Poppy 23. Thanks for your information. I wrote to inland revenue on 15th March (cant do online stuff very easily) saying that for the last 2 years we are sure they have not taxed 2 of our government occupational pensions correctly. We dont want them to suddenly find an error and demand back taxes. My Asesoria had already claimed a refund for us from 2015 because of the double taxation treaty. I know the spanish call it a "Civil service" pension and that in uk the civil service pensions are under the same heading as Local Government and Police etc. So I'll leave it a bit longer to see if they reply. I've tried to ring but of course couldnt get through being their busiest month. Want it all sorted out though for our peace of mind. If all else fails I'll speak to our Asesoria over here regarding the comments you made regarding the correct columns etc.
Posted: Thu Apr 8, 2021 10:44am
Helpful member
Went to a tax specialist in albox to do our tax forms ,what I think happens is you pay the tax on your pensions to Spain & then claim it back from the UK (hopefully) that's for this year ,not sure what happens for the following years ,might be better to have your pensions paid here ,??
Posted: Thu Apr 8, 2021 10:52am
Helpful member
If they are government occupational pensions they cannot be transferred to Spain as they are taxable only in uk.
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Thank you all for the inf
Steve2020 wrote on Thu Apr 1, 2021 8:53pm:
All
Check these links out, might be helpful.....
Read more...
In a nutshell, employment in various UK Government agencies (see link) comes under the double taxation rules. Your Army pension would be taxed in the UK ( if it were over the threshold so to speak ). In my case I have two UK Government Pensions. I will pay the tax on them in the UK..........
( My UK State pension is another pension, some years off until that one is due......lol )
https://www.gov.uk/hmrc-internal-manuals/international-manual/intm343040
https://www.narpo.org/spanish-taxation-rules-pensions/
Steve
Thanks Steve for your advice. Do you know if you take the tax free allowance on your government pensions are you liable for Income tax on it in Spain. Also what would the rate be if you received 40 k. We are looking at moving to Spain 3 years before we can access our pension funds or would it be worth returning to the UK and become UK tax citizens for that year. Thanks
Posted: Thu Apr 15, 2021 12:35am
HI, some of the messages & replies are difficult to resolve. The UK government pensions are on the HMRC list, which has a link in a previous message. These employers have pensions which are ONLY taxed in the UK, via the PAYE payroll of the pension scheme. Since 2015, the Spanish tax return must declare this income supported by a P60: the annual income must be in the correct box on the tax return which identifies that income as only declared for the purpose of setting the tax rate on any other income taxable in Spain. The tax 'expert' must understand this and have the latest software to correctly enter the information which has to be checked and signed before 30 June. Not to be confused with a UK Pension Annuity. For those who are tax resident in Spain, these are taxable in Spain, along with any other income including the UK state pension.
This thread started with the twin problems of incompetent & unlawful Spanish taxation of UK government pensions in 2014 - which are difficult to retrieve, and under the new DTT of 2013, operating from January 2015, it simply is not working well, with issues of language, use and interpreted meaning of translated words and competence of tax agents.
For some this can be a expensive mess and almost impossible to resolve.
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