# UK premium bonds - how are they taxed in Spain?



## michael4477

Premium Bonds

as a resident of Spain i purchased the maximum number of Premium Bonds before i moved to Spain which in those days was £30,000, in 2017 i sold these and will have to delete them from my M720 in 2018.
my question, in the UK you receive back the value of the purchase when you sell them with no deduction for UK income tax, but what happens here in Spain, do i simply declare the few small prizes i have received in the past 4 years which will be subject i think to 20% tax or will i be taxed on the £30,000 i invested and sold which has been transferred to my Spanish bank account or do i simply ignore the sale when i complete my tax return ?


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## JustLurking

The prize winnings are apparently taxable in Spain (more accurately, probably _were_ taxable in Spain for the years in which you won them, and unravelling that if you have to might be quite a pain!).

The £30k original investment is not income but instead effectively 'return of capital', and so not taxable.


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