Avoid costly tax mistakes with Legal Management’s expert Tax Consulting Services. Take control of your taxes today!
Legal Management offers clients professional tax consulting services. By analyzing your income, expenses, investments, and deductions, we provide strategic guidance aimed at maximizing tax efficiency and minimizing liabilities. We empower you to make informed decisions that secure your financial well-being both in the present and for the future. Our experienced team of tax advisors are on hand to ensure that you fulfill your tax obligations while achieving the best possible results. Whether it’s personal tax returns, company’s accounting or strategic tax planning, we are here to guide you.
The way in which individuals are taxed depends on whether they are considered a resident in Spain.
When is tax residency assumed?
Tax residency is assumed if the natural person has their habitual residence in Spain, i.e. if they spend more than 183 days in Spain in a calendar year.
Residents are subject to tax on their worldwide income. There are exceptions up to a certain maximum amount for income from employment abroad, provided it is taxed there, and for dividends from non-resident companies.
Non-residents are subject to the Impuesto sobre la Renta de No Residentes, IRNR on their income and capital gains from Spanish sources. The IRNR regulations also apply to legal entities.
As a rule, a fixed tax rate of 24% is applied to gross income without deductions, although there may be bilateral tax treaties between Spain and other countries that affect taxation.
However, there are exceptions for e.g. wealth tax, income tax on rental income and speculation tax, where other tax rates are applied.
To find out more about the property taxes mentioned above, click here:
