# Inheritance from uk, to resident in Spain. Unfair, discriminatory,



## Karinea (Nov 21, 2021)

I am looking for someone who understands and can decipher DTAs.. Including inheritance implications...
A friend of mine has an issue...
that inheritance is implied/included in the dta in holland, but also inferred in the uk one....""other taxes...""and other aspects of property mentioned, and talks about burden and discrimination which it would be if one has to declare here (spain) It would already have been done in the Uk. No tax to pay there. He wants someone who can support his case. He is british, nothing relates to spain and they want to apply the 183 day rule, which I would also wish to dispute due to difficulties of travel during covid, but Considers himself a habital resident Uk, as only has property and family and income from there...Here He would have to pay around 15000 plus all the extra burden of the process, which is discriminatory. I also read that foreigners in uk inheriting only pay tax on assets in the Uk. Please can you help! All the laws such as regarding dtas, cse, translation of 
documents rules, are still in force for the Uk until the end of 2022 at least. I would like impartial advice.

I want help disputing the system. He has received a lot of different answers, but believe the only just one is not to do the process Spain requires. Anyone been through this? No need to tell me about various deductions, it doesnt make it right. Also some regions in Spain have much better deductions than others. On humanitarian grounds a recently bereaved person should not have to go through all this with all the extra work involved. As his spanish is limited I have been doing all the research.

If you can take this up, please get in touch, or knows someone to do this pro bono or as a volunteer. Or payment if a positive outcome.


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## MataMata (Nov 30, 2008)

Reading between the lines if the case hinges on him being in Spain for in excess of 180 days due to Covid, and thus being deemed Spanish tax resident, that's unlikely to fly as a defence. Truth be told despite the lockdown and subsequent restrictions there remained ways for visiting UK residents to get home if they really wanted or needed to.

Whatever the circumstances I think you can be sure that there will be no discrimination against him personally, if that's what's being suggested.

Unfortunately as much as one might wish for it the law makes few allowances for bereavement.


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## kaipa (Aug 3, 2013)

I am not quite sure exactly what you are saying but I think the above post is right about the rules regarding residency. If what you are saying is that the person inherited wealth from UK and that it was already taxed and is now expected to be taxed again in Spain then that is possibly correct. However, first you need to say where the person lives in Spain. Different communities have different thresholds for inheritance tax. In some cases there is effectively none, others it can be up to a million before tax is payable, in Valencia its 100.000 euros ( also depends on the relationship). There is no double taxation agreement btwn Spain and UK with ref to inheritance- however I believe that other systems are used which have the same effect. Long and short is that your friend needs a tax lawyer in Spain with experience of the UK system to deal with everything. Obviously some money will need to be paid but it shouldn't be huge unless the inheritance was considerable.


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## Karinea (Nov 21, 2021)

kaipa said:


> I am not quite sure exactly what you are saying but I think the above post is right about the rules regarding residency. If what you are saying is that the person inherited wealth from UK and that it was already taxed and is now expected to be taxed again in Spain then that is possibly correct. However, first you need to say where the person lives in Spain. Different communities have different thresholds for inheritance tax. In some cases there is effectively none, others it can be up to a million before tax is payable, in Valencia its 100.000 euros ( also depends on the relationship). There is no double taxation agreement btwn Spain and UK with ref to inheritance- however I believe that other systems are used which have the same effect. Long and short is that your friend needs a tax lawyer in Spain with experience of the UK system to deal with everything. Obviously some money will need to be paid but it shouldn't be huge unless the inheritance was considerable.


The Dta refers in other ways to it such as 'other taxes' etc


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## Karinea (Nov 21, 2021)

kaipa said:


> I am not quite sure exactly what you are saying but I think the above post is right about the rules regarding residency. If what you are saying is that the person inherited wealth from UK and that it was already taxed and is now expected to be taxed again in Spain then that is possibly correct. However, first you need to say where the person lives in Spain. Different communities have different thresholds for inheritance tax. In some cases there is effectively none, others it can be up to a million before tax is payable, in Valencia its 100.000 euros ( also depends on the relationship). There is no double taxation agreement btwn Spain and UK with ref to inheritance- however I believe that other systems are used which have the same effect. Long and short is that your friend needs a tax lawyer in Spain with experience of the UK system to deal with everything. Obviously some money will need to be paid but it shouldn't be huge unless the inheritance was considerable.


The person was living alone with 2 dogs. Getting back and not knowing how long would have to stay...many difficulties in doing that, not even being able to visit mother when there, not as simple as in normal times, and then you are supposed to deregister as tax resident, very onerous... All laws, even regarding not having to translate, apostille, are still in force, but lawyers arent even budging in their 'beliefs' which are often incorrect


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## kaipa (Aug 3, 2013)

Karinea said:


> The person was living alone with 2 dogs. Getting back and not knowing how long would have to stay...many difficulties in doing that, not even being able to visit mother when there, not as simple as in normal times, and then you are supposed to deregister as tax resident, very onerous... All laws, even regarding not having to translate, apostille, are still in force, but lawyers arent even budging in their 'beliefs' which are often incorrect


Unfortunately the Spanish tax man is not going to be interested in circumstances that might have led to this situation. If the person feels that it amounts to an infringement of certain rights etc they will need to pursue this through the courts which would be very time consuming ( years?) and expensive. Get a good lawyer and try and workout a solution.


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## Joey Testa (Jan 5, 2021)

The spanish legal system is an absolute nightmare. Unfortunately many people don´t realise this before buying property. It is another argument in favour of renting rather than buying.


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