Day: October 4, 2023

Financial Taxation News Resident

BNI - Tax for Belgian non-residents in Belgium but still receiving income from Belgium

By dneutiens@segurantis.com

GNI, or "Non-Resident Tax," in Belgium is a tax levied on the income of non-residents who receive certain income from Belgium. Unlike residential taxpayers, who pay tax on their worldwide income, non-residents pay taxes only on income derived from Belgian sources unless there is an agreement with the country of residence to avoid the double taxation waiver treaty.

There are several categories of income that may be subject to this tax, including income from employment performed in Belgium, rental income from Belgian real estate, income from a Belgian company, pensions, benefits, profits of all kinds, allowances, ...

GNI rates and rules can vary depending on the type of income and the specific circumstances of the non-resident. In addition, double tax treaties that Belgium has with other countries may affect how and where the tax is levied.

If you have specific questions about your situation or need more detailed information about BNI, it is advisable to contact a Belgian tax advisor or the Belgian tax authorities. You can find out if you need to file a tax return through the WWW.MYMINFIN.BE web portal.

For Dutch, French or customers with a nationality other than Belgian, please contact the tax authorities of your previous country of residence or the country where you were previously employed.

Financial Taxation Non-resident News Real Estate Resident

IBI-SUMA CADASTRE TAX 2023

By dneutiens@segurantis.com

Every owner of a property in Spain (a house, garage, shed, plot of land,...) must pay the annual property tax, better known in Spanish as the Impuesto sobre Bienes Inmuebles (IBI). Per separate cadastre number (this is the registration number of your property), a percentage of property tax will be levied annually. The IBI applies to anyone who owns a home or other type of property in Spain.

The amount of the IBI is set by the municipality of the place where the property is located and is calculated on the cadastral value (valor catastral) of the property. If you have a home in Madrid but also a country house on the coast, both properties will be subject to a property tax, which may differ in assessment rate. The amount of the tax is subject to change.

It is not unusual for sometimes significant increases in the valor catastral to occur as municipalities strive to bring the valor catastral closer to the real market value of the property. More and more municipalities are revising cadastral values.

Most municipalities usually send out this annual tax assessment between June and October , showing the amount payable and the cadastral value along with the property number. It is best to check with your own municipality when the payment is due. This assessment can be paid in person at the municipality (especially the first time) after which one can order that this can be automatically withdrawn from the bank account in the future. Those who have an automatic order drawn up will be notified annually in advance (nowadays by email) about the tax to be paid, from which account it will come and when it will be withdrawn.

It happens in many municipalities that at the same time as the IBI assessment they also send an assessment for paying the tax for garbage collection (recogida de basuras). In addition, owners of parking lots may receive a separate assessment for the cadastral value of that parking lot or you may receive a separate assessment for having plants in your yard.

So you no longer need an intermediary to pay this tax. Many law firms or gestors charge you extra to keep this in order for you annually while this can be paid automatically. Through the IBAN, your international account number for payments across borders, you can perfectly have these taxes paid automatically every year through your bank account in your country of residence.

Taxation Non-residents News

The annual NON-RESIDENTIAL, also known as the MODEL 210

By dneutiens@segurantis.com

If you are non-resident in Spain and you have a property (-men), you must file the non-resident declaration (model 210). This tax declaration/obligation must be done once per calendar year and is calculated on the number of days you owned the previous calendar year. The declaration must be filed and paid between January 01 and before December 31. If you are renting then other tax obligations apply.

Depending on the value of the property (calculated on the cadastral value), you will have to pay a corresponding tax,the annual non-resident tax. So this is NOT the IBI or SUMA (!). The IBI or what is sometimes incorrectly called the SUMA is a cadastral tax that must also be paid annually and is levied on the property itself. The non-resident tax is a tax that affects the owner(s) of the property (property = home, garage, storage room, ... anything with a cadastral reference).

Each owner must make this declaration accordingly according to his % share owner. For example a married couple is usually 50%-50% owner, so 2 declarations. For example, if you are 4 owners (2 parents and 2 children who each own a share) then you will have to declare 4 according to the ratio of your property in the whole. This declaration is then made per head per property (the more property you have as a non-resident, the more declarations you will have to make and pay the tax due on it).

Segurantis will begin this campaign in September - October and will contact you if you have already reported wanting to use our service. If you are new and would like to run this service through us please contact us via email info@segurantis.com.