Meet the Other Phone. Protection built in.

Meet the Other Phone.
Protection built in.

Buy now

Please or to access all these features

Investments

Discuss investments with other users on our Investment forum. For more advice read our tips for saving for your child's future.

Inherited property in Spain

2 replies

Dozycuntlaters · 02/08/2023 09:35

Hi all, wasn't really sure the best place to post this.

My lovely dad died almost three years ago and me and my 2 siblings have inherited his apartment in Spain. We are now having to decide whether to rent it out to help pay the running costs and I want to do things legally and declare tax in Spain. My sister has one more year of tax credits and is concerned that the rental money will affect this. The money will be paid into our Spanish bank account, tax returns will be submitted to our spanish accountants and the tax will be paid in Spain. So technically no income will be coming into any U bank accounts and we are going to keep the money in Spain as it purely is to keep the apartment running. It will not be rented all year round, just a long winter let for 5 months or so.

Does anyone know if this has implications with the HMRC and does she need to tell them this is what is happening?

TIA

OP posts:
Pinkitydrinkity · 02/08/2023 09:37

Yes you will need to do self-assessment and pay tax on the Spanish rental income.

If you live in the UK and are from the UK, your worldwide income is taxed in the UK.

You should get a tax credit in the UK for the tax you pay in Spain though.

Jeffjefftyjeff · 02/08/2023 09:40

Sorry for your loss. I’m interested in this general area as I will be in a similar situation one day. Yes, I believe you pay tax on this type of foreign income https://www.gov.uk/tax-foreign-income

Tax on foreign income

Find out whether you need to pay UK tax on foreign income - residence and ‘non-dom’ status, tax returns, claiming relief if you’re taxed twice (including certificates of residence)

https://www.gov.uk/tax-foreign-income

New posts on this thread. Refresh page