Hi,
I just wondered if anyone can tell me how beckhams law works in practice for someone moving residency entirely to Spain. I moved over in may last year and applied for this in October 2009.
I understood that if I met the conditions then in spain I would be taxed as a non-resident at a flat rate of 24% on my spanish income. But I had assumed that I still need to declare here like everyone else. However on a call to hacienda I was told I don't need to do this and I should continue to declare in my country of fiscal residence. But on this I'm still not clear.
I was living and working in the UK prior to taking up residence in Spain (although I'm not a UK national) and have sold my house there and moved my entire family here to Spain. I still have a bank account in the UK with some money and some investments but no other family or work ties to UK. I had assumed then that I had made a complete break with UK and would be considered no longer a UK resident for tax purposes.
But my problem is if I'm no longer a resident in UK and I'm considered a non-resident in Spain. Then where am I resident for tax purposes and where should I be declaring. If anyone could shed any light on this I'd be very grateful.
Jul 13, 2010 · joseph24
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