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V2373-22 16 November 2022 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · residencia fiscal

Determination of tax residence in Spain and resolution of residence conflicts through Convention

A UK resident moving to Spain and starting self-employment asks how to tax themselves. The DGT explains that tax residency must first be determined under Spanish domestic law, and in case of conflict, the UK-Spain double taxation treaty applies.

The question raised

To determine the procedure to follow when the time comes to file the income tax return in Spain for the 2022 tax period.

The DGT's ruling

Tax residence in Spain is determined if one remains in Spanish territory for more than 183 days or if the main core of economic activities or interests is located in Spain. If a conflict of residence with the United Kingdom exists, the rules of the Double Taxation Convention shall apply, which prioritizes permanent home, center of vital interests, habitual residence, or nationality. If resident in Spain, the individual is taxed on worldwide income; if resident in the United Kingdom, the individual is taxed in Spain only on income from Spanish sources.

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