Spanish residency - any drawbacks in my case?

Hi there

I have asked a week ago about DUA document - because I need it to register my car here in Canary islands.. finaly I found a company that do it, but the problem is - they told me I wouldnt have to pay any IGIC tax if I bring residency certificate. And here comes the question:

I applied for padron a week ago (got a yellow and light greenish paper as a copy) with stample on it -> they told me I have to go national police to get certificate -> I did so -> there they told me - "you have to wait 2-3 weeks before you can get the residency certificate if you are not workin here" (I m not)... so I have to wait one more week I guess?

now., want to know - does it have any drawbacks for me? mandatory stuff etc..? as I am not workin in spain, just residin and living from my saved money earned years ago... (we are here 6 months, planning on stay more-thats why registering that car... or its just a formality and Im not obliged to do anythin yearly about taxes etc...? (dont want anyone after 3 years knock on my door and say: you are a resident for a long time, where are your taxes...?

the IGIC tax would be €300 otherwise... :/

please let me know...


thank you
Evelyn

Hello Evelyn

I lived for several years as a resident in the Canary Islands, and the first thing they advise you to do when you arrive there is to register as a resident. As a resident you are entitled to some allowances, as cheap air tickets (50% discount).

As a resident, you will be taxed over your worldwide income. If you don't have any income and live out of your savings, this will attract no taxes. However, you do have to pay taxes over any interests that your savings generate, and you are required to submit your income tax return if this amount exceeds €1,600.

Nevertheless, if you plan to stay 6 months (183 days or more), you will be a resident 'de facto', and the taxman will be entitled to knock on your door, regardless of whether you have actually applied or not for residency.

Regards