Should you fear being tax resident in Spain?

Take personalised tax and wealth management advice from an adviser based locally in your region of Spain. They should start by getting clear picture of your circumstances, family situation, objectives, long-term plans and estate planning wishes in order to provide a strategic, tax-efficient, financial plan to achieve your aims. You may be surprised by how much tax you could save by restructuring your assets.

Less taxation for your heirs

By Jon Pemberton, Partner,

Franks

the Spanish tax regime does present tax mitigation opportunities – the way you hold your assets, and take income from them, can make a significant difference to how much tax you pay. Many British expatriates continue to hold the same arrangements they had in the UK, but this can be a very costly mistake.

The benefits of tax planning:

A reduced tax bill for you

Reducing your overall liability for income tax, capital gains tax and other taxes on your savings, investments, assets and pensions. If there is a more tax-efficient way to hold your capital and assets, shouldn’t you explore if it could work for you? Don’t miss out on structures available in Spain that can reduce your tax liability as well as providing other potential benefits.

The less tax you pay in your lifetime, the more you have to spend now or pass to your heirs. But with some investment structures you may also be able to lower the inheritance tax liability for your family. Ideally you want a solution that will limit inheritance taxes while also providing tax-efficient income and investment growth throughout your lifetime.

More estate planning flexibility

Strategic tax planning can also help make things easier for your family when you are gone. Many investment arrangements that provide tax efficiency also offer more estate planning flexibility and control.

Maximising real returns

Effective tax planning also plays a part in helping returns outpace the cost of living. Ultimately, what counts when assessing the value of investments are actual returns – after tax, expenses and inflation are taken into account.

Everyone’s circumstances are different and the level of tax savings will vary, but it is certainly worth taking the time to take specialist advice and explore your options.

The tax rates, scope and reliefs may change. Any statements concerning taxation are based upon our understanding of current taxation laws and practices which are subject to change. Tax information has been summarised; an individual is advised to seek personalised advice.

Keep up to date on the financial issues that may affect you on the Blevins Franks news page at www.blevinsfranks.com.

Anna Ellis BIGDATAHOSBEC has just closed the hotel occupancy data for the second half of June.

The city of Alicante was the destination analysed with the best average hotel occupancy rate of 93.5 per cent, boosted by the week of the Bonfires of San Juan, which meant that a large part of the city’s hotel offer was sold out.

The Costa Blanca area (excluding Benidorm) recorded an occupancy rate of 80 per cent during the second fortnight of June, surpassing the records recorded in 2019 (78.7 per cent).

One of the keys to this is the complex balance that both the international and domestic markets have to achieve in order to fit in perfectly with the hotel offer in the Valen ­