Logan, according to the my tax attorney, if you don’t declare the asset now, and it is discovered next year, it is considered ‘income’ and taxed as such. Then there is a steep penalty. We would be paying at least 13,000 in tax and penalties on 50,000.
Katy, my tax attorney said that the 700,000 wealth tax was put on hold…but they created one here in Catalunya that starts at 500,000. Truthfully, while I fully understood his discussion about how the penalties work (he ran a few scenarios), I’m not sure I fully understood him correctly about this 700,000/500,000 laws.