The 3% withholding in property sales when the seller is non-resident
In Spain, non-resident property sellers must adhere to a mandatory 3% withholding on the sale price, which the buyer retains and submits to the Tax Authorities. This serves as an advance on the capital gains tax, addressing the risk that sellers may leave Spain with the proceeds. Although it burdens the seller, the payment responsibility…
How to set up an association in Spain?
Associations are non-profit organizations that serve various purposes, such as helping animals or sick children. To establish one in Spain, at least three members and certain documents are required, such as the founding charter and bylaws. It is essential to comply with the legal requirements established for their creation.
Non-resident income tax for companies
With and without permanent establishment Non-resident income tax (IRNR) is not only a tax payable by individuals who are not resident in Spain, but also by companies. The basis is similar: only if a company has economic interests in Spain – i.e. receives income in Spain – will it be subject to filing and paying…