Declaring a gift

Information and questions about the Law in Spain and Andalucia.
reamer1960
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Declaring a gift

Postby reamer1960 » Tue Nov 10, 2020 10:00 am

My mother gifted me 2000 uk pounds this year and I am trying to declare it online everything is working ie. my digital tax registration etc. but the declaration is asking for my mothers fiscal ID which she does not have as she is uk based, it will not accept her passport number as fiscal id but is accepting the rest of her uk details ie. name/address .

Any ideas please as i need to get this declared

thank you

R

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chrissiehope
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Re: Declaring a gift

Postby chrissiehope » Tue Nov 10, 2020 2:19 pm

Her UK tax ref number ?
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reamer1960
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Re: Declaring a gift

Postby reamer1960 » Tue Nov 10, 2020 4:34 pm

Have you used this method to declare a gift ? as im looking for someone who has completed the process and can give a definitive answer ,i have emailed the tax office and i am still awaiting a reply but need to get this completed asap thanks .

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peteroldracer
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Re: Declaring a gift

Postby peteroldracer » Tue Nov 10, 2020 7:54 pm

Surely you would only need to declare it when you do your tax return? If you are resident this does not need to be filed until June next year, if non-resident I beleive it is January?
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El Cid
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Re: Declaring a gift

Postby El Cid » Tue Nov 10, 2020 7:59 pm

If you were non resident there would not be any gift tax to pay on a UK sourced gift.

Things like CGT are declared on your tax return but IHT is a separate process with strict time limits.

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peteroldracer
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Re: Declaring a gift

Postby peteroldracer » Tue Nov 10, 2020 8:24 pm

The OP has not said if it is an inheritance, simoly a gift, so neither CGT nor IHT would apply?
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reamer1960
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Re: Declaring a gift

Postby reamer1960 » Tue Nov 10, 2020 8:41 pm

peteroldracer wrote: Tue Nov 10, 2020 8:24 pm The OP has not said if it is an inheritance, simoly a gift, so neither CGT nor IHT would apply?
it is not inheritance it is a gift from my mum and i am a spanish resident / tax resident and i believe it is not classed as income and needs reporting separately within 30 days of the gift wich i have now missed so no doubt there will be a penalty for late payment as well. :problem:

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Re: Declaring a gift

Postby elusive » Tue Nov 10, 2020 9:07 pm

Says it all when king juan carlos has 10 mill in a isle of man account and is been investigated for 100's of k of undeclared "gifts" good on you for trying to do the right thing. frankly I'd shove it under the floor boards :silent: :shifty:

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Re: Declaring a gift

Postby El Cid » Tue Nov 10, 2020 9:11 pm

Gifts are treated exactly the same as inheritances. It’s covered by exactly the same law.

Also there is no 7 year time limit as in the UK. Gifts are taxed immediately. However, Andalucia has more generous allowances than most regions, especially with regard to gifts. They do , however still need to be declared.

That said it’s very unlikely that a Spaniard receiving such a small amount would even bother to declare it.

Sid

reamer1960
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Re: Declaring a gift

Postby reamer1960 » Tue Nov 10, 2020 9:40 pm

i just want to get it declared and be able to walk to collect my mail without fear ,i know plenty here that have undeclared pensions ect ,and they fear the weekly mail collection in case its another tax demand on past errors .

El Cid
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Re: Declaring a gift

Postby El Cid » Tue Nov 10, 2020 10:00 pm

If you have not paid the money into a Spanish bank, it is unlikely to be noticed, even then it is well below the amount that would trigger the interest of the taxman.

As there will not be any tax due, it’s hardly worth bothering about should you decide to not declare it. However, if you re worried about it, declare it.

Sid

reamer1960
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Re: Declaring a gift

Postby reamer1960 » Tue Nov 10, 2020 10:51 pm

Sid i thought it was taxed at 10 % ? ie 200e worth of tax on a 2000e gift

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Re: Declaring a gift

Postby El Cid » Wed Nov 11, 2020 9:06 am

I am assuming that you live in Andalucia. First, its 7.65% so the tax would be €153. After recent changes you get an allowance of 99% of the tax, so you would have to pay €1.53.

You would have to have the get a deed of gift from a notary and prove where the money came from.

Doesn't really seem worth the hassle?.

Sid

reamer1960
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Re: Declaring a gift

Postby reamer1960 » Wed Nov 11, 2020 11:16 am

El Cid wrote: Wed Nov 11, 2020 9:06 am I am assuming that you live in Andalucia. First, its 7.65% so the tax would be €153. After recent changes you get an allowance of 99% of the tax, so you would have to pay €1.53.

You would have to have the get a deed of gift from a notary and prove where the money came from.

Doesn't really seem worth the hassle?.

Sid
Thanks Sid would it be possible for you to put the link up with the tax office allowances/info so i can read them ( just to save me the time of trawling there site )

R

El Cid
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Re: Declaring a gift

Postby El Cid » Wed Nov 11, 2020 11:45 am


jhonie99
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Re: Declaring a gift

Postby jhonie99 » Thu Nov 12, 2020 9:02 am

reamer1960 wrote: Tue Nov 10, 2020 9:40 pm i just want to get it declared and be able to walk to collect my mail without fear ,i know plenty here that have undeclared pensions ect ,and they fear the weekly mail collection in case its another tax demand on past errors .
FFS don't be ridiculous! It's 2000 euros. Nobody, including the taxman gives a hoot. I've been gifted amounts far greater than that and have no worries about being caught. I'm a spanish resident and fill a tax return every year. As regards living in fear, I think you're exaggerating a bit.

The more u declare, the more interesting u become to the authorities. Hence, the reason that nobody in spain pays taxes unless they really have to!

Think a little more like Juan Carlos.

katy
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Re: Declaring a gift

Postby katy » Thu Nov 12, 2020 10:27 am

Well said Jhonnie, I thought that but didn’t want to be accused of advising people to break the law.

reamer1960
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Re: Declaring a gift

Postby reamer1960 » Thu Nov 12, 2020 11:00 am

Which Jhonnie is doing the rule is a gift needs to be declared,if there is no tax or a small amount of tax fair enough but this is up to the tax agency to decide not me,hence my question which as yet as remained unanswered .

El Cid
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Re: Declaring a gift

Postby El Cid » Thu Nov 12, 2020 11:15 am

You need to contact a lawyer to sort out the Deed of Gift and they will be able to advise you of the process.

Sid

reamer1960
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Re: Declaring a gift

Postby reamer1960 » Thu Nov 12, 2020 11:22 am

thank you sid i will contact the Notary post lock down and make an appointment with the tax office.


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