If I have a tax bill I just cannot pay in one go due to my circumstances, what is the maximum time I can have to pay it back? Is it 5 years? I know there will be a 20% recargo, but just wondered how long I can pay it back for? thanks
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If I have a tax bill I just cannot pay in one go due to my circumstances, what is the maximum time I can have to pay it back? Is it 5 years? I know there will be a 20% recargo, but just wondered how long I can pay it back for? thanks
Payment should be negotiated with the tax office personally, via your accountant or via your lawyers. You can make suggestions but ultimately the tax office will decide on the payment structure. Although they can be quite flexible, I have never heard of a five year payment structure. The maximum amount you are able to defer without them requesting a bank guarantee is of 18,000 EUR. Besides this, not all debts can be deferred, it will depend on their nature. If legal proceedings arise from any debt you have with them, then you will not be able to defer any other tax payment until this payment has been satisfied.
Thankyou, so I could ask the bank to guarantee me? If the worst came to the worst. But if I just cannot pay the amounts in the way they want me too, what could happen. I mean I haven no problem in paying but only what I can physically afford to pay I have 3 kids and only a limited income. (the reason I have this bill is because my gestor made an error on my declaracion in 2006, so not really my fault) thankyouQuote:
Originally Posted by Marta
The tax office would proceed to seize anything in your name. If of course this debt is in your name. The best thing to do is to go to the tax office as soon as possible and explain to them to the situation. If you feel more comfortable negotiating it via an accountant / lawyer please contact us. We will be happy to help you.
hello, again, my gestor is saying just don't contact them and when you sell your house take the money and run! but I don't agree with him, surely once I sell my house they will just take the money anyway?Quote:
Originally Posted by Marta
And can the tax man not look for me in the uk?
Plus is it true that if I contact them myself voluntarily, they will lower the fine?
How long will it take until I actually get the fine, if I contact them, will it be weeks or months?
I really appreciate your help.
Your legal obligation is to pay your outstanding taxes so I can't really agree with your gestor. It is also important to note that the debt collection process is becoming more and more unified and efficient, especially throughout Europe. Therefore I wouldn’t be surprised if in the future you are contacted with regards to this in your home country.
Hi MESSMEAMMA,
Which tax are you reffering to?
Hi I have a similar problem. I no longer live in spain and have now found out I owe money as my gestor also made an error on the tax return. I also have no assets. Would they consider payment over 10 years? I can't see how they can refuse as I am not resident in spain and do not have assets. Also can I take the gestor to court for his error as there are charges and interest payments due to not paying on time. thanks
Hello,
As my colleague explains above, the tax payments can only be deferred if the Tax office approves it. The maximum time they can grant to pay by installments is 5 years, so 10 years is not accepted. Also, please be aware that not all types of taxes can be deferred; for instance IHT, once claimed from the tax office, has to be paid within 1 year maximum.
You mention you do not have assets, but I am not sure if related with Spain or in general. If you mean you have no assets in Spain, be advised that this fact will not stop the tax office from claiming, Tax agencies throughout Europe are cooperating to recover funds and processes are unified and quite efficient, so once you had assets elsewhere in the EU, these could be embargoed for the claimed amount.
You could in fact sue the gestor if you believe that he made a mistake, however, these actions will entail legal fees, so it will only compensate if the claimed tax amount is very high.
Best Regards,