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Pension

Posted: Mon Dec 25, 2023 4:11pm
17 replies6 members subscribed
Babs 73

Posts: 70

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Location: La Mata

Joined: 23 Aug 2022

Hi if I have my uk state pension paid in to a Spanish bank pension account will I have to pay tax ty

Darro

Posted: Mon Dec 25, 2023 4:20pm

Darro

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Joined: 8 Sep 2021

Posted: Mon Dec 25, 2023 4:20pm

If you're resident then it's potentially taxable wherever you have it paid be that UK or Spain or anywhere else.

Your worldwide income must be declared but if you get less than about €18,000 then you will fall below the threshold and there will be no to pay, you must still declare at least in the first instance to get yourself properly registered in the Spanish tax system.

Babs 73

Posted: Mon Dec 25, 2023 4:29pm

Babs 73

Original Poster

Posts: 70

3 helpful points

Location: La Mata

Joined: 23 Aug 2022

Posted: Mon Dec 25, 2023 4:29pm

Darro wrote on Mon Dec 25, 2023 4:20pm:

If you're resident then it's potentially taxable wherever you have it paid be that UK or Spain or anywhere else.

Your worldwide income must be declared but if you get less than about €18,000 then you will fall below the threshold and there will be no to pay, you must still declare at least in the first instance to get yourself properly registered in the Spanish tax system.
...

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Ty for your help, 

Darro

Posted: Mon Dec 25, 2023 6:57pm

Darro

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Posted: Mon Dec 25, 2023 6:57pm

It's also important to do that first tax return as if you are below the threshold it's that which will (eventually) trigger you getting free medicines instead of having to pay 10%!

Paolo51

Posted: Tue Dec 26, 2023 2:03pm

Paolo51

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Location: Orihuela

Joined: 10 Nov 2017

Posted: Tue Dec 26, 2023 2:03pm

A word of caution my other half has a UK state pension and total income well below 18000€ and last year had to pay tax.

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John123456

Posted: Tue Dec 26, 2023 3:23pm

John123456

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Location: Benidorm

Joined: 27 Feb 2021

Posted: Tue Dec 26, 2023 3:23pm

The following quote is taken from the link below where you will find more detailed information:

'If a natural person is a tax resident in Spain, he or she is liable for Personal Income Tax (IRPF) and must pay taxes in Spain on his world income , that is, he must declare in Spain the income obtained anywhere in the world, without prejudice to the provisions of the Convention to avoid international double taxation signed between Spain and the country of origin of the income.'

https://sede.agenciatributaria.gob.es/Sede/en_gb/ciudadanos-familias-personas-discapacidad/residentes-rentas-procedentes-extranjero/obtencion-rentas-extranjeras-reglas-generales.html#:~:text=If%20a%20natural%20person%20is,to%20avoid%20international%20double%20taxation

rds1234

Posted: Tue Dec 26, 2023 3:29pm

rds1234

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Posts: 471

54 helpful points

Location: Villamartin

Joined: 16 Feb 2021

Posted: Tue Dec 26, 2023 3:29pm

I have a state pension which I have to pay tax on, here in Spain as a Spanish resident, at my age 75 my tax allowance is € 8100 and then 20 %.

Darro

Posted: Tue Dec 26, 2023 4:09pm

Darro

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Posts: 1492

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Location: Catral

Joined: 8 Sep 2021

Posted: Tue Dec 26, 2023 4:09pm

Paolo51 wrote on Tue Dec 26, 2023 2:03pm:

A word of caution my other half has a UK state pension and total income well below 18000€ and last year had to pay tax.

Sorry my error, the threshold is around €13,000 not 18,000

rds1234

Posted: Tue Dec 26, 2023 4:36pm

rds1234

Helpful member

Posts: 471

54 helpful points

Location: Villamartin

Joined: 16 Feb 2021

Posted: Tue Dec 26, 2023 4:36pm

I’m just below that but I didn’t pay any tax last year but I think for this year with the pay raise on state pension so come June I might this time.

Sues007

Posted: Tue Dec 26, 2023 10:48pm

Sues007

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Posts: 281

269 helpful points

Location: Cocentaina

Joined: 19 Jul 2020

Posted: Tue Dec 26, 2023 10:48pm

Darro wrote on Mon Dec 25, 2023 6:57pm:

It's also important to do that first tax return as if you are below the threshold it's that which will (eventually) trigger you getting free medicines instead of having to pay 10%!

Hello

I earn 7000€ a year and never had a free prescription.  It's always been about 10 per cent.

Sue 😘

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