INCOME RETURN AND ASSETS
The main new features this year are:
The income tax scale has completely changed the tax rate.The minimum earnings to be exempt from having to make the income declaration when the earnings come from more than one payer have risen from 11.200 Euros to 12.000 Euros and also if more than 1.500 Euros have been earned from the second and following payers.
Tax will continue to be paid on compensation for dismissals, however only when it is more tan 180.000 Euros.
The deduction for the rent of the regular residence has been eliminated, although tenants that signed their contract before 1 January 2015 can continue to apply it.
The general deduction of 2652 Euros for the obtaining earnings from work has been eliminated, regardless of what the total of other income earned was, although by means of compensation, a new deducible cost of 2000 Euros has been established for other costs.
Exemption for dividends of 1.500 Euros per year has been removed.
The maximum contribution to pension plans has been reduced to 8.000 Euros a year.
Finally , to emphasise that people residing in Spain working in Gibraltar, they need present the income tax declaration in Spain, included the income earned there, to avoid tax penalties and inspections from the Tax Authorities. It is worth remembering that taxes already paid in Gibraltar will be taken into account when calculating the declaration, therefore it is highly recommendable to contract the services of a tax specialist in order to ensure that is done correctly, and also foreigners residing in our country whose earnings (public or private pension, rents, bank incomes, dividends of companies, etc...)come from other European Countries, that we will be taken into account the agreement in order to prevent double international taxation signed by Spain.
If you need help in completing your tax returns or require further information please do not hesitate to contact us at: This email address is being protected from spambots. You need JavaScript enabled to view it.
