Do you have a minimum interest rate clause in your Spanish mortgage contract?

Do you have a minimum interest rate clause in your Spanish mortgage contract? Are you aware that this could be costing you approximately €1,000 annually?

Throughout 2012 differents Mercantile Courts (Seville, Malaga, etc,..) and the Tribunal Supremo, have dictated sentences ordering three banks to pay back considerable sums of money which they were illegally charging their clients through what is called “minimum interest rate clause” stipulated in their mortgage contracts.

 The truth is that in this mortgage contracts it is established that at no point in time can the variable rate be inferior to a minimum rate fixed by the bank – this tends to be between 3 and 5%, whilst on the other hand the maximum limit is unrealistic – in the majority of cases this is between 7 and 15%.

The detriment to the consumer arrives when the Euribor descends below the minimum rate stipulated in the mortgage contract – particularly at this moment in time seeming as the Euribor has descended below 1%  – and the client has to continue paying as if it were at 3 or 5% because of this “minimum interest rate clause” imposed by the bank.  However, the maximum rate will never be reached meaning that the consumer will never benefit from it and the only beneficiary will ever only be the bank.

This banking practice trespasses on the very fundamental principles of contractual good faith and provokes a substantial and unjustified imbalance of contractual obligations, generating a loss in the economy of Spanish consumers at the same time.  In fact this same minimum interest rate clause has been mainly responsible for the progressive decline of the Euribor; (this being the main variable mortgage reference rate) not having led to a widespread drop in monthly payments.

Because of this, AFCONSULTING LAWYERS,  are offering the possibility of demanding the annulment of the minimum interest rate clause and legally claiming back the difference between the amount which should have been paid if the clause hadn’t of existed in the first place, and the amount which has been paid up until now.

For further information, call us now, on +34 646168400, or info@afconsulting.es.

DEAR HOME OWNER......

Dear Home Owner,

         Many of you are probably already familiar with our firm, so if you are already a client of ours then you can ignore the first part of this letter and skip to the reminder in the second part, because we will have already taken care of your 2011 taxes.

If you are not familiar with us then please allow us to introduce ourselves, we are a firm of Lawyers who have been specialising in English speaking clients since the year 2000.  We are situated in Motril (Granada).  Although we offer our services mainly on the Costa Tropical (Albuñol, Castell de Ferro, Motril, Salobreña, Almuñecar, etc,..), we also have clients throughout the Provinces of  Granada, Jaén, Málaga and Almería. 

  The object of this letter is to inform all non resident home owners of their legal obligation to do their non resident 2011 tax return relating to their home.  2011 must be submitted by the 31st December 2012.

This obligation has been widely published in English speaking newspapers and magazines and if you have ignored it up to now, then we suggest you submit this year’s return, or run the risk of the tax office sending you a demand for the last four years instead of just one, this has been the case for a lot of people who have contacted us in a panic.  It is much better to approach the tax office rather than the tax office approaching you!!!  We are happy to assist anyone who wants to comply with their obligation but as we have said above this must be done before the 31st December 2012. Your phone call will be answered by a native speaking English person so you don’t have to worry if your Spanish is not too good and you will be given an appointment immediately.

          We would also like to take this opportunity to remind our present clients, and future clients, both residents and non residents, of the importance of having a Spanish Will.  No one likes to think about doing a Will, everyone puts it off, but when you own a property in Spain it is a really important to do one in order to make sure that you leave your property to the people you want to.  It would be  very unfair to leave your loved ones with such a problem, when you can put it right, quickly and economically.  Doing a Will only takes half an hour of your time, we take care of the rest!

         We also undertake every type of transaction that a client could possibly need, both residents and non residents, (CONVEYANCING IN BUYING AND SELLING OF HOUSES–APARTMENTS-LAND AND COMMERCIAL PROPERTY, WILLS AND INHERITANCE, REGISTRATION OF ALL TYPES OF PROPERTY, LITIGATION, TAX ADVICE, etc,..).

Yours most sincerely,                      

                                    FRANCISCO J. ORTEGA MORENO

                                                                                  LAWYER

Should I make a Spanish Will?

Having now settled into our new home in Spain, we are finally getting organised with all the paperwork … however, that doesn’t include Endesa yet  and we are still battling with telefonica, but hey that is all part of daily life in Spain!

This week we went to the notary to draw up a Spanish will for our possessions here. It is a very simple document but it means that, in the event of our death, our children and family will not be left with a bureaucratic nightmare … here we have explained the basics of Spanish law that relates to inheritance to give you something to think about…

The law in Spain relating to inheritance restricts the testator’s freedom to leave their assets to whoever they so wish. A Spanish national must follow the Law of Obligatory Heirs.

By Spanish law, following a death in Spain of a spouse, the remaining spouse retains all the assets acquired prior to marriage, half the assets acquired during marriage and any personal gifts or inherited assets given directly to the spouse.

The remaining assets are distributed according to the law of obligatory Spouses (Ley de Herederos Forzosos) which states the following:

- When a person, who has children, dies, their assets are divided into three equal parts:

• one third must be left, in equal parts, to the children
• one third must be left to the children, distributed as per the testators instructions. Any surviving spouse has a life interest in this third.
• one third may be distributed as per the testators instructions

-In the event of the death on one of the children, their children automatically inherit their share of the assets.

-In the event that the deceased has no children, and a surviving spouse, their parents have a statutory right to one third of the assets.

-In the event that the deceased has no children, nor surviving spouse, their surviving parents have a statutory right to half of the assets.

As an expat in Spain, if you draw up a Spanish will, you are permitted to distribute your assets as governed by the law in your home country. For British citizens in Spain, this means that our assets are distributed as per our instructions and to whom so ever we may chose.

So, although not obligatory, it is advisable to have a Spanish will for your Spanish assets. Making a Spanish will means that, in the event of your death, your assets can be distributed immediately, under local law and the lengthy probate process is avoided.

It is also worth noting that each autonomous community in Spain has its own laws regarding inheritance. It is possible to have a calculation made to discover what level of tax applies in your personal circumstance, that way leaving no unexpected surprises.

Provided that they are not contradictory, you may consider having a will drawn up in each country where you own a property and/or have considerable assets.

Making a Spanish will need not be a costly process. The act of making a Spanish will is a small investment that will save both time, money and un necessary complications in the long run. If you would like a no obligation quote, please contact us via info@afconsulting.esPrincipio del formulario

INDIGNACION. Sentencias increibles.

Desde aquí, quiero mostrar mi máxima indignación ante aquellos Jueces y Juezas que no hacen nada por ser tales. Resulta sorprendente, el poco grado de compromiso de algunos Jueces con los asuntos. Ser Juez, implica un grado de compromiso social y de compromiso consigo mismos, que implica dar el máximo en cada resolución, y no dedicarse a pasar por encima del asunto y literalmente quitarse de encima el "marrón" redactando una sentencia INCREÍBLE. Increíble, porque es imposible creer que una persona con la formación de Juez, pueda redactar algunas de las sentencias con las que nos encontramos día a día. Cuando se nos plantea un asunto, y en tu foro interno tienes claro que el asunto lo vas a ganar, la frustración que te provoca una sentencia mal redactada, un sentencia que denota una falta de estudio del asunto, una sentencia que hace florecer la desgana con que el Juez o Jueza  ejercen su trabajo, una sentencia que claramente es INJUSTA, se te quitan las ganas de seguir con este ingrato oficio. Se caen de golpe aquellas ideas de justicia que se nos inculcan en todas las fases de nuestra vida. Los clientes se topan con la realidad: NO EXISTE JUSTICIA. Lo que existe, por desgracia, es JUECES que tienen que impartir justicia, y en ese momento, salen a relucir como en todos los aspectos de la vida, LOS BUENOS Y LOS MALOS. Y por desgracia, HAY MALOS JUECES. Y hay MUY MALOS JUECES. Es así como lo siento.

Transfer Tax & Stamp Duty 2012

The Andalusia regional government (Junta de Andalucia) has introduced an increase on the Property Transfer Tax (ITP) and Stamp Duty (AJD), whish will be applied from January 1st 2012.

Transfer Tax for resale property purchases will now be calculated according to the following rates:

•  Any amount up to 400.000€ – 8% Transfer Tax
• Any amount between 400.000€ and 700.000€ – 9% Transfer Tax
• Any amount in excess of 700.000€ – 10% Transfer Tax

Transfer Tax applicable for a private parking space, when purchased as an independent property, will be based on the following rates:

• Any amount up to 30.000€ – 8% Transfer Tax
• Any amount between 30.000€ and 50.000€ – 9% Transfer Tax
• Any amount in excess of 50.000€ – 10% Transfer Tax

Please note that the Property Transfer Tax is not based on the property purchase price, but on the minimum fiscal value, which is regulated by the Junta de Andalucia. Should you have any query about this value, please do not hesitate to contact me.

 

Stamp Duty has also been increased from 1% to 1.2% and applies to brand new property purchases and mortgages, where Transfer Tax does not apply.

These taxes apply only for properties located within the region of Andalusia. For other areas, please do not hesitate to contact to me.

PROYECTO DE LEY. Amnistía para altas en el Catastro fuera de plazo.

El Partido Popular ha presentado una enmienda a la Ley de Medidas Tributarias que discute el Congreso para crear una amnistía a todo aquel que tenga un inmueble sin declarar al catastro o que haya realizado mejores y rehabilitaciones que no hayan sido incorporadas, podrán ahorrarse la sanción correspondiente a cambio de pagar 60 euros. Una amnistía que durará hasta 2016.
El PP justifica la enmienda argumentando que "existe una realidad inmobiliaria no declarada con el consiguiente perjuicio para las finanzas públicas" y añade que la lucha contra el fraude tributario "puede ser reforzada mediante la implementación de un plan de regularización catastral".
Este plan consiste en que cualquier persona que tenga un inmueble sin declarar en el Catastro o que no haya comunicado las obras de ampliación o mejora de su casa, pueda regularizar su situación sin tener que pagar las sanciones que prevé la ley. A cambio tendría que pagar 60 euros y los impuestos (IBI y IRPF) correspondientes a los últimos cuatro años. Pero se ahorraría una multa que puede llegar hasta los 6.000 euros.
Cuando el pleno del Congreso, con mayoría del PP, apruebe esta amnistía estará en vigor un año, aunque se aplicará de manera progresiva, de manera que todas las localidades se hayan beneficiado de él antes de 2017.

Comprobaciones de Valores.

Sin duda, la tan manida "crisis" está teniendo entre otras consecuencias, que diversos organismos de la Administración, cuenten con un tiempo que no tenían en la época de bonanza, para revisar determinados actos jurídicos. Entre estos organismos, nos encontramos con la Junta de Andalucía, Consejería de Economía y Hacienda, en su actividad de Comprobaciones de Valores en los Tributos que esta tiene cedidos. Con la bonanza económica, la capacidad de comprobación de valores de los actos inmobiliarios, se veía disminuida por la avalancha de operaciones que se realizaban,  no teniendo la Junta de Andalucía, tiempo material para poder revisar todas las operaciones que se liquidaban. Sin embargo, la escasa actividad a nivel de estos impuestos en la actualidad, ha tenido especialmente dos importantes consecuencias: primera, tienen más tiempo para poder revisar aquellos actos que aun no han prescrito y que antes incluso prescribían y quedaban sin ser revisados; y segunda, las necesidades de financiación de nuestra mastodóntica administración, les está llevando a tomar medidas y posiciones que hace unos años, no se llevaban a cabo.
Esta carencia de ingresos por parte de la Administración, está llevándonos a situaciones que rayan la legalidad, e incluso a situaciones que sobrepasan esa legalidad. Quiero incidir especialmente en dos de esas acciones que la Junta de Andalucía está llevando a cabo.

En primer lugar, se están sancionando aquellas herencias que están prescritas y que por tanto no tienen que pagar cantidad alguna, pero que sin embargo están siendo sancionadas por presentación fuera de plazo, con multas que normalmente rondan los 150€. No me llamaría la atención esta nueva actitud sancionadora, si siempre hubiese sido así. Pero lo que es indignante, es que es ahora, cuando la crisis aprieta, cuando se acuerdan de ello. Dicha sanción, tiene poca defensa, y por tanto, habrá que pagarla.

Y en segundo lugar, quisiera hacer especial mención, a la nueva postura adoptada por parte de innumerables Oficinas Liquidadoras y por la propia Junta de Andalucía, en sancionar en aquellos casos en que se presente una liquidación del impuesto por Transmisiones Patrimoniales Onerosas, y el valor declarado, sea inferior al precio que se tendría que pagar a efectos del Impuesto de Patrimonio. Resumiendo, la situación más habitual se da en aquellos casos en que el precio de la venta, es inferior al valor catastral del bien. Pues bien, en estos casos, la Junta de Andalucía está sancionando, haciendo una retorcida interpretación de las Leyes Tributarias, con un claro carácter confiscatorio. Desde aquí, os animo a que os reveléis, puesto que esto, si que es recurrible, y si que es defendible.¿No hay nadie en la Junta de Andalucía que entienda que se están produciendo ventas de inmuebles a precios que están por debajo del Valor Catastral? ¿Como puede estar la Junta de Andalucía viviendo en los mundos de yupi y no acercarse a la realidad cotidiana, donde esta crisis está teniendo como consecuencia que se están vendiendo inmuebles a un precio muy inferior al catastral, sin suponer esto ningún tipo de fraude o actitud susceptible de ser sancionada?
Ya son bastantes las reclamaciones que hemos interpuesto para nuestros clientes, y os animamos a atacarlas, puesto que son de dudosa legalidad, y confiamos que en la sede del Tribunal Económico Administrativo, y si no, en los JUZGADOS CONTENCIOSOS ADMINISTRATIVOS, nos den la razón.