By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
30^th of January 2018

In my article from last December 2017, Non-Resident Income Tax, I wrote on the consequences for non-residents on what is known as the Common Reporting Standard or CRS, for short.

Spain signed in 2014 a treaty, along with over 100 other countries, for cross-border tax co-operation to combat tax evasion. As from 2018, the Spanish Tax Authority (AEAT) will automatically receive a great deal of fiscal information from non-resident owners, including UK and Irish nationals. And by the same token, the Spanish Tax Office will be collating a great deal of fiscal information on you from Spanish banks, and other sources, and sending it back to all those countries that signed the CRS treaty.

One of the (most visible) results of this budding cooperation between tax offices is the letter or e-mail you will have received in January 2018 from your Spanish bank/s informing you they are going to pass along a great deal of fiscal information on you to the Spanish Tax Office, which in turn will relay it over to your home country’s tax office. Sample email from Spanish bank requesting tax information.

Both countries, going forward, will now be busy cross-checking your fiscal declarations and tax residency to catch you out in case you have not been declaring and paying your taxes in your country of tax residence as well as in Spain.

If you are tax resident in Spain, even unbeknownst to yourself, and you have failed to declare your income you may be facing fines for tax model 720 follow a sliding scale. Any ‘incongruity’ is fined starting at €10,000 and any data ‘omitted’ is fined starting at €5,000. Fines can lead up to a staggering 120% of the undeclared amounts you hold abroad on being resident in Spain. The afore does not preclude the fines for Income Tax which additionally can be up to 150%.

Bottom line, for your own sake, if you own assets or derive any income in Spain, get your taxes sorted out pronto because it is a ticking time bomb and time is running against you. Speak to us to sort out your tax matters and become fully tax compliant. We can help you sort out your tax affairs regularising them for a nominal fee for your peace of mind. We only charge for our legal services; a pain-free stomach is gratis. 

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, inheritance, conveyancing, and litigation. We will be very pleased to discuss your matter with you. Please contact us for a free initial consultation. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Non-Resident Income Tax (Fiscal Representation)
• Holiday Rentals Accounting Service (HRAS)
• Spanish Inheritance Tax (IHT)
• Spanish Inheritance Tax Assessment Report (SITAR)
• Wealth Tax
• Tax Model 720
• IBI Tax (Town Hall Rates)

Taxation-related articles

• Spain’s Wealth Tax Reloaded – 8th September 2011
• Spanish Wealth Tax (Patrimonio) – 8th November 2011
• Fiscal Novelties Affecting Spanish Property Owners – 8th December 2012
• Buying and Owning Spanish Property through Companies: Pros and Cons – 7th March 2014
• Taxes on Selling Spanish Property – 8th December 2014
• Changes to Spain’s Inheritance and Gift Tax Law – 21st February 2015
• La Complementaria or ‘Bargain-Hunter Tax’ – 8th May 2015
• Taxes on Buying Spanish Property – 8th July 2015
• Dispelling Spanish Inheritance Tax Myths – 8th August 2015
• Non-Resident Taxes in Spain – 8th December 2015
• Spanish Inheritance Tax for Non-residents (Part I) – 8th February 2016
• Spanish Inheritance Tax for Non-residents (Part II) – 8th March 2016
• Spain’s Non-Dom Tax Scheme – 8th July 2016
• Inheritance Tax Novelties in Andalusia. FAQ on IHT – 8th September 2016
• Renting in Spain - Landlord´s Taxation – 8th of January 2017
• Renting in Spain: Non-Resident Landlord's Rental Tax Relief – 14th of January 2017
• Which beneficiaries are hit worst by Spanish Inheritance Tax (IHT)? – 2nd June 2017
• Holiday Home Taxation in Spain – 8th of July 2017
• Andalusia to slash Inheritance tax for inheritances under 1 million euros – 21st September 2017
• Spanish Inheritance Tax Assessment Report (SITAR) – 8th of October 2017
• Non-Resident Income Tax – 1st December 2017
• Non-Resident Income Tax – 8^th December 2017
• Has your Spanish bank notified you they are going to disclose information about you to the Spanish Tax Office? – 30^th January 2018

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.018 © Raymundo Larraín Nesbitt. All rights reserved.

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
16^th of January 2018

The explosive two-digit year-on-year growth on rental income we have witnessed over the last years in Spain has brought a huge demand for professional holiday-home rental accounting services.

Larraín Nesbitt Lawyers is a Spanish law firm that offers a bespoke rental income accounting service for both legal and physical non-resident landlords. We file taxes all over Spain.

Our team of dedicated lawyers and economists will file and lodge your quarterly tax forms for a very competitive fee. Because of how admin intensive this procedure is, and the need for specialized tax software, landlords should not realistically hope to complete it on their own without attracting fines & penalties.

The most interesting part of our accounting service is that we reduce taxpayer's bills by 70%, or more, on average.

Following a new ruling from the European Court of Justice, we can now offer non-resident landlords generous tax relief. We can deduct all or part of your property-related VAT invoices. For a full list of tax-deductible items you can read our tax article: Holiday lettings: “Con factura, por favor.”

Property owners who rent properties out in Spain (whether long or short-term) and hire us, save quite a bunch in taxes. Real client examples of quaterly tax savings: Renting in Spain: are you still overpaying income tax every quarter?

"We will save you more money on taxes than what you spend on hiring us."

We take the stress off your taxation freeing you up, so you can relax and spend more time enjoying what you value most in life.

For 2019, the non-resident tax calendar is as follows:

• Q1 2019 January – March. Filed on the first 15 days of April.
• Q2 2019 April – June. Filed on the first 15 days of July.
• Q3 2019 July – September. Filed on the first 15 days of October.
• Q4 2019 October – December. Filed on the first 15 days of January 2020.

Our Holiday Rentals Accounting Service (HRAS) offers all the following advantages:

• We reduce landlord’s tax bills by 70%, or more, on average through tax relief.
• Money-back guarantee. We will reduce your tax by a minimum of 40%, or your money back, no questions asked. All EEA/EU non-residents can benefit from this, including UK-residents (luxury rentals are excluded from this offer).
  
• Deal only with native English-speaking lawyers and economists. No more ‘lost in translation’ shenanigans.
• Registered professionals at the Spanish Law Society and Economist's Society.
  
• We are members of the British Chamber of Commerce, Spain.
• Very competitive fees.
• Fast, responsive, easy-to-understand tax service.
• We will let you know exactly (in %) how much tax we have saved you through our tax service.
• Complete the quarterly tax forms in Spanish. We will email you a copy once filed for your records and for your peace of mind.
• Submit the tax returns before the tax office in a timely manner (thus avoiding attracting penalties and surcharges on late payment).
• Setting a fiscal representative’s address to deal with all tax-related correspondence generated throughout a fiscal year.
• Reply to any tax notifications within the deadline ensuring tax compliance.
• Appeal misunderstandings or material errors (additional fees may apply).
• Mandatory Professional Indemnity Insurance which you can claim from in case of negligence or malpractice. Currently this cover stands at €1,000,000 with Larraín Nesbitt Lawyers.
• Up-to-date knowledge on fast-paced fiscal changes.

Legal fees: €125/tax quarter/per property

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, inheritance, conveyancing, and litigation. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Tax & legal services Larraín Nesbitt Lawyers can offer you

• Holiday Rental Accounting Service (HRAS)
• Non-Resident Income Tax (Fiscal Representation)
• Spanish Inheritance Tax (IHT)
• Wealth Tax
• IBI Tax (Town Hall Rates)
• Tax Model 720

Holiday-home letting related articles

• Renting in Spain: Top Ten Mistakes – 8th of June 2011
• Let-to-Buy in Spain: The Smart Choice – 8th of April 2012
• Letting in Spain: The Safe Way – 10th of October 2012
• New Measures to Bolster Spain’s Ailing Rental Market – 8th of July 2013
• Tenant Eviction in Spain – 8th of June 2014
• Holiday Rental Laws in Spain – 8th of March 2015
• House Hunting in Spain – Interview with The New York Times. June 2015
• Taxes on Buying Spanish Property – 8th July 2015
• Non-Resident Taxes in Spain – 8th December 2015
• Resurgent Spain: Málaga Sees Strong Sales – Interview with Mansion Global (The Wall Street Journal). December 2015
• Holiday Rental Laws in Andalusia (Decree 28/2016) – 8th of February 2016
• Decree 20/2002: Andalusia’s Holiday Rural Rental Decree – 8th of April 2016
• Urban Rental Law in Spain – Spain's Tenancy Act – 8th May 2016
• Buying Property in Spain – 10 Reasons to Hire a Lawyer – 8th November 2016
• Renting in Spain - Landlord´s Taxation – 8th of January 2017
• Renting in Spain: Non-Resident Landlord's Rental Tax Relief – 14th of January 2017
• Buying Property in Spain from a Private Seller (Resale Property) – 21st of February 2017
• Buying Property in Spain from a Developer (Off-Plan Property) – 8^th March 2017
• NIE Number Explained – 8th May 2017
• Community of Owners in Madrid to bar Holiday Rentals – 29th June 2017
• Holiday Rental Home Taxation in Spain – 8th July 2017
• Holiday Rentals in Andalusia Made Easy – 3^rd July 2017
• How to inspect an off-plan property overseas – Q&A with The Sunday Times. July 2017
• Holiday-home lettings: Do NOT register with Andalusia's Tourism Registry unless you are fully compliant – 21^st of July 2017
• New Balearics Holiday Rental Law – 8^th of September 2017
• Seasonal lets: an alternative to holiday home rentals – 8^th of October 2017
• Let-to-buy contracts: do not forget to add a clause forbidding sublets! – 20^th October 2017
• The magic of lettings in Spain – 21^st November 2017
• Non-Resident Income Tax – 8^th December 2017
• 7 illegal clauses in Spanish rental contracts – 8^th January 2018
• Holiday Rental Accounting Service (HRAS) – 16^th January 2018
• Holiday Rental Taxation in Spain – 8th July 2018
• Renting in Spain: are you still overpaying income tax every quarter? – 16^th October 2018
• You are taxed at source on renting out in Spain – 30^th November 2018
• Did you get an email from AirBnb over your Spanish tax details? – 21st December 2018
• Important information from the Spanish Ministry of Finance – 7^th January 2019
• Holiday lettings: “Con factura, por favor.” – 21st January 2019
• Holiday lettings: VAT invoice dissected – 11th February 2019
• Save 70% on your landlord tax bill – 8th March 2019

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 and 2.018 © Raymundo Larraín Nesbitt. All rights reserved.

Blog post copyrighted © 2009, 2010 and 2018 Plagiarism will be criminally prosecuted.

This blog post is an excerpt from my original article of the 3^rd September 2009.

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
3^rd of January 2018

Ideally, foreigners should make two wills; one in their home country ruling on their national assets and a second Spanish will drawn up in Spain which will rule exclusively on their Spanish estate.

Our law firm can draft you a Spanish Will.  More on this service: Will Service.

1. A Spanish will affects only your Spanish estate.
2. Drawing up a Spanish will help your heirs mitigate their tax bill. There’s a deadline of 6 months from the time of the testator’s demise to file and pay Spanish Inheritance Tax (IHT). Late payment of IHT attracts surcharges, penalties and delay interests. A Spanish will cuts through the red tape streamlining the succession procedure so tax is paid on time within the deadline (without attracting penalties and interests on top).
3. Drawing up a Spanish will saves both money and hassle. If you only make an English will, your beneficiaries will have to follow a Grant of Probate in the United Kingdom (over £1,200). You'll need to translate into Spanish by a sworn translator all legal documents, notarise them and affix to each of them the Apostille of The Hague Convention.
All this greatly increases the expenses for your beneficiaries, as well as significantly delaying the whole procedure of transferring your Spanish estate which will attract surcharges, penalties and delay interests (point two above). However, if you make a Spanish will, the above becomes redundant.
4. Spanish wills are stored safely at no extra charge. On making a Spanish will, you will be given only a “copia simple” (simple copy) or “copia autorizada”. The original is stored by the Notary in his files for record. Should you lose your copy, don’t panic. Moreover, all Spanish wills' details are safely stored at Madrid’s Central Registry of Last Wills. One can always request a copy and if you believe you are a beneficiary, they will let you know before which Notary it was witnessed.
5. Spanish wills drawn up before a Notary public add security. Making a will is a personal act. A Notary is a highly qualified law professional who witnesses the signing of the will. He will highlight any incorrection or illegality.
6. The content of a Spanish will is governed by your own national laws. This means that you are not constrained by Spain’s forced heirship rules. Additionally, if you are of British or Irish citizenship, you have free testamentary disposition in Spain. This means you can make a will exactly the same as you would in the U.K. or in Ireland, albeit with all the additional advantages for your loved ones that I’ve highlighted above.
7. Spanish wills can be worded in English. Spanish wills can be drafted in double barrel, English-Spanish, for your peace of mind. So you know fully, at all times, what you are signing at a Notary Public.

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in inheritance, conveyancing, taxation and litigation. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Making a Spanish will
• Spanish Inheritance Tax Assessment Report (SITAR)
• Probate and Succession
• Legal Property Report (LPR)
• Death Certificate
• Land Registry Search (Nota Simple)

Inheritance-related articles

• New EU Regulation to be Passed on Succession and Wills –18th May 2010
• EU Pulls the Stops and Vows to Put and End to Inheritance Taxation Discrimination on Non-Resident Beneficiaries Inheriting in Spain – 20th May 2010
• Non-Residents: Six Advantages of Making a Will in Spain – 8th August 2012
• Spanish Wills and Probate Law in Light of European Regulation 650/2012 – 8th January 2015
• Changes to Spain’s Inheritance and Gift Tax Law – 21st February 2015
• Dispelling Spanish Inheritance Tax Myths – 8th August 2015
• Spanish Inheritance Tax for Non-Residents (Part I) – 21st February 2016
• Spanish Inheritance Tax for Non-Residents (Part II) – 8th March 2016
• Inheritance Tax Novelties in Andalusia. FAQ on IHT – 8th September 2016
• Which beneficiaries are hit worst by Spanish Inheritance Tax (IHT)? – 2nd June 2017
• Non-Resident: Why you need to make a Spanish will – 24th June 2017
• Non-resident: careful on making a will in Spain – 30th August 2017
• Andalusia to slash Inheritance tax for inheritances under 1 million euros – 21st September 2017
• Spanish Inheritance Tax Assessment Report (SITAR) – 8th October 2017
• 7 Advantages of Making a Spanish will – 3^rd January 2018

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.009, 2.010 and 2.018 © Raymundo Larraín Nesbitt. All rights reserved.

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
1^st of December 2017

The festive season is almost upon us. Most people have their minds set in the holiday break and spending some quality time with family and friends.

Unfortunately, it is also the time of the year where Non-Resident Income Tax is due (NRIT, for short). I have written this short blog post as a gentle year-end reminder.

If you own property in Spain, and are non-resident, you are liable to pay NRIT even if you do NOT rent your property out. You have until the 31^st of December to file NRIT without attracting penalties and surcharges.

On selling your property, the Spanish Tax Office will verify you are up do date paying NRIT; otherwise they will simply pocket all or part of the 3% retention a property buyer is forced to withhold on buying your property and pay it into the tax office. Losing 3% of the sales proceeds is a large amount of money for most people. Why not pre-empt this following my advice?

In order to avoid losing money on selling your property in Spain, you should hire a law firm such as ours to file this annual tax on your behalf. This annual tax in itself is actually ultra-low and acts with a purpose of ‘control’. We offer the following legal service for a flat fee:

• Non-Resident Income Tax (Fiscal Representation): €90
  

You can contact us until the 21^st of December 2017 to file and pay your Non-Resident Income Tax. Stragglers are welcome!

What happens if I rent my property out in Spain?

In addition to filing the above annual tax, you will also have to pay a quarterly tax on your Spanish rental income.

When you let your Spanish property, regardless if it is short-term (i.e. holiday home or seasonal let) or long term, you should be filing and paying a quarterly tax on your rental income to the Spanish Tax Office. This tax is collected quarterly, on the first 20 days of every January, April, July and October.

We offer the following legal service which is very competitively priced:

• Holiday Rental Accounting Service (HRAS): 100 euros/tax quarter (plus VAT)

On average, we are able to reduce 30 to 40% of a landlord’s taxable base on applying for landlord tax relief (including non-residents, as long as you are EEA/EU-resident).

More details in my article: Renting in Spain: Non-Resident Landlord's Rental Tax Relief – 14th of January 2017

We welcome you to contact us and discuss your tax matters, so you are fully tax-compliant (and pay less taxes of course!).

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, conveyancing, litigation and inheritance. We will be very pleased to discuss your matter with you. Please contact us for a free initial consultation. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Non-Resident Income Tax (Fiscal Representation)
• Holiday Rentals Accounting Service (HRAS)
• Wealth Tax
• Transfer of Estate to Heirs (Spanish Inheritance Tax, IHT)

Taxation-related articles

• Spanish Wealth Tax (Patrimonio) – 8th November 2011
• Taxes on Selling Spanish Property – 8th December 2014
• Changes to Spain’s Inheritance and Gift Tax Law – 21st February 2015
• La Complementaria or ‘Bargain-Hunter Tax’ – 8th May 2015
• Taxes on Buying Spanish Property – 8th July 2015
• Non-Resident Taxes in Spain – 8th December 2015
• Spanish Inheritance Tax for Non-residents (Part I) – 8th February 2016
• Spanish Inheritance Tax for Non-residents (Part II) – 8th March 2016
• Holiday Home Taxation in Spain – 8th of July 2017
• Non-Resident Income Tax – 1st December 2017
• Non-Resident Income Tax – 8^th December 2017

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 © Raymundo Larraín Nesbitt. All rights reserved.

By Raymundo Larraín Nesbitt
Lawyer and Director of Larraín Nesbitt Lawyers
21^st of November 2017

So, you’ve heard all the good news surrounding the explosive double-digit growth on Spanish rental asking prices and your curiosity has been peaked? You may feel half tempted to jump onto the bandwagon of landlords that make a nice little extra income in the summertime renting out to tourists.

But what is holding you back is being put off by all the newspaper articles hammering on the new batch of regional regulations sweeping Spain that have put in place stringent requirements to let properties out to tourists, require a mandatory rental licence from regional Authorities and which are subject to humongous fines on non-compliance. I know, what a bummer.

What if I were to tell you that you could legally sidestep all the above pesky requirements? There is a perfectly legal way to rent out your property in Spain to tourists during the summer season which does NOT require:

• Registration of your rental with the regional Authorities. Tick.
• No need to apply for a tourist rental licence. Tick.
• Your property will not be subject to inspections by regional Authorities. Tick.
• You do not need to meet daft expensive requirements such as A/C installed in every room, WIFI, mandatory rental insurance etc. Tick.
• You will not be liable for massive fines on non-compliance. Tick.

Interested? Well, come and speak to the experts; we can make it happen for you. *

Making life simple.

*Not everyone qualifies, ask us.

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in conveyancing, taxation, litigation and inheritance. We will be very pleased to discuss your matter with you. Please contact us for a free initial consultation. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Rentals
• Registration of Holiday Homes
• Holiday Rentals Accounting Service (HRAS)
• Non-Resident Income Tax (Fiscal Representation)

Rental-related articles

• Renting in Spain: Top Ten Mistakes – 8th of June 2011
• Let-to-Buy in Spain: The Smart Choice – 8th of April 2012
• Letting in Spain: The Safe Way – 10th of October 2012
• New Measures to Bolster Spain’s Ailing Rental Market – 8th of July 2013
• Tenant Eviction in Spain – 8th of June 2014
• Holiday Rental Laws in Spain – 8th of March 2015
• Holiday Rental Laws in Andalusia (Decree 28/2016) – 8th of February 2016
• Decree 20/2002: Andalusia’s Holiday Rural Rental Decree – 8th of April 2016
• Urban Rental Law in Spain – Spain's Tenancy Act – 8th May 2016
• Renting in Spain - Landlord´s Taxation – 8th of January 2017
• Renting in Spain: Non-Resident Landlord's Rental Tax Relief – 14th of January 2017
• Community of Owners in Madrid to bar Holiday Rentals – 29th June 2017
• Holiday Rental Home Taxation in Spain – 8th July 2017
• Holiday Rentals in Andalusia Made Easy – 3^rd July 2017
• How to inspect an off-plan property overseas – Interview with The Sunday Times. July 2017
• New Balearics holiday rental law – 8^th September 2017
• Seasonal lets: an alternative to holiday rentals – 8^th October 2017
• Let-to-buy contracts: do not forget to add a clause forbidding sublets! – 20^th October 2017
• Andalusia starts fining holiday home landlords – 31^st October 2017
• The magic of lettings in Spain – 21^st November 2017
• 7 illegal clauses in Spanish rental contracts – 8^th January 2018
• Holiday Rentals Accounting Service (HRAS) – 16^th January 2018

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 © Raymundo Larraín Nesbitt. All rights reserved.

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
10^th of November 2017

A Land Registry Search (LRS) is a legal service thought for those who need to find assets in Spain under the name of individuals or companies (you must specify the latter). In Spanish, it is known as a 'nota simple'. The nota simple is one of the most important documents used in the Spanish property conveyancing process.

What is a Nota Simple used for?

• Buying property.
• Selling property.
• Inheriting property.
• Letting property.
• Applying for a mortgage loan.
• Asset-hunting.
• Law Enforcement Agencies seeking ill-gotten assets.
• Private detectives.

What key information can be found in a Nota Simple?

• Ownership.
• General property description.
• Charges, debts, easements or encumbrances.
• Other.

Nota Simple example

This legal service is suitable for:

• Matrimonial proceedings: tracing Spanish property ownership of an opponent party.
• Inheritance proceedings: tracing Spanish assets of a deceased.
• Debt recovery: trace assets in Spain belonging to individuals or companies, seize them legally (separate legal service applies, ask us).
• Buying, selling or renting property in Spain: Find out if a property has charges, liens, encumbrances, long term tenants, if the vendor is who he really says he is (avoid sale scams), if a property is classified as rural or urban, if it has legal proceedings against it under way, embargoed etc.
• Loan applications: if you are applying for a (mortgage) loan on a property you will be asked for an updated nota simple.

What this service includes:

• Property search.
• Reply within 24 hours (contingent on the Land Registry).
• Basic translation into English of legal terms and property extract. *

*optional, additional fees apply.

What you need to supply us (one or more of the following):

• First name and surname of owner/s.
• Identification details of owner i.e. NIE number.
• Identification details of property i.e. IDUFIR (single property registration identifier).
• Region in Spain where you think the property may be located (optional).

Legal fees (per property):

• No English translation: €50
• With basic English translation: €70
• Bulk orders: fees on application.

EDIT 16/02/2018: The rules of the Land Registry have changed and negative result searches are now billed going forward (10 euros/each search).

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in conveyancing, taxation, litigation and inheritance. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Nota Simple – Land Registry Search (LRS) 
• Legal Property Report (LPR)
• Company Registry Search (CRS)
• Recognition and Execution of Foreign Court Rulings

Related articles

• Nota Simple: What is it and how do you get one? – 8th of April 2013
• Nota Simple – Land Registry Search (LRS) – 10th of November 2017

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 © Raymundo Larraín Nesbitt. All rights reserved.

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
31^st of October 2017

In my article on Decree 28/2016, which details the requirements to register oneself before Andalusia’s Tourism Registry as a holiday home, I made it clear that the most important requirement was to attain a Licence of First Occupation. I also wrote a specific blog post last July warning landlords not to register before the ATR unless they were fully compliant least they risk being fined at least two thousand euros on non-compliance.

A Licence of First Occupation (LFO, for short) is an administrative licence issued by the town hall, where the property is located, and certifies the development is in full compliance with the Building Licence (BL) and all associated Planning laws.

Despite these repeated warnings, hundreds of landlords ploughed ahead and self-registered themselves to take advantage of the summer season or else used non-qualified acquaintances to register them (in exchange of a fee). The idea was that they could register provisionally and rent the properties out and subsequently receive from the ATR their rental number in the following weeks or months despite not being fully compliant. Almost 30,000 properties have been registered so far in Andalusia.

Many landlords registered without using a lawyer, not fully understanding the legal consequences of their own actions and as a result are being landed with €2,001 fines, at the least. Fines in Andalusia range from €2,000 up to €150,000.

All along September and October landlords have been receiving these fines (see blog post photo) in the region of Andalusia from the ATR informing them a case had been brought against them and classified as a serious breach.

Failure to pay these fines will result in the ATR placing a charge against your property. There is only a 10-day deadline to appeal a fine. You need to hire a lawyer to lodge an appeal.

What we can glean from the above is:

• You should apply for a touristic rental licence in Andalusia and declare and pay your rental income (in Spain) if you do not want to be heavily fined by the Authorities.
• Do NOT register before Andalusia’s Tourism Registry unless you are fully compliant with the requirements set out in Decree 28/2016.
• I strongly advise would-be holiday home landlords to register only using the services of a law firm such as ours which fully understands what’s being asked and avoid the client humongous fines and court cases. You should also hire a law firm to deal with the taxation side of things, applying for landlord tax relief which significantly reduces your taxable base (on average by 30 to 40%). More information on this service: Holiday Rental Accounting Service (HRAS).

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in conveyancing, taxation, litigation and inheritance. We will be very pleased to discuss your matter with you. Please contact us for a free initial consultation. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Registration of Holiday Homes
  
• Rentals
• Litigation
• Holiday Rental Accounting Service (HRAS)

Holiday-homes related articles

• Renting in Spain: Top Ten Mistakes – 8th of June 2011
• Let-to-Buy in Spain: The Smart Choice – 8th of April 2012
• Letting in Spain: The Safe Way – 10th of October 2012
• New Measures to Bolster Spain’s Ailing Rental Market – 8th of July 2013
• Tenant Eviction in Spain – 8th of June 2014
• Holiday Rental Laws in Spain – 8th of March 2015
• Holiday Rental Laws in Andalusia (Decree 28/2016) – 8th of February 2016
• Decree 20/2002: Andalusia’s Holiday Rural Rental Decree – 8th of April 2016
• Urban Rental Law in Spain – Spain's Tenancy Act – 8th May 2016
• Renting in Spain - Landlord´s Taxation – 8th of January 2017
• Renting in Spain: Non-Resident Landlord's Rental Tax Relief – 14th of January 2017
• Community of Owners in Madrid to bar Holiday Rentals – 29th June 2017
• Holiday Rental Home Taxation in Spain – 8th July 2017
• Holiday Rentals in Andalusia Made Easy – 3^rd July 2017
• How to inspect an off-plan property overseas – Interview with The Sunday Times. July 2017
• New Balearics holiday rental law – 8^th September 2017
• Seasonal lets: an alternative to holiday rentals – 8^th October 2017
• Let-to-buy contracts: do not forget to add a clause forbidding sublets! – 20^th October 2017
• Andalusia starts fining holiday home landlords – 31^st October 2017

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 © Raymundo Larraín Nesbitt. All rights reserved.

Anál nathrach, orth' bháis's bethad, do chél dénmha

By Raymundo Larraín Nesbitt
Lawyer and Director of Larraín Nesbitt Lawyers
20^th of October 2017

Back in 2009, I wrote an article on the advantages of let-to-buy contracts as opposed to buying outright a property (Let-to-Buy in Spain: The Smart Choice). The idea behind the article was that if you waited long enough, you could benefit from a steep drop in property prices. In retrospective, the year 2011 marked the inflection point as property prices reached their trough in Spain and have been steadily rising ever since.

Resale property vendors have faced a challenging sales environment over the last years as sales remain sluggish (as opposed to off-plan properties and holiday rentals which have been booming in some areas in Spain). The bid for independence in Catalonia has not been helpful either to build up confidence in the resales market.

Given this sales scenario, I was struck the other day on being queried by the wording of a rent-to-buy contract. The landlords had drafted a contract, and in their haste to sell, had bent over backwards to be accommodating as much as possible towards the prospective would-be buyer. So much so, that the landlords had forgotten to add a clause whereby subletting was forbidden. This mistake was compounded by the fact that they had also agreed to arrange a let which was significantly below the market value to sweeten the deal. The property is in a prime location in Marbella…

In their desperation, and acting in good faith, the vendors omitted this clause on renting a two-storey townhouse (with – hopefully – a view to sell). Unbeknownst to the non-resident owners, the tenant was devious as they come. Wasting no time, the artful dodger immediately set about subletting the property to multiple tenants with a significant mark up. Given the properties prime location, it was rented out in no time. The ground floor was rented to a business, and the upper floors were rented out as a long-term contract.

The sly ‘tenant’, banking on the landlord’s good faith and desperation to sell, had made a shrewd move which netted him a substantial amount in a short span of time using in the process someone else’s property as if it were his own. Needless to say, the tenant has no intention whatsoever to buy the property and was unfazed when confronted on what he had done. The saddest part of it all was that it was perfectly legal.

We can learn from above the following:

1. Legal contracts in Spain should be drawn up only by professionals (lawyers). We offer a professional drafting conveyancing service: rentals.
2. Let-to-buy contracts should always have a clause forbidding subletting.
3. Let-to-buy contracts should have a normal rental in line with the market. Do not go out of your way agreeing to below market rentals because you do not know if your tenant will end up buying your property (or not).  

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in conveyancing, taxation, litigation and inheritance. We will be very pleased to discuss your matter with you. Please contact us for a free initial consultation. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Rentals
• Tenant Eviction Service
• Holiday Rental Accounting Service (HRAS)

Rental-related articles

• Renting in Spain: Top Ten Mistakes – 8th of June 2011
• Let-to-Buy in Spain: The Smart Choice – 8th of April 2012
• Letting in Spain: The Safe Way – 10th of October 2012
• New Measures to Bolster Spain’s Ailing Rental Market – 8th of July 2013
• Tenant Eviction in Spain – 8th of June 2014
• Holiday Rental Laws in Spain – 8th of March 2015
• Holiday Rental Laws in Andalusia (Decree 28/2016) – 8th of February 2016
• Decree 20/2002: Andalusia’s Holiday Rural Rental Decree – 8th of April 2016
• Urban Rental Law in Spain – Spain's Tenancy Act – 8th May 2016
• Renting in Spain - Landlord´s Taxation – 8th of January 2017
• Renting in Spain: Non-Resident Landlord's Rental Tax Relief – 14th of January 2017
• Community of Owners in Madrid to bar Holiday Rentals – 29th June 2017
• Holiday Rental Home Taxation in Spain – 8th July 2017
• Holiday Rentals in Andalusia Made Easy – 3^rd July 2017
• How to inspect an off-plan property overseas – Interview with The Sunday Times. July 2017
• New Balearics holiday rental law – 8^th September 2017
• Seasonal lets: an alternative to holiday rentals – 8^th October 2017
• Let-to-buy contracts: do not forget to add a clause forbidding sublets! – 20^th October 2017

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 © Raymundo Larraín Nesbitt. All rights reserved.

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Lawyers
8^th of October 2017

• Are you worried sick thinking how much money your heirs stand to pay the Spanish taxman?
• Are you unsure on whether it is more tax-efficient to gift a property, to inherit it or simply to sell it?
• Do you find yourself stressed out at night over your inheritor’s Spanish Inheritance Tax liability post-Brexit?
• Are you keen to find out personalised tax solutions, in plain English, that adapt to your particular case, protecting your loved one’s interests?

Look no further! A Spanish Inheritance Tax Assessment Report (SITAR, for short) is a comprehensive tax report written in plain English by our joint team of seasoned economists and lawyers. We study your family case in light of existing Spanish inheritance laws (national, regional and local) providing you with a tailored tax report which allows heirs to know exactly how much Spanish Inheritance Tax they are liable for. Additionally, we suggest alternative solutions to mitigate, within the law, the taxable base (to pay less taxes).

Did you know that Spain’s 17 autonomous regions have devolved competencies over Spanish Inheritance Tax (IHT) which meaningfully impact inheritance taxation from one region to the next? This translates into significant tax differences when heirs face IHT and allows for tax-planning strategies.

Commanding a SITAR from us is useful for all the following reasons:

• It tells you how much Spanish Inheritance Tax your heirs will pay
• It tells you how much Plusvalia Tax your heirs will pay
• It allows forward tax-planning
• It enables to mitigate exposure to IHT
• It allows owners to re-arrange property holding structures in a tax-efficient manner
• It discloses and highlights non-optimal taxation scenarios to avoid
• It studies all the available tax allowances from which heirs can benefit from, at a national, regional and local level (all three)
• The report briefly outlines legal alternatives to shield against IHT that adapt to your family’s specific needs. No one-trick ponies or one-size-fits-all generic solutions.

Legal fees: standard SITAR report from €495 *

 *Specially complex matters will be billed at a higher rate.

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, inheritance, conveyancing, and litigation. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88 or by completing our contact form.

Legal services Larraín Nesbitt Lawyers can offer you

• Spanish Inheritance Tax Assessment Report (SITAR)
• Making a Spanish will
• Probate and Succession
• Legal Property Report (LPR)
• Death Certificate
• Land Registry Search (Nota Simple)

Inheritance-related articles

• New EU Regulation to be Passed on Succession and Wills –18th May 2010
• EU Pulls the Stops and Vows to Put and End to Inheritance Taxation Discrimination on Non-Resident Beneficiaries Inheriting in Spain – 20th May 2010
• Non-Residents: Six Advantages of Making a Will in Spain – 8th August 2012
• Spanish Wills and Probate Law in Light of European Regulation 650/2012 – 8th January 2015
• Changes to Spain’s Inheritance and Gift Tax Law – 21st February 2015
• Dispelling Spanish Inheritance Tax Myths – 8th August 2015
• Spanish Inheritance Tax for Non-Residents (Part I) – 21st February 2016
• Spanish Inheritance Tax for Non-Residents (Part II) – 8th March 2016
• Inheritance Tax Novelties in Andalusia. FAQ on IHT – 8th September 2016
• Which beneficiaries are hit worst by Spanish Inheritance Tax (IHT)? – 2nd June 2017
• Non-Resident: Why you need to make a Spanish will – 24th June 2017
• Non-resident: careful on making a will in Spain – 30th August 2017
• Andalusia to slash Inheritance tax for inheritances under 1 million euros – 21st September 2017
• Spanish Inheritance Tax Assessment Report (SITAR) – 9th October 2017

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.017 © Raymundo Larraín Nesbitt. All rights reserved.