Taxes

21 percent sales tax - VAT

I thought it was high.you can't get a straight answer from the estate agents

Cheers Steve

That question would obviously depend on many things. Can't guess at your income tax, of course, except to say the allowances in Spain are a lot less than UK. Certain government pensions have tax taken in your home country but everything else will be taxed in Spain. If you have a state pension that will be taxed in Spain.

However, local taxes if you are are resident.

IBI or the equivalent of council tax. Will depend on the house value, the size of the plot, the location and other things. Average for Torrevieja between 200 and 350 euro. Some less, some more.

Rubbish collection tax. About 78 euro a year. Some take it in two half payments and others just once a year.

If you have a car that would be the road tax which is collected by councils and varies by town. Depends on car, emissions and other things. A normal family saloon in Rojales is about 42 euro but about 90 euro in Torrevieja (more roads to look after).

When buying, there is a 10% tax on property. You are advised to account for 13 to 14 percent of the cost of the property for legal fees, taxes, connection of utilities, notary fees etc. Buy a property for 150,000 and you should add about 21,000 on top.

Not a tax but if you buy on a community you will likely pay community fees for upkeep. This can be very low (I know of one place that only pay 60 euro a year) or very high if you have lots of swimming pools, big gardens, lifts etc and I know of one which pays 2500 a year so always check on the community fees. 

Best of luck on your move. 

Great,and my maximum budget is 150,000.you must be a mind reader, cheers Steve

Your baseline to stay inside the €150,000 (I am presuming it is €150,000 not £150,000) would be properties around €130000. You should get a nice 2/3 bedroom apartment/duplex for that. 

Bee

Thanks bee, I'm more interested in the taxes I pay after I've bought a property.ive read about Beckham's law,but what happens after 6years, will I be paying extra taxes when living in Spain on my English savings, batchy28

It's over to the residents on that one. Not sure anbody gets a 6 yr tax free break in Spain as a non working resident.Did you not say you are retired and moving to Spain to reside full-time. Google Modelo 720 and it will give you the lowdown on all foreign assets or this link will give you the current  tax bands for residents.

https://www.expertsforexpats.com/country/spain/tax/taxes-in-spain/

Bee

The "Beckham's" law is for those who are coming to Spain on the digital nomad visa. You get reduced taxes for the first 5 years and then go onto normal taxation as a permanent resident after that. Not sure but I think there are some tax benefits if you are coming on a works or entrepreneur visa as well. Such as less social security payments at the start.

You are not taxed on your savings regardless of the visa but you are taxed on the interest accruing from that and, with a visa that is not the nomad one, that kicks in once you have been resident for more than 6 months in any one calendar year and you will pay income tax on all your world wide income (less government pensions which does not include the state pension). You are also taxed on income from shares, investments etc.

You will also be taxed on the sale of any property anywhere in the world if you sell after becoming a tax paying resident which kicks in once you have been in the country for more than 6 months in a calendar year.

Me and my wife have stopped working now and we're both 56.we are both edging towards staying in the UK.maybe buying a appartment and going for the 180 maximum stay in spain.i know we can't be double taxed.thanks batchy28