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Living in Marbella

Posted: Fri Oct 29, 2021 9:51am
8 replies245 views4 members subscribed
Skipgreg

Posts: 16

Location: Málaga

Joined: 12 Aug 2021

I would like to relocate to Marbella. I have also found out that my taxes would be over 40%.

So what makes living there worth it?

Holaitsdavid

Posted: Fri Oct 29, 2021 2:11pm

Holaitsdavid

Helpful member

Posts: 457

190 helpful points

Location: Mijas Costa

Joined: 30 Mar 2021

Posted: Fri Oct 29, 2021 2:11pm

Indeed Tax rate are high and allowances low https://www.expertsforexpats.com/expat-tax/expat-tax-advice/taxes-in-spain/

But if wish to come and go freely, you can invest in a golden Visa. https://www.goldenvisas.com/spain-golden-visa (providing you don't stay over 6 months) 

Skipgreg

Posted: Fri Oct 29, 2021 8:50pm

Skipgreg

Original Poster

Posts: 16

Location: Málaga

Joined: 12 Aug 2021

Posted: Fri Oct 29, 2021 8:50pm

Holaitsdavid wrote on Fri Oct 29, 2021 2:11pm:

Indeed Tax rate are high and allowances low https://www.expertsforexpats.com/expat-tax/expat-tax-advice/taxes-in-spain/

But if wish to come and go freely, you can invest in a golden Visa. https://www.goldenvisas.com/spain-golden-visa (providing you don't stay over 6 months) 

Thank you, but that was not what I asked. 

Holaitsdavid

Posted: Fri Oct 29, 2021 10:50pm

Holaitsdavid

Helpful member

Posts: 457

190 helpful points

Location: Mijas Costa

Joined: 30 Mar 2021

Posted: Fri Oct 29, 2021 10:50pm

Skipgreg wrote on Fri Oct 29, 2021 8:50pm:

Thank you, but that was not what I asked. 

Sorry - I presume for most of us Brits who are residents here it's all about the atmosphere and the weather, some of the best in Europe, but if not into the vibe, Spanish life & the people, from a tax point of view it's daft.  

Skipgreg

Posted: Fri Oct 29, 2021 11:18pm

Skipgreg

Original Poster

Posts: 16

Location: Málaga

Joined: 12 Aug 2021

Posted: Fri Oct 29, 2021 11:18pm

Holaitsdavid wrote on Fri Oct 29, 2021 10:50pm:

Sorry - I presume for most of us Brits who are residents here it's all about the atmosphere and the weather, some of the best in Europe, but if not into the vibe, Spanish life & the people, from a tax point of view it's daft.  

Thank you. Appreciate it.

Kerri

Posted: Sun Oct 31, 2021 4:27pm

Kerri

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Posts: 364

142 helpful points

Location: Casares

Joined: 5 Sep 2018

Posted: Sun Oct 31, 2021 4:27pm

Skipgreg wrote on Fri Oct 29, 2021 9:51am:

I would like to relocate to Marbella. I have also found out that my taxes would be over 40%.

So what makes living there worth it?

You do not say who told you that you would pay 40% in tax.  Tax is based on your circumstances.  You could pay 0 in tax.  

I think its best to speak to an Accountant who can advise you based on your circumstances.  Most countries will tax high income earners 30-50% personal income tax.  In the UK its the same.  

Income Tax rates and Personal Allowances - GOV.UK (www.gov.uk)

Holaitsdavid

Posted: Sun Oct 31, 2021 4:50pm

Holaitsdavid

Helpful member

Posts: 457

190 helpful points

Location: Mijas Costa

Joined: 30 Mar 2021

Posted: Sun Oct 31, 2021 4:50pm

Kerri wrote on Sun Oct 31, 2021 4:27pm:

You do not say who told you that you would pay 40% in tax.  Tax is based on your circumstances.  You could pay 0 in tax.  

I think its best to speak to an Accountant who can advise you based on your circumstances.  Most countries will tax high income earners 30-50% personal income tax.  In the UK its the same.  ...

Correct Kerri - He did pluck 40% out of the air, like most countries progressive, from 19% to 47%. The tax allowances not very generous compared to UK no tax until earn over £12400. For Spain, under the age of 65 set at €5,550, or €6,700 from age 65, and €8,100 from age 75.

PWC list the TAX rates below.

https://taxsummaries.pwc.com/spain/individual/taxes-on-personal-income

Kerri

Posted: Sun Oct 31, 2021 5:00pm

Kerri

Helpful member

Posts: 364

142 helpful points

Location: Casares

Joined: 5 Sep 2018

Posted: Sun Oct 31, 2021 5:00pm

Holaitsdavid wrote on Sun Oct 31, 2021 4:50pm:

Correct Kerri - He did pluck 40% out of the air, like most countries progressive, from 19% to 47%. The tax allowances not very generous compared to UK no tax until earn over £12400. For Spain, under the age of 65 set at €5,550, or €6,700 from age 65, and €8,100 from age 75.

PWC list the TAX rates below.
...

Yep you are correct David.  I have done extensive review on the personal tax allowances on 3 Countries.  Such absolute fun!!!!! :)

The UK has a really good personal allowance but once over a certain income bracket they get you.  Anyway, taxes are imbedded in more than just income.  

After all my efforts to figure this out with 3 countries, I think it balances out because one country gets us in one way and another country another way.  Its just not as simple as income tax.  At the end of the day, how much money do you have in your pocket to play with?.  This, to me, is the important question.

Cheers!

billybilly1

Posted: Wed Nov 3, 2021 7:07pm

Posts: 14

3 helpful points

Location: Gaucin

Joined: 6 Jul 2021

Posted: Wed Nov 3, 2021 7:07pm

Kerri wrote on Sun Oct 31, 2021 5:00pm:

Yep you are correct David.  I have done extensive review on the personal tax allowances on 3 Countries.  Such absolute fun!!!!! :)

The UK has a really good personal allowance but once over a certain income bracket they get you.  Anyway, taxes are imbedded in more than just income.  ...

...

After all my efforts to figure this out with 3 countries, I think it balances out because one country gets us in one way and another country another way.  Its just not as simple as income tax.  At the end of the day, how much money do you have in your pocket to play with?.  This, to me, is the important question.

Cheers!

How much money do you have in your pocket to play with ?

The answer is obvious - as much as you started out with less tax............

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