as I said in the title we, wife and I are coming to fuerteventura for the first time at the end of this week looking for an apartment to buy ...and hopfully to rent when we are not using it, to make some money on our investment.... im a bit confused of what I read on here about short lets, and it would appear the the governing body is making it as hard as possible for private people to rent, for normal holiday stays (a week or two) and so forcing people to rent for black money, so the guys that would have rented and declaired the income are now doing it for cash, and the tax man and government must have worked out they are loosing tax income and made a mistake with this short let ban........or maybe I got it wrong ......IF SO put me right
by the way I have also read the link http://www.janetanscombe.com/ but I cant believe that so many 100s if not 1000s of renters, a lot of whom would have mortgages to maintain, will just stop
Quote from: luciapaul on November 30, 2014, 23:38:33 PM
the guys that would have rented and declaired the income are now doing it for cash
More or less true, though I'm not sure we can say that all would have declared the income if they thought they could get away with not declaring it.
Quotethe tax man and government must have worked out they are loosing tax income and made a mistake with this short let ban........or maybe I got it wrong ......IF SO put me right
I can't see where you got that from: tax man and government admitting to making a mistake? Whatever next! :o :)
Thats like someone saying they think you would not pay your proper income tax if you thought you could get away with it. You might ,and you might not. Nobody knows but yourself. I doubt you'd like to discuss your tax affairs on a public forum so why the insinuations, totally unfounded, that most renters are practicing tax evasion. No license does not mean no tax payment.
I'm just astonished that anyone would visit Fuerte for the first time with the intention of buying! I've visited lots, and still not really seen much of the island.
Quote from: Holierthanthou on December 01, 2014, 12:48:12 PM
Thats like someone saying they think you would not pay your proper income tax if you thought you could get away with it. You might ,and you might not. Nobody knows but yourself. I doubt you'd like to discuss your tax affairs on a public forum so why the insinuations, totally unfounded, that most renters are practicing tax evasion. No license does not mean no tax payment.
Was that really prompted by my post above? What a truly weird extrapolation ???
Though I doubt that many of those who are technically breaking the law by renting out their properties would care to advertise the fact by filling in a tax form declaring the income - it would be tantamount to red-flagging yourself for attention. Doesn't mean they wouldn't be happier having the whole thing perfectly legal, tax payments included. As the OP says, many of those renters simply don't have the option of stopping renting, whether legally or illegally (other than handing the property over to the bank, which must be a truly awful thing to have to do).
@tiger79: We signed the contract for our house on the 6th day of our first-ever one-week holiday here: a case of "love at first sight", with Corralejo even more than with the island as a whole. Three months later we moved: lock stock, barrel and cat. Our only base since then has been the island. However, that was probably a bit of a rash decision as it could have backfired badly - but didn't :P. I do agree that it seems odd to come for the first time with the fixed intention of buying.
Depends who you're paying your taxes to SheilaW. And even if you pay into the Spanish tax system and not the UK it is unlikely the information would make its way elsewhere. I'm pretty sure many pay their taxes into the UK system as that is where the business is run from. Spain takes the view it should be paid in Spain as thats where the property is. Fact is tax is being paid on the income either way, its just who to thats in dispute. There are forms to use that can supposedly stop any overpayment if you are brave enough to bow to the demands of both tax regimes.
in answer to tiger79 I have not just picked the place out of a hat I have a friend there who has 2 flats one to live, one to rent to pay the bills, he had not mentioned the poss probs with short renting, so he is not worried about the taxman as its all cash, I am visiting him to look.... IF I don't like it I wont buy, but apart from this fly in the ointment the place sounds fab
we are back a week later having paid deposit on a place in costa de Antigua. dew to go back in feb to finish contract and start decorating and kitting out,, cant wait! . I will be putting another posting on the tv computer fones section look for info from people that have put in a sky system resently, as I know the foot print has changed in the last year as I was in the south of france this year and could not sky on a normal little dish, where as I could the year before from the same site, well if you have please IM here or mgs on the other section thanks