The Cabinet will increase the minimum exempt amount in the Individual Income Tax (TGIF) in 2024 from €15,000 to €15,876, aiming to align it with the recent raise in the Minimum Interprofessional Wage (SMI), which precisely amounts to the same figure on an annual basis. Fiscal impact of the SMI increases in 2024 This information… Continue reading Tax Advisor: Alignment of TGIF with the Minimum Wage: Modernization and Fiscal Consequences in 202
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Tax Advisor: Guide to Adhering to the Beckham Law: How to do it?
The specific regulation applied to workers relocating to Spanish territory, commonly known as the Beckham Law, offers a more favorable tax treatment for those with substantial income who decide to change their tax residence to Spain. Beckham Law in Spain: Conditions The Beckham Law provides tax benefits to individuals who move to Spain to carry… Continue reading Tax Advisor: Guide to Adhering to the Beckham Law: How to do it?
Tax Advisor: Unraveling Exit Tax in Spain: Smart Taxation when Changing Residence
Exit Tax in Spain refers to a tax applied when an individual or entity changes their tax residence outside the country. This tax imposes levies on unrealized gains accumulated by the taxpayer before the departure, particularly on assets like stocks or properties. The aim is to prevent tax evasion by taxing the accumulated gains at… Continue reading Tax Advisor: Unraveling Exit Tax in Spain: Smart Taxation when Changing Residence
Tax Advisor: Beckham Law and new tax regulations for foreign workers in Spain
Beckham Law is implemented for newly arrived foreigners in Spain this year. Opting to be taxed under non-resident rules represents an opportunity for many relocated individuals. Royal Decree 1008/2023 significantly clarifies the procedures. The Beckham Law allowed certain individuals who moved to Spain to be taxed as non-residents for a certain period. This option is… Continue reading Tax Advisor: Beckham Law and new tax regulations for foreign workers in Spain
Tax Advisor: Regional Discounts in the Wealth Tax
The 2022 Wealth Tax Manual from the AEAT reports that when filing the Wealth Tax declaration for the 2022 fiscal year, seven autonomous communities (Andalusia, Aragon, Asturias, Balearic Islands, Catalonia, Galicia, and the Community of Madrid) offered regional discounts at different percentages. Later, Extremadura joined, and recently, Cantabria implemented a general discount starting with the… Continue reading Tax Advisor: Regional Discounts in the Wealth Tax
Tax Advisor: How is the Beckham Law applied?
“The Beckham Law” refers to the special tax regime for foreign workers who establish their tax residence in Spain. Officially known as Decree Law 687/2005, this regime is named after the famous British footballer David Beckham, who was one of the first to benefit from its provisions when he moved to Real Madrid in 2003. … Continue reading Tax Advisor: How is the Beckham Law applied?
Tax Advisor: Constitutional Court evaluates challenge to Wealth Tax in Spain
The Constitutional Court is currently evaluating whether the permanent inclusion of the Wealth Tax in the 2021 Budgets violates the principles of legal reserve and economic capacity. This measure has been contested, and a ruling is expected from the justices in the coming weeks. The dispute revolves around the legality of permanently reintroducing the tax,… Continue reading Tax Advisor: Constitutional Court evaluates challenge to Wealth Tax in Spain
Tax Advisor: Approval of new tax measures on taxes
In this article we well be talking about Taxes. In the session of the Congress of Deputies on January 10, 2024, the validation of two decree-laws was approved: Royal Decree-Law 6/2023, addressing urgent measures for the implementation of the Recovery, Transformation, and Resilience Plan in various areas, and Royal Decree-Law 8/2023, dealing with the economic… Continue reading Tax Advisor: Approval of new tax measures on taxes
Tax Advisor: Requirements of the Beckham Law in 2024
Before addressing the new changes and requirements that the Beckham Law will present in 2024, we will briefly review this regime. The “Beckham Law” is the colloquial name given to a special tax regime in Spain designed for individuals who move to the country to work and, therefore, are considered non-resident taxpayers. Its official name… Continue reading Tax Advisor: Requirements of the Beckham Law in 2024
Tax Advisor: Jurisprudential change: right to VAT deduction
In light of Supreme Court resolutions numbers 236/2023 and 237/2023, both dated February 23, 2023, the Central Administrative Economic Tribunal (TEAC) adjusts its previous position, adopting a jurisprudential perspective. It is established that the right to deduct VAT is inherent to the taxpayer, not being a tax option according to Article 119.3 of the General… Continue reading Tax Advisor: Jurisprudential change: right to VAT deduction