Hi, I wish to create an online business buying and selling products that are in the US, while I am living in Spain. Is there a website for setting up online businesses and what would be my set up costs and how much would Seguridad Social cost? What are the tax rates I would have to pay? I am a British national with a NIE having lived in Spain.

Any help appreciated,
Saludos,
Sam

How legal do you want to be?  In theory you could establish the business in the US with all transactions taking place there.  After you can then pay yourself from the US and take a non-resident tax exemption in the US so you don’t pay income tax.  After this it is up to you to report your income to the Spanish Govt to pay your income taxes.

The more legal way to do this is to establish a Spanish company.  Look at http://www.barcelonanetactiva.com for info on this.  Taxes and social security all depend on how you structure your company. 

Good luck,

BDJ108

Do you think that they would find out if I did not report my income to Spain? Also what do you think would happen if they found out?

Thanks,
Sam