Spanish Will for foreigners
The Will is the legal document that reflects the wishes and wills of the person in which it is, clearly indicated, how the assets will be distributed when the testator is missing.
This way, any confusion that may arise after the decease is avoided and the destination of everything considered important by the author remains expressly documented.
Why is it important for foreigners to make a Spanish Will?
Regardless of whether you are considered resident or non-resident in Spain, if you have assets in the country, you should consider the importance of including them in your Spanish will.
By including your property, vehicles and other assets you own located in Spain, you are facilitating the transfer of the inheritance to those who will inherit all of them. Conversely, if none of these assets are included in this Spanish Will, once the heirs wish to claim the assets, they will have to prove before Spanish Law that they actually have that right and that the Will (drafted and legalised in another non-EU country) is valid.
This is a lengthy and complicated process in which it will be necessary the translation of the original Will, its correct apostille and to prove that it was the last one made by the testator. All of this being subject to the corresponding legal actions.
As you can imagine, these requirements make the process much more time-consuming and costly.
Legal aspects of the Will
When it comes to asserting wishes, the testator can rely on the support of a lawyer specialised in Inheritance Law to ensure that it is drafted correctly, and on a translator to legally translate the document for its probate. In the event that testator and Notary Public do not share the same language.
This eliminates the two main issues of a foreign Will: the misinterpretation of a Will in another language and the formality required for it to be considered valid. It is therefore the most recommended option for foreigners who wish to have their Will duly executed and the one most of them choose.
Spanish Will complementary to the Will of the country of origin.
Although the importance of the Spanish Will for residents and non-residents is increasingly known, not many of them know that it can be complementary to the original Will drawn up in the foreigner’s country of origin.
If we consider section 739 of the Spanish Civil Code, we will be able to see how it allows a secondary Will (for assets or properties in Spain) to be accredited without the first Will made in its country of origin being violated.
“The previous Will is revoked as of right by the subsequent perfect Will, if the testator does not express in the latter his will that the former subsists in whole or in part. However, the earlier Will regains its force if the testator subsequently revokes the later Will and expressly declares that it is his Will that the earlier will be valid.” Section 739 of the Civil Code.
Thus, the assets in Spanish territory are included in this new Will, freeing you from the aforementioned disadvantages of not including them. An ideal example to understand this is when someone has a property for holiday use.
Let´s suppose that a British tourist has his original Will drawn up in his country of origin, but spends the summer season at his home located in the Spanish coast. When the time comes, he will be able to include in his Spanish Will that property in favour of the heir he deems appropriate. Ensuring through this simple procedure, that the property is in accordance with Spanish Inheritance Law, greatly facilitating the transfer to the beneficiary.
How does Inheritance Tax affect assets not included in a Will?
In the event of decease, the Spanish Tax Agency is permissive and tolerant with the misfortune in the 6 months following the event. Once this time has elapsed, the inheritance tax has to be filed and things change.
The inheritance tax will be applied to the heirs and, depending on whether it is collected by the autonomous community or the Spanish State, the percentage of withholding tax will vary to a greater or lesser extent. The correct filing of this tax may be complicated for someone who is not familiar with this type of requirements, for this reason we encourage you to do it with the support of a lawyer expert in Inheritance Law.
As we have mentioned before, the Spanish authorities set an initial period of 6 months for the settlement of this tax which can be extended for a few months. But beware, if the payment is postponed, you will face late interest charged by the tax authorities in form of percentage increases on the final payment, which means that you will end up paying more for each month that passes without filing the tax correctly.
However, the situation with a non-probate inheritance is even worse, as the heirs will have to request additional necessary documentation from the country of origin of the deceased and it is very likely that it will not arrive in time, will be complicated to issue, and will entail extra expenses that surely were not expected at the beginning.
Considering the delicate situation involved, it is not a pleasant task to manage.
Both in the case of having to pay the tax based on the Will, and when there is no Will to prove the inherited assets, it is advisable and safe to rely on the experience of your lawyer, who will not only avoid surcharges and inconveniences with the liquidation, but will also be able to inform you of the appropriate tax benefits.
Conclusion and recommendations
Drawing up and validating a Spanish Will in the vast majority of cases is a simple and affordable procedure, and obviously, it is always a better option than not having a Will or not including your Spanish assets in it. The result of leaving the heirs claiming their assets without a concise Will is a complicated situation that involves an unwanted waste of time and funds for them.
In case you are still not convinced or want to know exactly how all of the above would apply to your particular case, we recommend you consult with your lawyer on how this option can benefit you in order to ensure the proper disposal of your assets when the time comes.
If you have any queries regarding this or any other issues, you can contact us by sending an email to info@legaliuris.eu
Digital Nomad Visa
In December 2022, the Spanish government published Law 28/2022, which regulates this new visa. Longed for by those foreigners who were looking for a way to live in Spain without giving up their work outside the Spanish territory or, for those who receive income from different sources and want to enjoy their stay in the country.
There are different profiles of foreigners who can benefit from this residence permit, but the most common are undoubtedly those professionals who work remotely from Spain for a company located outside the Spanish territory, also known as digital nomads. These include professionals who earn income from different sources and who, due to work or personal circumstances, travel continuously from one country to another (including freelancers with clients all over the world).
Requirements to apply for the Digital Nomad Visa
- It is not a complex visa, so the list of requirements is not too extensive and most applicants will be able to meet them without major problems. However, it is essential to know them in detail to find out if you, as an applicant, meet all of them.
- You must prove that you are an international teleworker posted in Spain.
- Prove that you have had a continuous employment relationship for the last three months with the company you are teleworking for.
- You must have a contract of at least 1 year´s duration with the company.
- Demonstrate that your position allows teleworking and that the company expressly authorises it.
- Income from Spain or the Spanish company you work for (if you wish) cannot be more than 20% of your total economic activity.
- This company or companies with which the teleworker establishes a business relationship, must have been operating in the market for at least 1 year.
- The academic and professional profile of the applicant must be suitable. There are two options here: to be a graduate of a prestigious university or business school; or to have previous professional experience of at least 3 years.
- Prove possession of sufficient funds. The amount is set at €25,000 (200% of the SMI) for the main applicant and €9,441 (75% of the SMI) for each family member. You can prove this through a Spanish or foreign bank account, or through a payship of a higher or equivalent salary.
In addition, these are the general requirements applicable to all other residence permits:
- Provide your criminal record certificate with a minimum validity of 90 days.
- Present a declaration of no criminal record in the last 5 years.
- Not be banned from entering Spain.
- To have private health insurance.
Where do I apply for the visa?
There are two options when applying for the visa, both according to the convenience of the applicant. Thus, you will be able to submit your application for residence as a digital nomad both inside and outside Spain.
In order to apply directly from Spain, you must submit the application to the UGE (unit for large companies) during the first 90 days of your stay while using your tourist visa. If you want to start the application in your country of origin, you will need to contact the Spanish consulate from there.
How long does the permit last ?
If you applied for the permit from Spain, you will obtain a residence card for 3 years (unless you apply for a shorter period of work), which can be renewed every 2 years. Giving you access to apply for long-term residence after 5 years, and for nationality after 10 years.
As long as you have correctly renewed your permit during the previous years.
In case of starting the process from the country of origin, you would first obtain a visa valid for 1 year, which could later be modified to the 3-year residence card.
How long do I have to wait for my visa to be granted?
This aspect entails one of the great advantages of the permit.
You will be able to know in only 20 working days the resolution of your application, as opposed to the 3 months of waiting that usually involves the processing of a permit under the general regime.
Furthermore, in case of “administrative silence”, it will be considered positive. This means that if you did not receive notification within 20 working days of submitting your application, it will have been considered approved and the permit will be yours.
What are the advantages?
This visa is one of the most advantageous for those who meet the requirements since you will be able to work in Spain, to move with your family and freely visit other EU countries.
Here are the main advantages:
- You can process your family members’ application together with your own, and they will be able to get the residency as well.
- The resolution process is very fast and in case of administrative silence, you will get your permit. This frees you from late resolutions and long and complicated processes.
- The time with this residence permit counts for the permanent residence and Spanish nationality.
- The permit grants freedom of movement within the European Union.
- In the event that you wish (in addition to keeping your main job) another work in Spain, you will be able to do so as long as the income of this Spanish company does not exceed 20% of your total income. In this respect, it should be noted that in order to have another job, it can only be carried out exclusively through computer, telematic and telecommunication means and systems.
Beside these advantages, you will be able to enjoy tax benefits by taking advantage of the new special regime applicable to workers, professionals, entrepreneurs and investors relocated to Spanish territory, also known as “Beckham’s Law”.
Plan your entry to Spain with the Digital Nomad Visa
Although applying for the visa may not be a very complicated task, reside personally and professionally in Spain implies a series of tax obligations in which a tax advisor will be able to assist to alleviate the burden and take advantage of the benefits this permit has.
At Legal Iuris we will help you to apply for your digital nomad visa by assisting you in all stages of the procedure. From the preparation of documentation, translations, payment of fees, to the arrangements of appointments at the Spanish consulate or in your country of origin.
You can contact our immigration lawyers and tax advisors by emailing info@legaliuris.eu
Spanish Golden Visa - Residence by investment
The Golden Visa has become one of the most comfortable and popular options for those non-EU investors looking to move to Spain for several reasons, including the advantages it offers. In this post we will tell you everything you should know about the Golden visa.
The Spanish Golden Visa is a great opportunity to establish a home or residence in Spain, especially if you want to invest in real estate. The investor visa gives permission to reside and work throughout the Spanish territory, and also the applicant has no obligation to be in the country more than 6 months a year to be able to renew the residence as is the case with other visas, in fact, it does not require a minimum period.
In 2013, Spain launched the plan to support entrepreneurs and their internationalization with the entry into force of Law 14/2013 of September 27, seeking to attract foreign investors interested in investing in one way or another in the country. Thus, currently, those investors from outside the European Union who make a significant investment in Spain can now apply for a special residence.
What is so special about the Golden Visa ?
The number of applications that have been registered for visas of this type over the years has experienced considerable growth and not surprisingly.
The most notable advantages provided by the Spanish Golden Visa are:
- It offers the opportunity of residence in Spain for 2 years that can be renewed for 5 years provided that the holder demonstrates that he continues with the investment made.
- In order to obtain the visa, and unlike other visas, residence in Spanish territory is not required; the applicant or holder is only required to travel to the country once a year.
- It allows you to work and reside legally in Spain.
- It provides complete freedom of movement throughout the Schengen area.
- The residence of the spouse and children can be processed at the same time as that of the investor and owner of the Golden visa, which is a great privilege for those families looking to live in Spain.
- It is not necessary for the interested party to apply for the Golden visa physically in Spain. It is usual to appoint a representative for this purpose by means of a power of attorney.
What is the investment required to apply for a Golden Visa?
As mentioned above, in order to apply for a gold or investor visa, a significant investment in the country is required. But, what is considered a necessary investment?
Depending on the asset in which the investment is made, the amount considered for the visa application will be higher or lower, therefore, a non-resident foreigner may apply for the visa when the capital investment deposited in the country complies, in accordance with article 63 of Law 14/2013, with any of the following events:
- An investment for a value greater than or equal to:
- 2 million euros in Spanish public debt.
- 1 million euros in shares or social participations of Spanish capital companies.
- 1 million euros in Spanish investment funds under certain requirements.
- 1 million euros in bank deposits in Spanish financial institutions.
- Acquisition of Real Estate in Spain with a value greater than or equal to 500,000€ for each applicant.
- Business project that is developed in Spain and has an impact on society that is considered relevant, and therefore the creation of jobs, relevant contribution to scientific innovation, socio-economic impact, etc. will be assessed.
Normally, the most common option is the purchase of a property to ensure that you can establish your home in the country, as the visa offers the possibility of residency in Spain and most applicants seek to realise this possibility.
Bearing this in mind, we can solve some frequent doubts that arise to all those who are thinking about this investment:
- Real estate investment can comprise more than one property.
- The minimum amount set (€ 500,000) must be free of charges, however, the part of the investment that exceeds the amount may be mortgaged.
- You can apply for the Golden Visa if you bought the property after 2014, however, if you acquired the property before the publication of this regulatory regulation, it will not be possible.
- The visa can be applied for before the final deed.v
How do I apply ?
There are two ways to apply for the Golden Visa, depending on where you are at the time of application.
If you reside in a country other than Spain, you must apply for the Investor Residence Visa at the Spanish Consulate in your country of residence. On the other hand, if you reside legally in Spain or have an investor visa, you will apply for the residence permit for an investor in the Large Companies and Strategic Groups Unit (UGE-CE).
To request it you must prepare the following documentation:
- Passport.
- Public or private health insurance with entity operating in Spain.
- Criminal record certificate.
- Economic means necessary to cover the expenses of stay and, where appropriate, those of their relatives, for one year, according to the following amounts:
- For its support, monthly, 400% of the IPREM (Public Indicator of Income of Multiple Effects), which in 2022 amounts to € 579.02, being € 2,316.08 or its legal equivalent in foreign currency.
- For the support of each of their dependent relatives: monthly 100% of the IPREM, which in 2022 amounts to € 579.02 or its legal equivalent in foreign currency.
- Proof of realisation of the investment.
- This varies depending on the type of investment:
- Public debt: certificate from a financial institution or the Bank of Spain.
- Unlisted shares: declaration of investment made in the Register of Foreign Investments of the Directorate-General for International Trade and Investment (DGCOMVINER).
- Listed shares: certificate of financial intermediary registered with the National Securities Market Commission (CNMV) or the Bank of Spain. – Investment funds: certificate of the Management Company.
- Bank deposit: certificate from the financial institution.
- Real estate: certificate of the Land Registry and deed of purchase.
- If the purchase of the property has not been formalized: deposit contract formalized in public deed.
- Business project: Favorable Report issued by DGCOMINVER
How long is the Golden Visa valid ?
The validity of your investor visa will differ depending on the type of investment made or planned.
The initial residence authorisation for investors will be valid for two years.
It is different in the case of non-formalised property purchases, as dictated in article 66.3 of Law 14/2013 of 2013, the residence authorisation for an investment in real estate assets that has not been made effective, with an earnest money contract authorising it, will have a maximum duration of 6 months.
Once the purchase and sale of the property has been completed, the residence permit for the investor is requested at the Large Companies and Strategic Groups Unit (UGE-CE), at which point the interested party may request the residence permit for investors.
Finally, for those who have invested in movable assets, the visa will be for 1 year.
What are the deadlines?
Probably one of the most impatient issues for visa applicants is the waiting time before the visa is finally granted. Well, it is interesting to note that it really does not take that long to be granted compared to other visas.
The visa application at the Spanish consulate takes 10 days from the time it is received, and the application for authorisations takes 20 days.
Both for the residence permit and for its renewal, it will be necessary to present the appropriate documents to the UGE-CE in Spain.
If you are thinking of starting a new stage in Spain, you have the necessary means and you want to bring your family with you, the Spanish Golden Visa is undoubtedly the most recommended option at the moment. At Legal Iuris we provide you with a team of lawyers and professionals who will help you to streamline all the processes to ensure that your visa is applied for and granted under the Spanish legal framework.
You can contact us with any questions you may have by calling +34 865 750 154 or sending an email to info@legaliuris.eu who will help you with everything you need.