Newspaper article publicized in Spain’s most important newspaper for economic and financial issues “Expansion” about the demand presented by our fiscal advisor Alejandro del Campo before the European Commission against the obligation for residents in Spain to inform about all their worldwide assets. We hope that with this demand Spain will be forced to abolish [...]
MAIN NEWS OF THE REFORM OF URBAN RENTALS
DURATION OF THE RENTALS The minimum duration of the rentals changes from 5 to 3 years, although an inferior term is agreed. Once the 3 years have elapsed, the unspoken extension will be of 1 year and not 3 as up to date. TERMINATION OF THE RENTAL CONTRACT DUE TO A NEED OF THE OWNER [...]
Judgment from the Supreme Court against mortgage loans with minimum interest rates
A new judgment from the Supreme Court on May the 9th opens the door for proceedings against those banks which have granted mortgage loans with minimum interest rates (so called “clausula suelo”) imposed. Nevertheless before starting the corresponding court case, expensive in time and costs, we consider that it would be advisable to [...]
ENERGY CERTIFICATE: An indispensable requirement for real estate rentals and sales
On the 13th of April, the royal law RD 235/2013, passed on April the 5th, was published. This law specifies the fundamental procedure regarding the certification of energy efficiency and establishes the obligation to provide a certificate of energy efficiency to the purchaser or tenant of a property informing about the energy efficiency of the [...]
DMS Consulting reports Spain before the European Commission for attacking the free movement of people and goods
The legislation in question by DMS Consulting obliges the resident taxpayers in Spain to present Informative Statements over assets and rights abroad (Application 720), an obligation in addition to the duty of paying tax on them. According to DMS Consulting, the legislation is incompatible with the Community Law as it presents an important restriction to [...]
Touristic marketing of housing in the Balearic Islands
The Touristic Law 8/2012, of the Balearic Islands, plans the possibility of touristic marketing of housing, normally destined for residential use, even though in quite restrictive terms. Its regulation is basically found in the Articles 49 a 52 (Chapter IV del Title III) and the main characteristics of this regulation are the following: 1) Only [...]
NEW IMPORTANT OBLIGATION OF THE RESIDENTS IN SPAIN: TO INFORM ABOUT ALL KINDS OF ASSETS AND RIGHTS THEY HAVE ABROAD.
An obligation for 2012, with serious consequences if not carried out. Any person, residing in Spain, who is a titleholder of assets and rights located abroad (bank accounts, values, real estate, insurance, etc.) must give very detailed information about the same to the Spanish Treasury, presenting an informative declaration during the first quarter of the [...]
SELLING PROPERTIES, BEFORE THE BANK TAKES THEM AWAY. IS IT A CRIME?
Selling properties or any other goods, having a pendant debt can be a crime, which might imply prison for up to 4 years. Therefore, one must be careful. However, selling properties or other goods before a legal procedure is started, resulting from what is owed, is not always a crime. When is it a [...]
TAXATION of REAL ESTATE INVESTMENT in SPAIN by non-residents
TAX OBLIGATIONS FOR REAL ESTATE PURCHASE BY NON-RESIDENTS IN SPAIN a) The SELLER IS A PRIVATE INDIVIDUAL The buyer must pay to the Balearic Treasury the PROPERTY TRANSFER TAX (ITP) on a scale of 7 to 10% of the value of the propert. On our web page www.consultingdms.com you can find a TOOL FOR AUTOMATIC [...]