September 21, 2016 at 11:29 am #192642
I have seen two different interpretations of taxes for non-residents investing in property and subsequently renting out their property.
One is saying that only EU-residents can deduct costs like interest on mortgage before being taxed on rental income.
The other states that only EU-nationals can deduct costs like interest on mortgage before being taxed on rental income.
The reason I am asking is that I am a EU-national but a resident in Ghana so it makes quite a difference for the rental income I could expect from an investment.
Could you clarify?
September 23, 2016 at 4:58 pm #192689
What counts is citizenship / nationality, not residence.
September 24, 2016 at 5:02 pm #192698
Do you know if the same applies to Inheritance/Succession Tax (IHT)? I appreciate that Brexit may affect this in the future, but, under current rules, would my daughter, a UK national resident in Dubai, be treated more-or-less identically for IHT as my son (UK national and resident). I am assuming that I will be tax-resident in Catalunya on my death, with most of my assets located in Spain.
My guess would be that a non-EEA resident would be subject to the general Spanish rules rather than the more generous Catalunyan rules,
September 26, 2016 at 3:22 pm #192703
I was advised the opposite by my accountant, and was denied all property deductions when I lived in Switzerland even though I have British citizenship, because he said I had to be resident in the EU to be eligible for the deductions and citizenship didn´t matter.
September 26, 2016 at 5:53 pm #192705
Yes, you are right.
September 26, 2016 at 5:38 pm #192704
September 27, 2016 at 11:35 am #192712
So just to clarify, if you are tax-resident in Ghana you won’t be able to deduct expenses.
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