There has recently been a ruling by the European Court of Justice, deeming that the Spanish Tax Authorities acted in a discriminatory fashion when they charge non Spanish EU members 35% capital gains tax on their property sale between 1997 and 2006. The dis-parity is 20% and Spanish residents were only levied 15% on the profit made from their disposal of their real estate.
This ruling has now started an influx of claimants who rightfully want their overpayment returned. The average estimated claim is thought to be approximately €15,000, The Times Newspaper has calculated that over 238 Million GBP is now owed to UK residents alone. The figure for the entire EU community who sold a property in Spain during this period is thought to be close to 1 Billion GBP.
There are several factors that allow you to make this claim, plus certain documentation. Firstly you must not have been regarded as a Fiscal Resident in Spain between 1997 and 2006. You also must have been an EU Citizen at this time. The documentation that you will need to proceed must include the Spanish Tax form "Modelo 212/211" this would be regarded as the main piece of evidence showing exactly how much you paid in capital gains tax. Claimants must also be able to produce their title deeds and also a sales contract showing the bill of sale for their property.
There have already been several successful cases and there are thought to be approximately 600 cases currently running. Due to Spanish claims laws there is a currently a deadline as to when you submit a claim, but this still appears to be a grey area. Therefore it is imperative that those who feel they qualify don´t delay and get things moving immediately. The criteria for demonstrating overpayment are relatively cut and dry so it should be easy for those involved to judge the validity of their claim.