Living and Working in Spain
Obtaining Residence. A Residence card is required if you are wishing to
work, start a business or live in Spain tor periods longer than six months.
Further information can be obtained from tile Provincial Police Station.
the minimuml income required is around £275 .per month.
Documents for self employed, it would be wise to employ a gestor ( a
person who specialises in dealing with paperwork), to ensure documents
are complete
and correct.
Property Buying
Legal Process. First step is to sign the conveyancing document (escritura
de compraventa ). No conveyancing is legal or binding unless it has been
signed in the presence of a Notary .The Notary will want to see a certificate
from your bank to confirm that the purchase money has come from abroad
and a copy of form TE 13, submitted to the Ministry of Commerce with the
details of the purchase, approved with the official stamp.
The escritura de compraventa is the only document which will guarantee
your T1TLE.
Purchase and the Law.
New Property the builder will have to register at the " Ayuntamiento
' older property is checked against the 'Registro de Propriedad' (property
Registry).
Using professional Advisors.
The Abogado The Lawyer, he will take care of the legal aspects of buying
a property. They can work for both parties. NOT WISE, check he is only
acting for YOU.
The Notary. The public Official, there is no british equivalent. His duty
is to ensure that legal transactions are carried out correctly. He has
no interest in either party. He will not act for you, nor protect you.
The Gestor. He deals with all kinds of paperwork, license, permits, taxation,
and so on. There is no British equivalent.
Taxes and Fees payable when buying a property
9% to 10% of the purchase price should cover everything
New property. You would pay, IV A (V AT) Plus AJD (Stamp Duty).
Resale Property, You would pay Transfer Tax, called 'lmpuesto de
Transmisiones Patrimonailes' (ITP)
Plus Valia. This is based on the increase in value of a property from last
ownership. Normally this tax is paid by the Vendor, but can be open to
offers between both
parties.
IVA, (V A T) The buyer has to pay IV A which is 7% on new property, on the first
transmission of the escritura ( Title Deed), and 16% on land.
ITP, (Transfer Tax) The buyer has to pay 7%.
Stamp Duty, (AJD) is payable when a property is purchased from a developer,
trader, the cost to the purchaser is 1%.
Rates.
Two sorts of rates payable. The Town and country rates, and rates charged
by local authorities, for such services as sewerage. They are usually paid once
a year, notification of payment is not usually given and fines of 20% can be
imposed.
Utilities, you will receive bills every two months for electricity, gas, and
water. If these are not paid you will be CUT OFF.
Wills.
On completIon of your home in Spain, it is advisable for you to have a Spanish
Will drawn up.
Health
All occasional visitor you require an EIII form.
Resident: you should register with the Spanish Social Security (Instituto National
de la Salad). Therefore )our family will receive free or subsidised medical and
dental treatment. Retired persons receiving state pensions would be medically
treated as like the Spanish. Retired persons receiving minimum pensions are entitled
to benefit providing they can prove the inability to pay.
Pensions. Pensions Can easily be transferred to a Spanish Bank by informing your
pensions provider.
Schools. State education free as the UK. The local Town Hall will give you information
on education.
These details of living and working in Spain are brief. There is so much information,
it would take a manuscript.
W e as a relocating company for Spain, have all the expertise knowledge of making
your move to Spain a safe one.
Remember NEVER, NEVER deal with an Estate Agents in Spain who are not registered.
Spanish businesses are now required by law to register their businesses , this
is called a GIPE or AP1 License. Companies are issued with a membership number.
Estate Agents should be members of the (Asociacion Profesional de Gestures lntermediarios
en Promociones de Edificaciones and Confederation Europeenne de Immobilier (The
European Confederation Of Real Estate Agents).
And Remember, NEVER, NEVER give money to an Estate Agent.