Capital gains tax

[Lavanda]

I think I would pay up and sleep well at night. When I sold my house in Coín it was in the days of some of the payment being 'black' and undeclared which I was not wild about but wanted to sell the house. I paid the CGT on the declared value. Three years later I got a demand for the 'full' tax and had to pay on the 'black' amount as well. I think the tax office in Spain is not quite as lax as we would like to think ...

[Beachcomber]

Each municipality has a multiplier which is applied to the valor catastral in order to ascertain the minimum value that can be declared without incurring a demand for further taxes.

When completing the form 600 for the payment of transfer taxes a red flag pops up if the value being declared as the sale price is less than the minimum value obtained by this calculation.

[Beachcomber]

Just to confirm that the Capital Gains Tax rate for non-residents is still 19% regardless of the seller's country of fiscal residence.

[Manchesteral]

Oops - I forgot the size of the emojis.

If you click on the emoji in the normal manner it will come up normal size, but you knew that, I think !!
It doesn't really bother me, it's just annoying, a bit like those "insulate Britain" creatures

[gruff]

An interesting thread, very informative and I hope it is o. k. to add to it. I am a U. K. resident.
I sold my Spanish house in May, made a nice profit and the 3% tax was paid through my lawyer. She told me that as I was not buying another Spanish property it was an o. k. thing to do.
I do realise I will have to declare the sale on my next tax return and pay a sizeable sum to HMRC. I assume I can knock the Spanish tax paid off that sum but not sure how to do it.

[El Cid]

The 3% is just a retention against the full CGT charge. You, in theory, need to pay the full amount of Spanish CGT and you can show that to HMRC and offset it against the UK tax.

Sid

[gruff]

O. k. Sid, so the way I read that is if I declare it to the Spanish authorities I can use that 3% but if I simply declare the sale on my U. K. tax return I cannot. Probably a bit late now for the former.