Been waiting 18 months to get back the 3% retention after selling a property in Spain.. Now heard from the solicitor (that I already paid 700 euros to sort things out) They are saying that I haven’t paid 4 years of Non residents tax, so owe Tax Office around 3000 Euros, plus 20% surcharge plus more solicitors fees for working out figures .
They say the Spanish Tax office want the money up front, and then will give me the 3% back. 1st Question: Is this normal? 2nd Question: Why can’t they just take it from the money they are holding which is 7000 Euros?
I will have to borrow the money and am afraid If I pay upfront – they are then going tell me I owe them more money for “something else” 3rd Question: Does anyone ever get back their 3%? Many thanks
Madeline, I’m afraid to say it does sound like normal practise from the Spanish taxman. They don’t offset other costs against the 3% retention. As far as I am aware you either pay all your taxes and they return it in full, or they keep it all.
People who are all square with the taxman do get paid back the 3% in the end, but it can take an outrageous amount of time. There are quite a few threads on this question, which you can see here: 3% retention / withholding tax. Read through them to see how long others have had to wait.
Viewing 1 reply thread
The forum ‘Property Questions & Answers’ is closed to new topics and replies.
Login or register to read articles without any adverts in the text.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.