When do I become a Tax Resident in Spain and how can I fill my Income Tax Return?

If you’re planning on moving to Spain or have already done so, you may be wondering about your tax obligations. Becoming a tax resident in Spain means that you’ll need to file an income tax return and pay taxes on your worldwide income.

So, when do you become a tax resident in Spain? According to Spanish tax law (article 9 of law 35/2006), you’re considered a tax resident if you meet any of the following criteria:

1. You spend more than 183 days in Spain during a calendar year.
2. Your primary center of economic activity is in Spain.
3. Your spouse and dependent children live in Spain.

Once you’ve established tax residency in Spain, you’ll need to file an income tax return by June 30th of the following year. The tax year in Spain runs from January 1st to December 31st.

Filing an income tax return can be a complex process, especially if you’re not familiar with Spanish tax law. Here’s a breakdown of the information you’ll need to provide:

1. Personal Information: You’ll need to provide your name, address, and tax identification number.
2. Income Information: You’ll need to provide information about all of your income sources, including wages, rental income, and capital gains. If you have income from outside of Spain, you’ll also need to provide information about that income.
3. Deductions: You may be able to claim deductions for certain expenses, such as mortgage interest or donations to charity.
4. Tax Credits: You may be eligible for tax credits for certain expenses, such as education expenses or dependent care.
5. Tax Payment: You’ll need to pay any taxes owed by the deadline, which is typically June 30th of the following year. If you owe more than €1,000 in taxes, you may be required to make quarterly tax payments throughout the year.

If you’re unsure about how to fill out your income tax return or have questions about your tax obligations as a resident in Spain, it’s recommended that you seek the help of a tax advisor. Marfour tax advisors’ experts can guide you through the process and ensure that you’re fulfilling your tax obligations correctly to avoid any penalties or fines.

In summary, becoming a tax resident in Spain means that you’ll need to file an income tax return and pay taxes on your worldwide income. The deadline for filing your income tax return is June 30th of the following year.