before going back to the UK, so how can I then include the claim the CGT relief? Does David Searle have any info on this?



If you are tax resident in 2014 and you sell in 2014 you have no problems. You don't have to claim CGT relief, you just declare the sale on your tax declaration as exempt.

If you leave Spain before the 183 days are up you could have a problem as you would not be tax resident in the year you sold so could be liable for CGT as a non resident. However, at the time you sold it you had not yet become non resident you would not have to have paid the non resident retention on the sale at the time.

To be on the safe side, do not declare yourself a non resident until 2015. Yes, you might be classed as UK tax resident for part of 2014 but you won't pay income tax twice on the same income and HMRC won't be interested in the sale of your house as you were not UK tax resident at the time of the sale.

This anomaly is created because of the different tax years in Spain and the UK and also because in Spain you are tax resident for the whole of the year but the UK allows you to split the tax year.

Sid

User avatar
White Horse
Resident
Posts: 1827
Joined: Fri Aug 27, 2010 9:35 pm
Location: England

Re: Going back to the UK-questions

Postby White Horse » Tue Feb 11, 2014 7:11 pm

El Cid has answered your question.

Furthermore, if you get a certificate of fiscal residence, you should not have any CGT retention (3%?) when the sale goes through.

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Tue Feb 11, 2014 7:47 pm

Sid- thanks.I am still a it confused, as you say I could be liable as considered non tax resident for the year, but then say, it's ok as I was resident when I sold it.
In any case, surely I will have to deregister from Spain,in order to register on the British tax system ? Will my accountant. Still be able to file a tax return re the nil cgt when I am in Uk?

El Cid
Andalucia Guru
Posts: 14700
Joined: Sun Oct 24, 2004 10:42 pm
Location: La Herradura, Costa Tropical, Granada

Re: Going back to the UK-questions

Postby El Cid » Tue Feb 11, 2014 10:24 pm

I thought I had made it quite clear. Stay tax resident for 2014 and then you have no problem.

If you declare as non resident for 2014 you MAY have a problem.

Sid

User avatar
Mowser
Andalucia Guru
Posts: 6388
Joined: Thu Sep 27, 2007 10:42 am
Location: Torre del Mar

Re: Going back to the UK-questions

Postby Mowser » Wed Feb 12, 2014 11:09 am

Enrique wrote:infoseeker,

Unfortunately the Section heading is out of date. At one time David did contribute but now we have to rely on Messrs Beachcomber and El Cid ................. :D

I find both to be much better. :thumbup:
Dave

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Wed Feb 12, 2014 2:36 pm

would I have to submit an assets 720 form for 2014 in 2015, even though I am resident in UK form as obviously my bank balance will have increased by over 20,000 euros ?
How can I sort out my tax with HMRC if I return in say, August 2014, but continue to be classed as Spanish tax resident till 2015?
Do any of you speak with the Spanish tax office directly?; if so please would you clarify the cgt situation if I go to UK before July 2nd?
This really is casting a cloud over my situation;There must be a definite answer.

El Cid
Andalucia Guru
Posts: 14700
Joined: Sun Oct 24, 2004 10:42 pm
Location: La Herradura, Costa Tropical, Granada

Re: Going back to the UK-questions

Postby El Cid » Wed Feb 12, 2014 2:50 pm

infoseeker wrote:would I have to submit an assets 720 form for 2014 in 2015, even though I am resident in UK form as obviously my bank balance will have increased by over 20,000 euros ?
How can I sort out my tax with HMRC if I return in say, August 2014, but continue to be classed as Spanish tax resident till 2015?
Do any of you speak with the Spanish tax office directly?; if so please would you clarify the cgt situation if I go to UK before July 2nd?
This really is casting a cloud over my situation;There must be a definite answer.


If you are tax resident in Spain for 2014 then you will have to submit a Form 720 for 2014 and that would indeed show the increase in your UK balance.

If you return to the UK in August you will start paying UK tax immediately for the remainer of the year. When you submit your Spanish declaration in June 2015 you can offset the UK tax already paid against the Spanish tax.

Sid

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Wed Feb 12, 2014 2:57 pm

what a nightmare, to go through that 720 again. I was hoping you'd say as I was living and tax resident in UK I n 2015, I wouldn't have to!

El Cid
Andalucia Guru
Posts: 14700
Joined: Sun Oct 24, 2004 10:42 pm
Location: La Herradura, Costa Tropical, Granada

Re: Going back to the UK-questions

Postby El Cid » Wed Feb 12, 2014 3:18 pm

I seriously doubt that anyone will chase you for it, but as it is for assets held in 2014 there is little you do to avoid it - apart from memory loss!

Sid

infoseeker
Resident
Posts: 275
Joined: Sun Jan 26, 2014 4:17 pm

Re: Going back to the UK-questions

Postby infoseeker » Wed Feb 12, 2014 4:28 pm

Not to mention the other implications of staying resident till 2015-IHT, even if the spouse died after going back to UK, cgt on a lottery or premium bond win, or a lump sum from a cashed in bond.
I really do not know what to do for the best!

User avatar
White Horse
Resident
Posts: 1827
Joined: Fri Aug 27, 2010 9:35 pm
Location: England

Re: Going back to the UK-questions

Postby White Horse » Wed Feb 12, 2014 8:26 pm

infoseeker wrote:Not to mention the other implications of staying resident till 2015-IHT, even if the spouse died after going back to UK, cgt on a lottery or premium bond win, or a lump sum from a cashed in bond.
I really do not know what to do for the best!


Some people won't take any advice at all. In fact some will continue to post the same question, reworded, because they are not getting the answer that they want to read.
I'm sure this does not apply to you, infoseeker, but if it does, I suggest you get yourself off to the office of a reliable tax adviser.


Return to “You & the Law in Spain”

Who is online

Users browsing this forum: No registered users and 2 guests