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withholding tax when paying a s.l. company
I have been told that our club when paying rent to the land holding s.l. company must withhold tax.
Is this true?
I support Spanish companies (IT support) and apart from professionals they do not withhold taxes.
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Property Rentals in Spain are subject to 18% witholding tax. Exemptions apply if the landlord gives you a letter from the taxman showing stating are exempt.
For further information, please read http://reformafiscal.meh.es/preguntas_retenciones.asp (Spanish).
Regards
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