Benefit of residencia

catral72b wrote:If you live here you should go for residence and Fiscal residency. You are treated very well by the Spanish Government and we know that only too well after the flooding and the way they have treated our claims financially. You use their facilities including hospitals and get very good treatment.
regards Eileen

PeteKnight wrote:Currently, the Spanish authorities don’t really have any record of them being in Spain (from an immigration perspective).

marcliff wrote:If they've been living here some time, and spend 183 days a year or more, then they are breaking the law. Lots of them don't but i think they either don't know the system or are scared it might affect them for taxes and so on.

However, without residency you can't get official work. Yes, I know loads do it under the radar and work for peanuts but they won't get a contract and healthcare.

It will become even more important after we leave the EU as all those currently with residency will be allowed to apply for permanent residency if they've been here more than 5 years or provisional residency if less. That will allow them to stay in Spain for longer. Also after Brexit it will give you free access to all the other Schengen countries which a Brit passport won't.

If you sell your property then a EU citizen pays 15% (sliding scale average) Capital Gains Tax but a non-EU resident pays 35%. A non-resident selling their property will also be liable to a 3% with holding tax whilst a resident is not.

Banks have different accounts for residents and non-residents. A non resident will pay service charges and be charged 30 odd euro every couple of years for a non-resident certificate.

Local town halls give extra benefits to residents such as night classes or cheaper holidays and discounts off certain things. Pensioners can obtain a local pensioner's card if a resident (tarjeta de Jubilacion) which gives discounts on glasses, hearing aid and entitles you to register for home care as you get older. If we had them here in Quesada, you'd get reduced or free bus passes.

As you get older, you should think of the tax implications. If you are a resident for 3 years and over 65 then you pay no CGT or inheritance tax. Non resident survivors will be charged inheritance tax on half the property value if jointly own or on all the property if singly owned.

You don't pay the so-called non-resident income tax annually (this is the Impuesto sobre la Renta) which could be a hundred or so euro per owner per year.

Renting out your property for a non resident incurs a 25% rental tax (you won't pay the renta tax, though) whilst a resident gets a 50% discount on that and you can claim full expenses like mortgage repayments off your annual income tax bill.

At the moment, residents can vote in local or EU elections (probably stop after Brexit) whereas non-residents can't.

You can't get a Spanish driving licence without residency. You may need to take a Spanish driving test in future.

If you earn enough or have enough assets to pay wealth tax, you get 150,000 euro per person allowance (300,000 if jointly owned) as the value of your property. Non residents get no allowance on that.

Probably a lot more than that but the free healthcare and hospital treatment for us (being pensioners) rather than relying on a EHIC has been invaluable. It has been stated that those who are eligible for permanent or provisional permanent residency will retain the right to free healthcare.

Again, those who don't probably don't understand the advantages, are too frightened because they don't know, don't care or have the attitude that I'm a Brit so these foreign rules don't apply to me. Probably the same people who drive around in Brit reg cars for years or go back to UK to get their prescriptions and so on.

I do believe that many will be in for quite a shock once we have left the EU and passports and arrival dates start to be checked.

Deadeyedick wrote:
What type of holidays are these, would they be mainly bus trips? Also do you just go to the Town Hall and ask abiotic them?

marcliff wrote:

Deadeyedick wrote:
What type of holidays are these, would they be mainly bus trips? Also do you just go to the Town Hall and ask abiotic them?

Imserso. Resident pensioners can register on the scheme (some travel agents will do it for you) and you will be offered cheap holidays between October and June. Places include the Balearics, Portugal and the Canary Islands as well as mainland Spain.
Prices are around half the price or less than otherwise advertised and include transport, full board, usually entertainment and, because we is old wrinklies who are destroying the planet, medical cover at the hotel.

You simply register with your NIE, type of pension and preferred destinations. You will then be given a code number and you take that to a travel agent or you can book online.

As an example, 8 days in Portugal for around €200 full board or 8 days on the Costa del Sol for less than that. You can't get reductions on the flights so the Canary Islands would work out more expensive at about €350 for a 15 day break.

You will be informed of upcoming deals either in the post or by email. There are, occasionally, some long weekend breaks offered for free and just pay for your meals.