Expats do not necessarily have easy access to Spanish professional association commentaries so we thought this message from the AEDAF (Asociación Española de Asesores Fiscales) might be of interest and complete the picture of how negatively this delay has been regarded by the Spanish professional community. We received comments to our recent email circular about … Read more
After 3 years of extensive planning for one of the most dramatic changes in business accounting and taxation in Spain’s history, after numerous delays, we were all set for the Verifactu rules to take effect on 1 January 2026, just 14 working days away! In an astonishing turn, on the 2 December 2025 the Spanish … Read more
One of the budget changes that stood out were new measure to stops UK expats from topping up their UK state pension contributions using Class 2 and Class 3 National Insurance Contributions (NIC). This change comes into effect on 6 April 2026. People who live outside the UK can make voluntary NIC payments to top up … Read more
The Estepona Town Hall has implemented the most significant reduction in the municipal property tax (IBI) in the town’s history, benefitting nearly 38,000 residents. The most recent tax bills, issued in August, reflect an average 20% reduction, representing a total saving of 6.1 million € for local households. This fiscal shift comes after the Town … Read more
What is the Modelo 840? The Modelo 840 is the form that businesses and professionals in Spain must use to register the economic activity they carry out for tax purposes. It is linked to the Impuesto sobre Actividades Económicas (IAE), which is a local tax paid by companies and self-employed people based on the type … Read more
Introduction For many small businesses and self-employed professionals in Spain, the main difficulty with taxes is not the tax burden itself but the timing of payments. VAT, corporation tax, quarterly personal income tax advances and other obligations often create sudden cash flow pressures that do not necessarily align with the company’s inflows. To help businesses … Read more
On 18th August 2025, the average Spanish taxpayer finally celebrated their “Tax Freedom Day” — the symbolic date when they stopped working for the State and began working for themselves. In Andalucia, that day arrived even later, on 19th August. According to the latest report by Fundación Civismo, this milestone arrived 16 days later than … Read more
IntroductionTax Form 232 is an essential document for companies in Spain who engage in international transactions with Tax Havens or dealings with related parties. It provides the Spanish tax authorities (Agencia Tributaria) with information about these transactions, ensuring compliance with Spain’s tax regulations and its commitment to international standards of transparency. In this article, we … Read more
From this year, high-earning employees in Spain are required to pay an additional Social Security contribution, a measure introduced to strengthen the financial sustainability of the system. Unlike standard contributions, this extra payment does not increase future pension entitlements but directly supports the national Social Security fund. The contribution applies to salaries exceeding the maximum … Read more
If your company owns rental properties, you may be missing out on one of the most powerful corporate tax reliefs: the special housing rental scheme, which allows you to reduce the tax payable on rental income by 40%. However, the key is to meet the requirements and exercise the option in time. For example, if … Read more
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