Non resident CGT. Payable in UK or Spain? Or both?

Bob_the_builder

I currently reside in Spain. I am tax resident here and so is my wife.
We have accepted an offer on our UK property which was our main home before moving to Spain. The sale is going to complete in April 2016 when the existing tenants move out.
From what I have researched it seems we are liable for the CGT in the UK which we don't mind. Would have to pay around £3,000 each. If this is paid to HMRC do we also have to declare it in Spain where the allowances are not so generous?
Do we pay the CGT in the UK only or have to pay in the UK and Spain? If we have to pay in Spain as well does anybody know how the calculation is made?

booksurr

page 12 article 13 para 1
https://www.gov.uk/government/publications/spain-tax-treaties-in-force

I suggest you find an accountant familiar with Spain and pay for advice

Bob_the_builder

I don't know if you meant to submit a link with your reply but which article are you referring to?

jimmo

As advised in your original thread, you will not be liable to CGT in the UK.
https://forums.moneysavingexpert.com/discussion/5331487=


You therefore don't need to worry about Double Taxation Relief though you may well be liable to Spanish Tax.

Cook_County

As a non-UK resident selling residential property there are huge penalties in the UK if you miss filing the correct documents with HMRC, even if no UK tax turns out to be due.

madgagoo

Cook_County wrote: »

As a non-UK resident selling residential property there are huge penalties in the UK if you miss filing the correct documents with HMRC, even if no UK tax turns out to be due.

Correct, the non-resident CGT return must be filed within 30 days of completion even if there is no tax to pay (which it appears there will not be in this case). I would expect/ask your solicitor to take care of this.

https://www.gov.uk/guidance/capital-gains-tax-for-non-residents-uk-residential-property

Bob_the_builder

After researching the potential liabilities in Spain regarding the CGT it's going to make more sense for us to move back for a couple of years and becoming tax residents in the UK