selling property in spain

[russ295]

for all you tax experts out there (well more a couple of you )

my mate was living in spain for about 4 years, he has two properties over there, he has just sold one for about 100k, my query (well his) is about the tax implications when he brings the money back over to england.

dont know if any of you have had dealings with selling in spain but there is normally "under the table cash" handed over to keep spanish tax laibilities down.

will he be laible for for CGT or not becasue he has paid (although not on the full sale amount) spanish tax?

thanks

russ

[plym77]

Hi Russ

This is a very complicated subject and difficult to answer in a general capacity. Whether your friend pays CGT will depend on a number of things, including his residency and domicile, but assuming that he was UK resident and domicile when he sold the property, he will be subject to the CGT regime in the normal way - not on a remittance basis.

I hope this helps, but I would suggest that your friend seeks specific tax advice on the subject as there are too many variances, please feel free to pass on my email address.

Regards

Sherena

[russ295]

cheers Sherena

good advice as always, will pass on your comments.

thanks

russ

[plym77]

No problem Russ

I should also point out that if he paid tax in Spain on the sale then he may well get a tax credit against the UK CGT payable on it. The level of credit could depend on the numbers.

You friend should probably see an accountant with the figures - even if just as a one-off.

Sherena