# Tax returns - income declaration for individuals



## Alcalaina (Aug 6, 2010)

Has anyone successfully navigated the Agencia Tributaria electronic declaration system?

I believe we are obliged to declare the interest from an offshore account (we opted not to have it retained by the bank). It is not enough to take us over the the threshold so we shouldn't have to pay tax, but but I can't work out how to do the declaration!


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## Beachcomber (May 10, 2009)

You need to download the 'programa de ayuda' and complete it:

Agencia Tributaria - Castellano - Descarga

You can either complete it and print it out or present it online if you have a digital signature or certificate.


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## Alcalaina (Aug 6, 2010)

Beachcomber said:


> You need to download the 'programa de ayuda' and complete it:
> 
> Agencia Tributaria - Castellano - Descarga
> 
> You can either complete it and print it out or present it online if you have a digital signature or certificate.


Thanks, OH got that far and downloaded something with 150 pages ... 14 pages of form and the rest appendices.

So we went to the local Gestor and he said not to bother as the amount was too small!


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## Beachcomber (May 10, 2009)

I'm not so sure that your gestor is right. Are you saying that you manage to live here on an amount that is less than the threshold at which you should make a declaration? Remember, it is not about the requirement to pay tax it is about the need to make a declaration.

Your offshore bank will provide AEAT with details of your bank accounts, identity, amounts of interest paid etc. and they will expect to see a declaration reflecting this even if it is below the threshold at which you need to pay tax.

It's not for me to tell you what to do but I think you would be better advised to seek an appointment at your local tax office in order to be sure that you are doing the right thing.

The link I gave is to a program download which you then install on your computer together with the Java Virtual Machine if you do not have it installed already. Once you have done so you select the pages that apply to your own circumstances. Mine works out at about thirty pages each for individual declarations for my wife and myself. 

If you do the declaration online you do not need to print out any forms whatsoever.


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## Beachcomber (May 10, 2009)

There does seem to be a lot of misinformation about the need to submit Spanish tax returns either as a resident or non-resident not only on internet fora and from the 'barrack room lawyer' brigade but also from so-called 'professionals'.

If anyone is in any doubt about their fiscal obligations details of the relevant tax law in respect of residents can be found here with particular reference to Article 96:

www.boe.es/boe/dias/2006/11/29/pdfs/A41734-41810.pdf

There is also an attempt at a translated résumé of the information in English here:

http://www.aeat.es/AEAT/Contenidos_...ormacion/FolletosPDF/declRentaIRPF2007_en.pdf

I know many people just keep their heads down and hope to fall through the ever diminishing cracks in the floorboards but failing to declare interest from an offshore bank account is particularly risky because the information is actually given to AEAT by the tax authorities as part of the European Savings Directive.

It used to be possible to opt to pay a tax retention which was then passed on anonymously to your country of residence but this option is largely being discontinued as from 1st July with compulsory disclosure.


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## Alcalaina (Aug 6, 2010)

Beachcomber said:


> I'm not so sure that your gestor is right. Are you saying that you manage to live here on an amount that is less than the threshold at which you should make a declaration? Remember, it is not about the requirement to pay tax it is about the need to make a declaration.
> 
> Your offshore bank will provide AEAT with details of your bank accounts, identity, amounts of interest paid etc. and they will expect to see a declaration reflecting this even if it is below the threshold at which you need to pay tax.
> 
> ...


Apparently if the offshore interest is less than €1600 per person you don't have to declare it. Our small occupational pensions, which we live on, would be taxed in the UK but they are under the threshold.

Thanks for your advice. We've tried to do the declaration online but it keeps getting rejected. We aren't trying to avoid paying tax (no good socialist would do such a thing ), but they certainly don't make it easy!


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## Beachcomber (May 10, 2009)

It is actually a _joint_ total of €1.600 and the exemption only applies if the interest is subject of a tax retention and is your only source of income.


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