Best way to Notify Hacienda of purchase price..

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This topic contains 7 replies, has 3 voices, and was last updated by Profile photo of Anonymous Anonymous 7 years, 10 months ago.

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  • #54700
    Profile photo of Anonymous
    Anonymous
    Participant

    Hi All,

    Ok I got my questions answered by by Spanish solicitor ( 😕 ). Not sure he was answering the questions I asked though!

    Anyway as so much in life forums like these are infinitely more useful than paid professional advice.

    So I would be grateful is anyone has experience of this and how it was done, so that it’s clear the sale price declared is the REAL price.
    Thanks
    JP1

  • #89959
    Profile photo of Anonymous
    Anonymous
    Participant

    A follow up to my earlier question…

    Having spoken to my solicitor we have written into the private sales contract that the buyer will pay (to me) 100% of the sale price and not withhold the 3% retention.

    Now talking this over with my wife after she has spoken to people on the Hacienda telephone help line, it may not be that straight forward as form 212 that we complete to claim a refund will reference form 211 the buyer completes to pay the tax. Of course in our form we would enter 0 as the amount to refund.

    Does anyone have any thoughts on this process? Assuming the buyer agreed to not withhold retention tax? Is it legal… This is the advice of our Solicitor!!!
    Thanks
    JP1

  • #89960
    Profile photo of katy
    katy
    Spectator

    I thought it is the Law that the buyer MUST withold the 3% retention. The Notary will require to see that this is done. No buyer with sense would agree to this as they are liable if they do not withold it.

  • #89962
    Profile photo of Anonymous
    Anonymous
    Participant

    @katy wrote:

    I thought it is the Law that the buyer MUST withold the 3% retention. The Notary will require to see that this is done. No buyer with sense would agree to this as they are liable if they do not withold it.

    Exactly!

  • #89968
    Profile photo of Anonymous
    Anonymous
    Participant

    But is it law and would the notary refuse to conduct the sale without the retention. This was the exact thought I had after the advice was received.

    So is my solicitor completely incompetent? So far what has been provided in written form has been absolutely abysmal. Incorrect information, incorrect formatting, vital information missing, lack of flow and consistency in style. A total joke.

    My wife has ended up writing the private sales contract!

  • #89972
    Profile photo of katy
    katy
    Spectator

    I would sack the Lawyer.

  • #89973
    Profile photo of Anonymous
    Anonymous
    Participant

    @katy wrote:

    I would sack the Lawyer.

    Exactly!

    Sorry JP1 but it is the law if you are selling as a non resident for the buyer to withhold 3%, which is paid to Hacienda and then you have to convince them to refund it.

  • #89988
    Profile photo of Anonymous
    Anonymous
    Participant

    Yes thanks for the advice,

    I will re-write the term to state that the buyer presents a cheque for the retention tax and competes 211 which will be submitted at signing.

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