ANNUAL INCOME TAX RETURNS CAMPAIGN SUCCESS
Recently published official news from the Spanish Inland Revenue (Agencia Tributaria) provides information regarding the ANNUAL INCOME TAX RETURNS CAMPAIGN, (CAMPAÑA DE LA DECLARACIÓN DE LA RENTA), carried out during April, May and June 2019, corresponding to the Tax Year 2018.
According to this official information the campaign was a total success in terms of TAXES COLLECTED by the Tax Office, being the highest amount in decades.
The tax office normally refunds money to citizens (around 300 MILLION EURO), but this time the Tax office received an extra 1,100 MILLION EURO.
The total amount of tax collected by the tax office was much more than expected by the authorities.
The reason for this increase in the total tax collected was because now all European Union countries interchange their tax information and this together with the taxes now being paid by the bigger private companies like Airbnb, Homeaway, etc. also contributed to this rise.
Using the information provided by other EU countries the tax office has sent thousands of “Informative” letters to citizens suggesting that they should declare all their income in Spain, and this has proved to be very effective in many cases.
In conclusion it could be said that the sharing of computer data by Tax offices is much easier and more effective nowadays. Resulting in the Spanish Tax Authorities having access to much more information than ever about citizens. To avoid penalties, charges and default interests, we recommend all readers should submit their annual tax returns correctly and on time (as residents or as non-residents), by contacting a professional solicitor / tax advisor.
All readers should contact a professional to review their personal tax situation and be ready to pay their taxes on time.
Our law office is happy to meet readers free of charge to review and discuss their personal circumstances and recommend best course of action.
To make a free appointment please contact our Law office.