The End Of Wealth Tax

[Robi]

Recently somebody (cant remember who/where) asked me if the Wealth Tax has been abolished – well now I have it on good authority the answer is Yes it has from 2008 (ie next years Declaracion de Renta) so this is the last year it is payable for 2007

With my natural British cynicism of tax regimes I expect it has been added into another tax somewhere along the line!

[leswill]

Yes it is true that wealth tax is being abolished next year, however non residents pay two taxes on their tax forms 'modelo 214', the first one being wealth tax and the second is 'imputed income' (renta de no residentes) and there is no mention on the Agencia Tributaria website of this also being abolished.

[Robi]

Thats because they dont plan to have a free tax regime for non residents - the wealth tax was originally imposed as a temporary tax - which in this case lasted 30 years!

[colina]

Reliable info link

Spain Private Clients Tax Planning Lawyer & Abrogado : Leon Fernando del Canto : Spanish Tax residence and nationality : International Tax Forum

[mac2]

explain what is wealth tax doh!
ps have not got a clue

[super-mare]

Wealth tax & amount you pay.

Spanish Wealth Tax (PATRIMONIO) for Property Owners in Spain
The Spanish wealth tax, known as patrimonio, might catch you by surprise.

Note: This tax has been eliminated as from 01/01/2008. However, it still needs to be declared for 2007.

Most Britons moving to Spain or buying property there understand that they will have to pay Spanish taxes like income tax, capital gains tax and inheritance tax. Not everyone, however, is aware that Spain imposes an extra tax, one with no equivalent in the UK and which is payable on top of the other Spanish taxes: The Wealth Tax in Spain.

Spanish Wealth Tax is payable by both residents and non-residents (if they own property in Spain), although the rules are different. Residents pay wealth tax on their worldwide assets but have quite generous tax-free allowances, whereas non-residents are only liable on net assets within Spain but miss out on the allowances. In both cases, the tax is calculated annually on assets held at 31st December each year.

You should pay 0.2% of your escritura (deed) value divided by the number of persons named on the escritura. Each person needs to complete a form 214. Your lawyer or fiscal rep should be doing this though if you only own one property in spain you can do it yourself (with a lot of help !)

[mac2]

are got ya my brief does deduct money from my account annually maybe thats what it is for.
although i get called into the bank roughly once a year to sign a declaration stating my tax affairs are dealt with in the uk.