Re: To register or not to register?
Posted: Wed Sep 20, 2017 6:51 pm
Pete31 wrote:Ok so if say I had over the amount specified will I get taxed? And is this tax a large amount? Just finding out if it will be worth it or not. Cheers folks.
You don't get taxed on any assets. You would be taxed on any income from it, though. For example, renting out a house and you declare it's worth £200,000. You don't get charged on the 200k but you need to declare the rental income and, if you've paid tax on it in UK, you won't get taxed here.
Or savings income. If you have a few hundred grand in savings you won't pay tax on that but would have to declare the interest to be taxed here (you shouldn't pay tax on it in UK if you are resident here).
If you have lots of assets there is a wealth tax. However, this is €700,000 per person plus a €300,000 allowance if you are resident against your main home which is doubled if you are a couple. Therefore, you'd have to have a house worth over €600,000 and assets for €1,400,000 before it kicks in and can be from 0.2%.
Edited to add. If you have assets over €50,000 and don't declare it then the fines can be huge. I read in one of the Spanish papers that a Spaniard had over €300,000 in another country and didn't declare it. The fine came to more than the actual assets. Since EU countries (including UK) have been sharing tax and banking details since May this year there's probably no hiding place.