With the upcoming changes in UK taxes - potentially including a continued freeze on income tax thresholds, limits on pension contributions, potential reforms to property taxes, and more - it is a good time to consider moving to Spain!
Spain is often seen as a high-tax country, but when you take a closer look, it offers some real advantages over the UK - especially amid the upcoming tax changes. Here’s how Spain compares:
- The Beckham Law: This unique regime allows newcomers to Spain to be taxed at a flat 24% rate, and only on Spanish-sourced income. It's similar to the old UK non-dom scheme, which has now been abolished, making Spain an attractive option for those looking to optimize their tax position.
- Inheritance Tax Allowances: Many regions in Spain offer a 99% allowance on inheritance tax between parents and children. This means your loved ones can inherit almost tax-free—unlike in the UK, where estates can face up to 40% tax.
- 60% Flat Deduction For Long-Term Residential Rentals: If you're a Spanish tax resident renting out a property as the tenant's primary home (contract >1 year), you can deduct 60% of net income (gross rent minus expenses) automatically, often resulting in lower effective rates than the UK's.
- Lower Council Taxes: Property tax in Spain (IBI) is often significantly lower than local property taxes in the UK (council tax) for similar-value properties.
- Potentially Lower Corporation Taxes: The UK’s small-profits corporation tax begins at 19%, whereas new companies in Spain can pay as little as 15% for their first two profitable years.
Spain might not be Dubai, but knowing these differences can really help you get the most out of your move, potentially saving you a bunch on taxes and boosting your lifestyle.
That's why we've introduced a new service designed specifically for you. Our 45-minute UK-Spain Tax Consultation offers a comprehensive overview of your move, providing joint advice from specialists in both jurisdictions. For just €300, you gain access to two experts in one seamless session: Alicia from MyTaxes, a specialist in Spanish tax law, and one of our seasoned UK tax advisors. Together, they provide a holistic strategy to protect your assets and optimize your financial future.
Why a Joint UK-Spain Tax Consultation is Essential
When you move countries, your tax obligations don't simply stop in one place and start in another. There is often an overlap, with rules that can seem contradictory. A UK advisor might give you sound advice for your departure, and a Spanish advisor can prepare you for your arrival. But without a coordinated approach, you could miss out on significant tax-saving opportunities or fall into common traps.
Our joint consultation bridges this gap. By having both UK and Spanish experts in the same conversation, you receive integrated advice that considers your entire financial picture. This collaborative approach ensures that a strategy that benefits you in Spain doesn't create an unforeseen problem in the UK, and vice versa. It’s the most effective way to build a robust financial plan for your life abroad.
What Our Consultation Covers
This intensive 45-minute session is designed to address the most critical tax considerations for anyone moving from the UK to Spain. We focus on providing clarity and actionable strategies tailored to your unique circumstances.
Tax Residency Planning
One of the most fundamental aspects of your move is determining your tax residency status. The timing of your move can have a massive impact on the taxes you pay in both countries. We help you strategize in advance to navigate the UK's Statutory Residence Test and Spain's residency rules. Our goal is to help you establish a clear timeline that minimizes your tax liability and ensures full compliance.
Strategic Business Setup
For entrepreneurs and business owners, moving to Spain involves more than just personal tax planning. How you structure your business is critical for both immigration purposes and tax efficiency. Our specialists will review your current or planned business activities and advise on the optimal structure. We help you meet Spanish requirements while ensuring your setup is efficient across both jurisdictions, saving you money and administrative headaches down the line.
Understanding Beckham Law Benefits
Spain's "Beckham Law" is a special tax regime that can offer significant advantages to qualifying foreign workers moving to Spain. It allows individuals to be taxed as non-residents for a period, often resulting in a lower overall tax burden. However, eligibility can be complex, and there are potential pitfalls to avoid. During the consultation, we will evaluate your eligibility and explain how you can leverage this law effectively.
Clarity on Spanish and UK Taxes
The tax landscape can be daunting. From wealth tax and inheritance tax in Spain to the new "large fortunes tax," there are many regulations to understand. At the same time, you need to be clear on your remaining obligations in the UK, such as Capital Gains Tax on UK assets. Our experts will demystify these topics, providing clear insights into what you can expect to pay and how these taxes interact. You’ll leave the session with a much clearer understanding of your financial responsibilities.
Your Specific Questions Answered
Every move is unique. You may have specific concerns related to pensions, property investments, or other financial matters. The consultation provides a dedicated opportunity to discuss any other tax-related issues specific to your situation. Our experts are there to listen to your concerns and provide tailored advice, ensuring you have the confidence to move forward.
Get the Expert Guidance You Need
With upcoming changes to UK taxes on the horizon, having the right UK-Spain tax strategy is essential. Our 45-minute consultation offers clear, tailored advice on how these updates might impact your move, helping you avoid costly mistakes and ensuring peace of mind.
Get expert guidance for just €300 and move forward with confidence. Invest in professional consultation today and make your move to Spain with real confidence, knowing you’re protected against the uncertainty of the UK’s shifting tax environment.
Ready to take the next step?
Book your UK-Spain tax consultation today and gain the clarity you need for a successful move.