Question Source of funds for a fiscal resident of Spain

[sriracha]

I intend to move to Spain and buy an apartment. I am thinking to sell stock for the amount of money necessary to buy the apartment.

I am wondering what is the right way to do that. because of

- capital gains tax - maybe I should sell my stock while I am in a country where I would pay less capital gains tax and then move to Spain? I am currently a fiscal resident of Estonia, where I have an Estonian LLC, but I could stay in an "intermediate" country in that case

- source of funds - will I have to prove the source of funds, or the very fact that I sold stock would be considered a source of funds?

I bought the stocks twenty years ago with money I received from a client, but unfortunately the paper trail that proves it is all lost and I have no way to recover it.

 

[JohnnyDoe]

You must have a very valid reason for moving to that fiscal hell known as Spain

 

[Larin]

- capital gains tax - maybe I should sell my stock while I am in a country where I would pay less capital gains tax and then move to Spain? I am currently a fiscal resident of Estonia, where I have an Estonian LLC, but I could stay in an "intermediate" country in that case

Yes, if you can spend a year as a resident in UAE and move to the 3rd country (Spain) then you could cash out by paying the local CG tax rate of 0.

- source of funds - will I have to prove the source of funds, or the very fact that I sold stock would be considered a source of funds?

It may depend on the bank, but generally showing your portfolio and the transaction should be enough. Although, depending on your passport the KYC may be more or less stringent in Spain.

 

[sriracha]

You must have a very valid reason for moving to that fiscal hell known as Spain

Yes, if you can spend a year as a resident in UAE and move to the 3rd country (Spain) then you could cash out by paying the local CG tax rate of 0.



It may depend on the bank, but generally showing your portfolio and the transaction should be enough. Although, depending on your passport the KYC may be more or less stringent in Spain.

Thanks, very information-rich.

You must have a very valid reason for moving to that fiscal hell known as Spain

Yes indeed a valid reason - I have lived in Nordic countries, in the USA and in the Caribbean.

Nordic countries -> the government takes your salary/earnings and gives you back cigarette money. Sky-high suicide rates, most people on Prozac, s**t food, s**t weather, every woman a hard core feminist, Jante’s law, school will make your sons transgender

USA -> “Country of capitalism and economic freedom”. Cannot hold foreign currency in the bank. Anywhere you go, there is only one supermarket brand in a 100km radius. Could not own gold from the 30s to the 70s. Fake prices on shelves, must add tax, fake prices in restaurants , must add tip. Nobody goes out at night, and if you do, your salary burns in a week. Extra fake inflation numbers for decades. People hold 2 and 3 jobs to make ends meet. Watch a Hollywood movie, move to the States and you realize it’s all BS, it’s a grey and drab life.

Caribbean -> “Low cost of life, low taxes”. This one is true, but - no infrastructure. Break a leg while kitesurfing, die bleeding waiting for ambulance. Drink a glass of tap water, sh*t your intestine out from parasites. Your life is worth 50euros, must have gun in car. Drive on highway, get annihilated by drunk driver driving against traffic. Start a business, get shot by competitors, your business confiscated by a corrupt judge.

So maybe Spain, Portugal and a few other countries are a happy medium…

 

[JohnnyDoe]

Thanks, very information-rich.


Yes indeed a valid reason - I have lived in Nordic countries, in the USA and in the Caribbean.

Nordic countries -> the government takes your salary/earnings and gives you back cigarette money. Sky-high suicide rates, most people on Prozac, s**t food, s**t weather, every woman a hard core feminist, Jante’s law, school will make your sons transgender

Fair enough

USA -> “Country of capitalism and economic freedom”. Cannot hold foreign currency in the bank. Anywhere you go, there is only one supermarket brand in a 100km radius. Could not own gold from the 30s to the 70s. Fake prices on shelves, must add tax, fake prices in restaurants , must add tip. Nobody goes out at night, and if you do, your salary burns in a week. Extra fake inflation numbers for decades. People hold 2 and 3 jobs to make ends meet. Watch a Hollywood movie, move to the States and you realize it’s all BS, it’s a grey and drab life.

It depends on the location and on your budget

Caribbean -> “Low cost of life, low taxes”.

Low cost of life depends where. Caribbean countries are not all the same (let’s include the non-Caribbean T&C, BS and BM)

This one is true, but - no infrastructure.

In Haiti, true. In some other places you would be surprised of how efficient they are (and the Chinese are coming)

Break a leg while kitesurfing, die bleeding waiting for ambulance.

Same in Europe.

Drink a glass of tap water, sh*t your intestine out from parasites.

Buy a water filter.

Your life is worth 50euros, must have gun in car.

Come on, that’s Haiti, not “The Caribbean”

Drive on highway, get annihilated by drunk driver driving against traffic.

Usually it’s a US tourist driving on the right. If we want to call the various “King’s highways” proper highways.

Start a business, get shot by competitors, your business confiscated by a corrupt judge.

Like everywhere.

So maybe Spain, Portugal and a few other countries are a happy medium…

Portugal is better, but Europe is doomed.

 

[sriracha]

Portugal is better, but Europe is doomed.

Well yes, Europe is doomed, but there will be degrees of doom I think.

France and UK will be devastated, they are in the crosshairs of the WEF, and are populated by a critical mass of brown people, they’ll become a mix of 1984 and Brave New World.

Germany may go either way, but best case scenario is they stay the way they are, which is an authoritarian and malevolent version of a Nordic country.

Italy and Greece will be basically impaled and left for fiscally dead, they will go through decades of poverty.

Spain…has chances. Remember how they managed to stay out of ww2, terrorism in the 70s…

 

[Marzio]

Jante’s law

I didn't know about Jante's law, that's socialist brainwashing at its best.

 

[Radko]

You may want to reconsider moving to a country such as Spain with a Socialist/Communist government, all I see is countless people moving out of Spain, foreigners and nationals, including myself. What’s the point of getting killed with taxes till the day you die while inflation is through the roof (1kg of avocados 4.50€ at the moment) and a debt of 120% of GDP, Spain is broke, literally!
Go to Portugal under the NHR and just sneak into Spain as often as you want, do NOT settle in Spain unless you’re a masochist.
Best of luck

 

[Martin Everson]

So maybe Spain, Portugal and a few other countries are a happy medium…

Spain would be a very bad choice. The government despise anyone with money. Once your rich there your assets slowly become state property even if you don't work another day.

P.S If your lazy a low earner and not entrepreneurial then Spain makes perfect sense.

 

[daxbr]

Well, keep in mind that Avocados have never cost more than 2€ per kilo in Spain, and you can't even begin to compare the economy of Germany with the economy of Spain, so 4.50€ is extremely expensive for Spain, and that's just one of the many more examples of how expensive it's become to live in Spain.

Just so happened the other day, bought 3 large avocadoes (+/-1kg) for MXN30 (+/-USD1.5).

 

[RealDude]

I'm sure as soon as you retire you'll be heading down to sunny Spain to drink beer by the beach and eat "cheap" avocados

Canary Islands

 

[Radko]

Just so happened the other day, bought 3 large avocadoes (+/-1kg) for MXN30 (+/-USD1.5).

And that's why I'm moving to Merida this year!

 

[RealDude]

And that's why I'm moving to Merida this year!

Isnt Merida boring? I would move to PDC.

 

[Radko]

Isnt Merida boring?

You've got everything you can think of, beach, Cenotes, an ice skating rink inside a shopping mall, a 3.5km circuit (I'm into racing) and it's been ranked the second safest city to live in the Americas, right after Quebec (Canada), hope to see you there!

 

[TheCryptoAnt]

Canary Islands

Best destination tbh.
They even have a special tax program called ZEC

 

[Mssquirrel]

Spain would be a very bad choice. The government despise anyone with money. Once your rich there your assets slowly become state property even if you don't work another day.

P.S If your lazy a low earner and not entrepreneurial then Spain makes perfect sense.

This if you have any sort of business or even if you are a self employed making 2-3k a month Spain is not good option. If you are an employee making that money I think you are ok but never dare to progress in life because they will go after you! Anyways in the big cities the rent is stupid high for the local salaries.

Well yes, Europe is doomed, but there will be degrees of doom I think.

France and UK will be devastated, they are in the crosshairs of the WEF, and are populated by a critical mass of brown people, they’ll become a mix of 1984 and Brave New World.

Germany may go either way, but best case scenario is they stay the way they are, which is an authoritarian and malevolent version of a Nordic country.

Italy and Greece will be basically impaled and left for fiscally dead, they will go through decades of poverty.

Spain…has chances. Remember how they managed to stay out of ww2, terrorism in the 70s…

Spain in doomed too, the government and the economy sucks. I get it if you say you want to move because of the food, weather and beach but don't think Spain situation is better than the rest of Europe because it's not.

 

[sriracha]

This if you have any sort of business or even if you are a self employed making 2-3k a month Spain is not good option. If you are an employee making that money I think you are ok but never dare to progress in life because they will go after you! Anyways in the big cities the rent is stupid high for the local salaries.

Spain in doomed too, the government and the economy sucks. I get it if you say you want to move because of the food, weather and beach but don't think Spain situation is better than the rest of Europe because it's not.

I understand your point of view, but..I spent some time in the Baltic countries, where taxes are not so high, and these people are SUICIDAL!
Eastern countries, also gloom and doom. So what's left? Africa? I didn't think so. It basically boils down to Dubai and Malta. Malta - beach life, basically a big resort. Dubai - living in a high rise, nobody knows anybody, everything is fake...What do I do with the money saved from taxes? Is that a life? I am afraid Spain will be the lesser evil and no, I'm not lazy, low earner and not entrepreneurial.

Best destination tbh.
They even have a special tax program called ZEC

Sounds good! What kind of company works with this ZEC program?

 

[TheCryptoAnt]

Sounds good! What kind of company works with this ZEC program?

https://canariaszec.com/en/about-us/
btw Thailand is also great

 

[Mssquirrel]

I understand your point of view, but..I spent some time in the Baltic countries, where taxes are not so high, and these people are SUICIDAL!
Eastern countries, also gloom and doom. So what's left? Africa? I didn't think so. It basically boils down to Dubai and Malta. Malta - beach life, basically a big resort. Dubai - living in a high rise, nobody knows anybody, everything is fake...What do I do with the money saved from taxes? Is that a life? I am afraid Spain will be the lesser evil and no, I'm not lazy, low earner and not entrepreneurial.


Sounds good! What kind of company works with this ZEC program?

Idk I think Portugal, Andorra or maybe Italy are better options. If you want to move to Spain anyways and none will stop you then contact with a tax advisor from there first to help with the best setup for you, there is parts of Spain more convenient for tax no idea about it but friends told me that.

 

[sriracha]

Idk I think Portugal, Andorra or maybe Italy are better options. If you want to move to Spain anyways and none will stop you then contact with a tax advisor from there first to help with the best setup for you, there is parts of Spain more convenient for tax no idea about it but friends told me that.

Portugal, Andorra good stuff I think, I'll check my options.