1. AÐ FLYTJA TIL SPÁNAR

2. MEÐ FASTA BÚSETU eða FERÐAMAÐUR YOU AS A TOURIST. A tourist is a person who spends less than six months in Spain in one calendar year. The “tourist” stay in Spain for EU and non-EU citizens alike is limited to 90 days. To stay another 90 days, you are required to obtain a PERMANENCIA, which is an extension that is stamped in your passport. Anyone who stays more than six months must apply for a residence permit. It’s also possible to get further 90-day extensions, called permanencias. However, you are entitled to only one permanencia in a calendar year, so the total is six months. You apply for this permanencia, that is stamped on your passport, by going to the Foreign department of your local police station. You need your passport, a couple of photos, and some evidence of your ability to finance your continued stay in Spain. (authorities suggest an income of €600 a month as an acceptable minimum). A copy of your Spanish bank statement or evidence that you receive a pension from abroad would be acceptable. One comisaria requires that you have €1.800 in a Spanish bank to grant the 90-day extension. Ask locally, as practice varies.

3. MEÐ FASTA BÚSETU eða FERÐAMAÐUR Benefits of tourist status → There aren´t really many advantages to remaining on tourist status when you really are a resident. A person who lives in Spain more than 183 days in one calendar year, whether or not he holds a residence permit, becomes legally liable to pay Spanish income tax. EU citizens can continue to use their EU national driving license after they take out a Spanish residence permit. However, they must have their license stamped by the Spanish traffic department.

4. MEÐ FASTA BÚSETU eða FERÐAMAÐUR YOU AS A RESIDENT. If you really reside in Spain, it seems wiser to take out a formal residence permit (dvalarleyfi). If you are a EU citizen, we should better call it residence card. If you intend to earn money in Spain, you will need a work permit (réttindi til að vinna). It´s illegal to work in Spain without a work permit, or an EU registration card if you are a working EU citizen. The normal residence permit is renewed once every five years.

5. SKATTAHLUNNINDI FYRIR FÓLK MEÐ FASTA BÚSETU Á SPÁNI Tax advantages for residents. The resident property owner has a number of tax advantages over the non-resident: If you are a resident and more than 65 years of age, and you have lived in your home for three years, you will not be subject to Spanish capital gains tax when you sell it, no matter how great is your profit, If you are a resident, your maximum capital gains tax is 15%, and it can be even less, whereas the non-resident pays 35%, If you are a resident and you sell your property, you are not subject to having 5% of the total purchase price withheld and deposited with Spain’s tax agency as a guarantee against your tax liabilities.

6. SKATTAHLUNNINDI FYRIR FÓLK MEÐ FASTA BÚSETU Á SPÁNI If you are a resident and you bequeath (legar) your home to a spouse or child who is also a resident, you can probably avoid Spanish inheritance tax on 95% of the valuation. The conditions are that you have owned and lived in your home for a minimum of three years. The inheritor must be a resident and must undertake not to sell the property for 10 years, while continuing to be a resident. Top limit on the 95% reduction is €120.000. over that, you must pay. Spanish property owner´s imputed income tax does not apply to the owner´s principal residence. A resident of Spain also has an exemption on the first €108.000 of valuation for Spanish capital assets tax, “wealth tax”. The non-resident pays from the first euro of valuation. If a husband and a wife jointly own a property worth €120.000 and they are non-resident, they will pay a non-resident property owner’s tax of €600 each year plus €240 of Spanish wealth tax, a total of €840 per year. The resident is exempt from these taxes. For wealth tax, the exemption is €108.000 each for husband and wife.

7. DVALARLEYFI - EFTIRLAUNAÞEGI  PENSIONERS: Before leaving home, EU pensioners should obtain Form E-121 from their own country, which enables them to transfer their rights to national health care to the Spanish Social Security medical system. The form shows that the pensioner has been into his home country´s national health and so he is entitled to the same rights in Spain. EU citizens who are of retirement age and receive private pensions or pensions from a non-EU country can also settle in Spain, but they will not be entitled to a Spanish health care. They will have to take out a private medical insurance.

8. SPÆNSK KENNITALA (N.I.E) NIE. Your residence permit will include your Número de Identificación de Extranjero (NIE), which identifies you to the Spanish tax authorities. The number is necessary for practically any transaction in Spain, such as paying your taxes. Even a non-resident who has any relation with the Spanish tax system, eIther by owning property or by drawing interest from a bank, also needs this NIE.

9. HVAÐ ÞARF AÐ GERA TIL AÐ HAFA FASTA BÚSETU Á SPÁNI Skrá sig í Ráðhúsi viðkomandi bæjar. Biðja um spænska kennitölu (NIE) til að kaupa hús, bíl kaupa tryggingar o.fl. Sækja um dvalarleyfi á lögreglustöð viðkomandi bæjar Sækja um sjúkartryggingakort (E-121 eða E-111 eða einka sjúkratryggingu) Fá ökuskírteinið sitt stimplað hjá viðkomandi lögreglustöð Það þarf að borga árlega skatta til viðkomandi bæjarfélags, borgar. Ef þú átt hús á Spáni, þá er betra að hafa erfðarskrá á Spáni.