The Spanish State is trying an unfair and discriminatory attitude to public employees Europeans Residents of Spain, because the Tax Administration objects to these taxpayers and their families recognizing that the property in which they reside is their own habitual residence. Alicante’s lawyer speaks in these terms Victor RieraCEO of Riera Consulting and international taxation expert. For practical purposes, this means that these people are not allowed to enforce the following rules: financial benefits that requires and pay more taxes. They cannot benefit from the exemption without going further. They pay Wealth Tax for housing and tax every year for owning propertyUnlike those residing in Spain. That’s why he made a presentation. complaint Before the European Commission. This is supported by the fact that the Spanish Government, through the Tax Office, has filed a lawsuit against the tax authorities. European Union (EU) violate certain taxes because they own their habitual residence free movement of workers and capital.
Riera’s argument could not be stronger: «If European officials have a home in Spain because the place where they live and work is in our country, why are they denied the possibility of enforcing this law? tax advantages based on habitual residence? The only argument used to deny these tax benefits is that they have non-resident status; this situation, Fundamental principles and freedoms of the European legal architecture. “If the taxpayer has nonresident status but the homestead meets the statutory requirements to define it as habitual, what is the reason for denying the tax benefits associated with that status?” he asks.
The situation is such that, according to his own explanation, they are not allowed to enforce this law. Exemption from gains from the transfer of your home when its amount is reinvested in a new one. Well what does it mean? The example he gives is very meaningful. If an official of the European Union Intellectual Property Office (EUIPO) based in Alicante maintains tax residence in another European State, EU Protocol on Immunities and Privileges, He is now selling the property he bought for 100,000 Euros a few years ago for 300,000 Euros and wants to buy another house for 400,000 Euros with the amount he earned, he has to pay Foreign Income Tax. 38,000 euros more than Spanish residentsThey don’t pay anything directly.
Non-Resident Income Tax
But as Víctor Riera continues, the matter does not end there. «Every year the Tax Administration forces them to pay taxes through real estate imputation. Non-Resident Income Tax “While the remaining taxpayers do not pay any taxes because they are exempt, they own the house they live in,” he points out. “Also, they are not given the opportunity to enforce this law. Exemption from the habitual residence tax stipulated by the Wealth TaxThe remaining taxpayers also benefit from this right, and when their heirs inherit the house, they are not allowed to benefit from the tax deduction. Inheritance tax and donations“, he adds.
It estimates that the total number of people affected could be more than d.e 2,000 EU officials and representatives and their families. Not only from EUIPO, the most important European agency in Spain and the second in Europe in terms of the number of employees, but also European Fisheries Control Agency (EFCA), in Pontevedra; HE European Satellite Center (SatCen) and secondary headquarters European Space Agency (EUSPA), in Torrejón de Ardoz; Andl Institute of Technological Prospective (IPTS), in Seville; the Fusion for Energy (F4E), in Barcelona; wave European Agency for Safety and Health at Work (OSHA), in Bilbao. In parallel, although they are not agencies, their offices are in Madrid and Barcelona. European Commission Information Offices And European Parliament.
In process
complaint right now processing stage. «My intention is to change the criteria of the Tax Office, because in addition to creating a situation discriminatory and unfairimportant why it happens economic harm to taxpayers», features Víctor Riera.
Feelings are good for now. «The information we received from Brussels, which is still unofficial, is that Spain has been asked to make the necessary statements. Obstacles hindering freedom of movement of people and capital in Europe» he emphasizes. In this vein, he elaborates: ” European Commission Directorate General of Taxation and Customs UnionIn order to solve the problems that I identified as a tax lawyer and reflected in my complaint, I have appealed to the Spanish Government to find, if possible, an amicable solution to this unfair situation. no one had warned. Another thing is that that friendly exit didn’t work in the end. Brussels may start a procedure later violation against Spainand the decision will be in your hands Court of Justice of the European Union.
Lawyer specialized in the tax regime of EU authorities and agencies, Victor Riera He devoted his doctoral thesis to the taxation of community workers in Spain. «My professional and academic interest in this injustice Professional appointments of EUIPO officials and representatives“They have been defending their rights in front of the Tax Office for more than 8 years, and so far with great success,” he says. The trigger was this: Brexit and the impact of the UK’s departure from the EU on the taxation of Alicante-based Euroagency authorities. If your claims are finally approved and the Tax Office changes the criteria, this could open the door for those affected. request a refund of overpaid amountsAs long as they don’t expire. MP