Average Exchange Rate for 2021

[poppy1]

Where can I find the average exchange rate for 2021 for Renta purposes?
Poppy

[Enrique]

Hi poppy1,

"Where can I find the average exchange rate for 2021 for Renta purposes?............. in the FAQ faithfully maintained by El Cid

viewtopic.php?f=42&t=27576

From the FAQ

"Edit 4 Jan 2022. 2021 average exchange rate was 1.1636 "

You could also look on the ECB.............

https://sdw.ecb.europa.eu/quickview.do? ... EUR.SP00.A

[poppy1]

Where would I be without you guys ?

[peteroldracer]

And what for the 2022 return?

[El Cid]

I will be using the rates from the ECB. It is 1.17266, so most people on GBP income will pay more tax this year.

Sid

[peteroldracer]

Thanks Sid - I found one site that said 1.1737, so that would be worse for me if I have got it right? Every penny counts these days...

[peteroldracer]

Has there been (or is there expected) any changes in tax allowances for 2022?

[fyfin]

I got the average rate from ECB of €1.1731

[El Cid]

A few decimal points here or there makes no difference. You only declare in Euros, so no one is going to ask you what exchange rate you use. Personally, I declare my pensions as the amount paid into my Spanish bank in Euros.

Sid

[peteroldracer]

My state pension is paid direct in Euros like yours Sid, as is my OH's Crown pension (the "Box 525" one), but I have a private pension and the OH's state pension both paid into UK bank in GBP. This means that I must convert these, and also the interest earned. I am going for 1.17. Do you know of any changes in allowances etc for 2022, or will the calculation be the same as 2021?

[El Cid]

I have not seen any significant changes, but I think the lower incomes may get some changes.

My guess is that any positive changes will be offset by the higher exchange rate.

Sid

[fyfin]

Anything that can be paid in euros is into our Spanish bank. Other annuities are in sterling so have to be converted.

[peteroldracer]

Blevins are shouting about changes for the rich pensions - doesn't affect me then!