Taxes on Overseas Pension/Income stream

Hi

You would need to see a gestor here and they will discuss all with you..

You will know exactly what to do then,as you don’t want to be taxed again!

Our pensions from the U.K. are not taxed ,but it will all depends on what you keep in your bank 

Best to seek that Gestors advice ...

Jean

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Thank you Jean for your reply.

I would imagine that  if you don’t pay tax on your overseas pension,then that must be the law of the country.Never the less I’ll have to contact a local Tax Agent to be 100% sure that I also fall into the same category before I embark on my move.

Ironically enough I have contacted companies on the costas that advertise their services on the help they provide including TAXES and no one ever sent me a reply which I found very disappointing.

Well I think the best thing is to come over and sort it out with a Gestor or Lifestyle here in La Cala helped us they will sort a package out for you to include residency nie and tax ,you need to speak to someone personally really..

You could always rent,and open a bank account,and transfer what you want Starling are good and don’t charge transfer fees.. you can open a European account with them in euros and a sterling account ..

Hello,  (What I am saying below is relevant if you are a registered Resident of Spain.)

All income is taxable in Spain and that would include your pension and especially any investment income.  This is my understanding and I have researched this a fair bit.  But please just go to Google and search for how Spain taxes Pensions (but the Spanish government will not see your investment income as "pension" money but just as income) to confirm this for yourself before uprooting yourself half way across the world.

Actually this situation is true of all countries that I have lived in - pension/investment income is taxable.  YES we paid tax on it before but governments will use any chance to tax us all again.

As well you should try to find out what the base level income allowance is (what income you can keep BEFORE they start to tax you) for your age AND what percentage of tax you will pay above that.  This isn't all that easy to find out but I am sure you can get a good enough idea as to what your financial situation would be in Spain.

Also you will need fully comprehensive insurance before qualifying as a resident.  If you have pre-existing conditions this may be more difficult at 74.  You can contact an Insurance Agent and discuss with them.  Most speak English and will help you with this situation.

Good luck!

Just found this if will help anyone 

Sorry I couldn’t download what I read..

Anyway why don’t you keep your money in your bank account where you live and withdraw it while in Spain from your debit card ..

Jean,

People can do this but its illegal so I wouldn't actually recommend people do it.  If you are a resident of Spain (live there more than 183 days per year) you MUST pay income tax above the personal allowance and any other exemptions.  To know how this would work in Spain its best to contact an Accountant because age plays a factor and various other things So each situation would be different.

But if the authorities were to catch anyone (and it seems to me all Countries in the world are tax hungry and looking for ways to get people's hard earned money out of them) the penalties could be high.  So I would not recommend this but would recommend speaking to an Accountant.  Not a Gestor but a qualified Accountant.

Thank you ALL for your thoughts and information regarding Taxes in Spain.

As most of you have have suggested,the best course of action is to involve a Spanish Tax Expert to clarify my own personal situation.

It is reassuring to know that general help is at hand from this forum when required.

Kind Regards,

ALEX