Lightning starts fire

A LIGHTNING strike caused a fire in a forested area of Sella, inland of Benidorm on Thursday, July 21. The rapid intervention of firefighters prevented it from spreading throughout the area, which was surrounded by dry vegetation .

castle of Guadalest and entrance to museums such as the Marq or the Villa Romana de l’Albir.

One of the programmed activities was a kayak trip from the beach of Albir to discover the Serra Gelada Natural Park by sea, which took place on Wednesday.

Lions Clubs International is one of the largest service club organisations in the world, with more than 1.4 million members in approximately 46,000 clubs in more than 200 countries and geographic areas around the world.

In addition, and in order to promote sustainable mobility, new sections of bicycle lanes have been built, creating a cycle path which connects the beach and the town centre.

Quick response avoids disaster

FIREFIGHTERS had to act quickly when a car caught fire on the AP7 motorway between Altea and Benidorm on Friday, July 21.

The owner of a people carrier, which was towing a large trailer, noticed smoke coming from the engine of his vehicle at around 4.35pm. He called the emergency services, who sent two engines from the Benidorm fire station.

With their rapid response, firemen were able to contain the engine fire, stopping it from spreading to nearby dry shrubland and avoiding the chance of causing a larger fire.

The motorway was closed for a short period until the Guardia Civil arrived to close one lane and ensure the safety of the fire crews.

The heavy storm, which suddenly arrived on Thursday afternoon, was the cause of the incident when lightning struck in the Aguilar district, said sources from the Alicante Fire Consortium of the Marina Baixa park, located in Benidorm.

The notice was received around 2.30pm and firefighters quickly drove to the scene. The fire was contained and extinguished shortly after. If lightning strikes cause a fire, call 112 immediately. The service is multilingual and free.

MANY owners of a property in Spain believe that, since they are non­tax residents in Spain, they have hardly any tax obligations in our country. Nothing could be further from the truth. In this week’s article we review the main tax obligations of Non­Residents in Spain. And how failure to meet these obligations can affect them in the future if they decide to sell their home.

Property Tax and Rubbish Collection Tax

Most non­residents who own a property in Spain will probably be familiar with the IBI (Property Tax) and the Rubbish Collection Tax. The IBI is an annual tax levied on the ownership of urban or rural real estate in Spain, that varies depending on the cadastral value of the property. The Rubbish Collection Tax is paid both for the collection and cleaning of rubbish containers. It is paid quarterly, half­yearly or even annually, depending on the area.

Wealth tax in Spain

This tax is levied on the net wealth of individuals, although the first €700,000 is exempt from payment. For the purposes of its calculation, only assets located in Spanish territory are taken into account.

Non­Resident Income Tax (tax form 210)

As we explained in previous articles, non­residents who own a property in Spain must pay Non­Resident Income Tax (IRNR). This tax is levied on the rental, simple ownership or sale of a property in Spain.

Renting

If you rent your property, you must declare the income received on a quarterly basis, in the first 20 calendar days of April, July, October and January. Citizens from the EU, Iceland or Norway are taxed at 19 per cent (and can deduct community charges, repairs, IBI, etc). The rest are taxed at 24 per cent and cannot deduct any expenses. In other words, for a rent of €8,400 per year, a British citizen will pay €2,016 in taxes, while a French citizen will pay €1,596 (less, if he/she deducts certain expenses).

Simple tenancy

If the property is not rented and is for your own use, you must file tax form 210 annually (always in the calendar year following the accrual year). The amount payable is calculated by multiplying 1.1 per cent or 2 per cent of the cadastral value of the property by a tax rate that varies depending on whether the owner is resident in the EU, Iceland or Norway (19 per cent) or not (24 per cent).

Sale of a property

When a non­resident sells his or her property in Spain, any capital gains obtained are taxed at a rate of 19 per cent. There is no discrimination between EU and non­EU nationals. Both will be able to deduct notary, registration, property, real estate, lawyer, etc fees.

The 3 per cent retention in the event of the sale of a property

Whether or not there is a capital gain, when a non­resident sells his/her property in Spain, the buyer is forced by law to withhold 3 per cent of the sale price. In other words, if you sell your property for €300,000, the buyer will retain €9,000, and pay it to the Tax Agency, as an advancement on your possible capital gain as vendor. The deadline for declaring the existence (or not) of a capital gain is four months from the signing of the public deed.

If there is no capital gain (ie if you have sold for less than what it cost you) you can request a refund of this retention. However, if during the time you were owner, you did not declare annually or quarterly (depending on the case) the Non­Resident Income Tax, you should know that the Tax Agency could force you to catch up with the last four years of this tax.

Conclusions

At White­Baos Lawyers we are specialists in providing legal advice to expatriates for more than 15 years. If you own a property but are not a tax resident in Spain, do not hesitate to contact us. We will offer you expert advice on the tax obligations of non­residents in Spain.

The information provided in this article is not intended to be legal advice, but merely conveys information related to legal issues

by Lisa Zeffertt

ON Sunday night, July 23, in a tense and close election race, the results were finally in, but the results are no clearer after its conclusion.

No Clear Winner

The right­wing block made up of Partido Popular (PP), and Vox reached a maximum of 169 votes, while the leftwing bloc made up of the So­