Question
Spanish Non Lucrative Visa taxes: We only plan to live in Spain from August to May.
Since it is fewer than 183 days in Calendar/Tax Year 1 and fewer than 183 days in Calendar/Tax Year 2, this makes me a Non-Resident in both Calendar/Tax Years and I would only pay taxes on Spanish income ($0 given the Spanish Non Lucrative Visa requirements).
Answers
These are the answers of Spainguru’s Facebook group members:
“In practice, it is still required that you stay longer than 183 days in Spain, under an Spanish Non Lucrative Visa. Please check the article below: Supreme Court eliminates the 6-Month stay rule for non-lucrative Spain visa renewal.”
“If you are 183 days or more you are tax resident.”
“You should consult a tax expert. But from what I know through my own research, you could be correct. However, if you intend to renew your Spanish Non Lucrative Visa after year 1, since you would likely be outside Spain during the renewal period, you should check if you can file for the renewal while you are outside Spain even if you use a lawyer or gestor to file for you.”
“Is this a one-off or a regular plan? If the latter it will work for the first part year subject to the above comments but not thereafter.”
“We are in Spain on the Spanish Non Lucrative Visa we entered on Dec 15 2023 from Canada. We are now non-residents of Canada but will file taxes for 2023 there. But we are also having 15% tax from Jan 2024 withheld in Canada (to prevent double taxation in Spain in 2024).
However, we are still considered non-residents here in Spain for things purchased such as a house for this first year because we are not yet tax residents. After that, and we’ve filed 2024 in Spain, we will be considered residents.”
“My understanding from many long-time residents is that the 183 days is per calendar year. I know people who stay never less than 183 days a year for this reason.”
“Your assumption is correct. If you will stay less than 183 days on Spanish Non Lucrative Visa in 2024, you will not be a tax resident for the tax year 2024, if you stay in Spain until May 2025, you will also not be considered a Tax resident for the tax year 2025. There are other criteria to be considered for tax residency as well beside the 183-days: 2- Have economic centre activities in Spain. 3- Family ties, if your family remains in Spain more than 183 days (even if you are abroad). It’s always better to consult a Tax professional.”
Conclusion
The discussion around Spanish Non Lucrative Visa (NLV) and tax residency underlines a complex area of Spanish taxes, highlighting the significance of the 183-day rule in determining tax residency status.
While some members suggest that staying under 183 days for a calendar years categorizes one as a non-resident for tax purposes, others emphasize the importance of seeking professional advice due to the intricacies involved, including potential changes in the law and specific circumstances that might affect tax status.
The conversation also points out other factors that influence tax residency, such as the center of economic activities and family ties in Spain. As Spain’s tax residency rules can have substantial implications, especially for NLV holders planning to split their time between Spain and another country, consulting with a tax professional is advised to navigate the complexities effectively.
