There have been some important changes to the Spanish NIE number procedure and transfer taxes.

Please read below for some of the highlights.

We also have an exceptional offer for Spanish wills for the month of March at only 50 Euros.

Like many of the other European governments, Spain's new Partido Popular is adopting a hard-line stance towards the country's economy. Since officially taking power a week before Christmas, the new government has already vowed to cut down on tax evasion and trim the public sector.

This new 15€ billion package involves a range of cuts and tax increases and is likely to prove unpopular, but Prime Minister Mariano Rajoy and his team insist that these severe measures are essential.

The European Commission has announced that it will order Spain to appear before the European Court because of its ‘discriminatory rules relating to Inheritance and Gift Taxes’. This situation has arisen because, despite receiving two previous warnings in 2010 and earlier this year, non-resident EU citizens are still being asked to pay higher taxes than those resident in Spain.

It is a practice that is in direct contravention of the laws permitting the free movement of EU citizens within Europe, and Spanish representatives will no doubt be told that the current situation needs to be rectified as soon as possible

Sometimes our clients need advice on matters of taxation as much as they require legal assistance. Having an expert on hand to guide you through the intricacies and peculiarities of the Spanish tax system has proved essential.

Perez Legal Group's Miguel Osuna Gomez is a lawyer, accountant and fiscal advisor, so he is uniquely qualified to offer advice to individuals and companies about their tax situations. The point at which financial and legal requirements collide can often be confusing, yet making a mistake at this point can be extremely costly.

Apart from having a thorough knowledge of fiscal and legal detail, Miguel is also able to identify ways in which clients can save money on their tax responsibilities, for instance in the case of inheritance tax.

Until now, Spain's Tax Office was strictly limited in the manner in which it was able to tackle foreign residents who owed money to the Hacienda. Money owed in Spain had to be reclaimed from Spanish assets, but a recent change in the law means that the country's tax authorities can now seek recompense from assets held in the debtor's country of origin, providing it lies within the European Union.

The British press has, over the past year, made much of stories in which Spanish banks have acted to demand the sale of expat homes in the UK to repay mortgages held in Spain, so it is likely that the passing of this latest piece of legislation on July 31st last year, will alarm owners of Spanish property, particularly those who are finding it hard to meet mortgage repayments or who owe significant sums to the tax office.

As anticipated, the government recently approved the reintroduction of the unpopular wealth tax, which has been suspended since April 2008. This could be bad news for people with assets totalling more than 700,000€, excluding the value of their primary residence up to a value of 300,000€.

However the new legislation will please many since, in its original version, people with net assets of as little as 108,000€ apart from a primary residence to the value of 150,000€, could be hit by the wealth tax.

Finance Minister, Elena Salgado, announced the reintroduction of the wealth tax shortly after it was confirmed by the cabinet. She estimated that about 1.08€ billion could be raised from 160,000 of Spain's wealthiest citizens, which would help the government to meet its responsibilities in areas such as health and education.

If you have questions about any aspect of the Spanish laws of inheritance you can now have them answered at one of Perez Legal Group’s seminars on the subject.

Have you ever wondered:

• How are foreigners affected by inheritance tax?
• Can you legally avoid paying a large amount of inheritance tax?
• What kind of deadlines might be involved in the inheritance process?
  

If so, don’t worry - you are not alone. In fact, this subject has proved so popular that Perez Legal Group has decided to give local ex-pats the opportunity to air their concerns. Inspired by the interest in its downloadable brochure on inheritance issues, Perez Legal Group is now offering focused advice at a series of friendly and informative seminars where visitors will also have a chance to ask questions about these and other legal topics that may concern them.