Can I register as self-employed for just a couple of months a year?

This is one of the asked questions by our clients and we are going to try to give a proper answer.

If it’s not worth your while paying your Social Security contributions the whole year round, it is possible to register only for the months you work. This could be the case for self-employed language teachers, or for people employed in seasonal activities such as tourism.

What happens if I’m not registered as self-employed and I get caught?

If you don’t register as self-employed when you should, and you are caught, you will have to pay all of your outstanding contributions since you first started working for yourself, along with a 20 percent fine, with interest. And remember, having registered with the tax office will not make a difference. You have one month to regularize your situation as a self-employed worker after registering with the IAE.

Can I bill clients without being registered as self-employed?

“Being registered with the tax office is obligatory if you want to issue any kind of commercial document,”. So if a client asks you for an invoice, you will have to register your specific activity with the tax office – this is called the impuesto de actividades económicas (IAE), or tax on economic activities. This doesn’t cost anything and doesn’t mean you are registering as self-employed – which is done at your local Social Security office.

When should you register as self-employed in Spain?

Have you been offered occasional work in Spain and you’re not sure what to do regarding tax and social security? Have you been offered regular work with a Spanish firm outside of your regular job? If you have, then you might have asked yourself if you need to register as self-employed, or autónomo, as it is called in Spain. And you might also have wondered whether, if you have to pay tax and social security on what you earn, it’s really worth taking it.

Spanish Social Security system now has 527,335 more workers than in 2014

The General Regime grew by 2,317 people (0.02%), with noteworthy growth in Education (up 24,859 people), Trade and Repair of Motor Vehicles (up 19,585 people), Construction, (up 9,770) and Manufacturing Industry (up 8,362 people).

The Special System for Agricultural Workers posted an increase of 17,936 contributors (up 2.4%), to stand at a total of 766,182 average contributors. The Special System for Domestic Workers grew by 1,818 contributors (up 0.42%) to stand at a total of 429,897 workers.

In contrast, the greatest decline was posted in the Hotel and Catering Sector, with 85,884 fewer contributors in November.

THINKING ABOUT MOVING TO ANOTHER COUNTRY?

In a previous article we explained the necessary requirements to become fiscal resident in Spain and the most significant was living in Spain for more than 183 days in a year, but what happens if you want to comeback to your country or going to a different country than Spain for living? 

Are deductible Christmas dinners and Christmas hampers?

Christmas time is almost here and in this time of the year many companies celebrate Christmas lunchs or Christmas dinners with their employees and there are still companies that give their employees a basket full of food and drink as a gift.Companies will ask the suppliers for an invoice to deduct the expenditure but is correct the deduction of such expenses?

Spanish Tax Office signs tax information exchange agreement with Isle of Man

This exchange extends to the information held by banks, other financial institutions and any individual acting as a representative or trustee. It also covers information relating to the legal owner and effective beneficiary of companies.

The agreement falls in line with those signed in November with the representatives for Guernsey and Jersey at the Spanish Embassy in London. These agreements were made possible after the United Kingdom authorised the three British Crown Dependencies to negotiate and sign them on their own behalf.

Unemployment Benefits for Self-employed People

Can't believe there was a time when self-employment people couldn't get unemployment benefits but since August 2010, self-employed people (known in Spain as “autonomos”) can perceive unemployment benefits. The protection system gives access to unemployment benefits for a maximum period of 12 months and 70% of the base. Law 32/2010, of August 5, did justice to one of the oldest demands for self-employed : to collect unemployment benefits. Finally established and a 3 years after its adoption continues to generate some questions that we will try to solve.

CONVEYANCING: NON RESIDENT SELLING A PROPERTY IN SPAIN

At this moment, many people are thinking in Selling their property in Spain and coming back to their country or to face the purchase of another holiday home. Today we are knowing more about the process and costs involved in the selling of a house. 

Thinking on the mainly taxes and costs, the fiscal law for Non Residents sellers obliges the buyers to keep the 3% retention of the selling price to pay it to the tax office in behalf of the sellers as an advanced payment of the Capital gains tax.

HIRING WORKERS? DO NOT FORGET ABOUT THE HEALTH AND SAFETY AT WORK

Today we will talk about the obligation to carry out the Health and Safety at Work prevention (HSW) by the self-employed or companies. The Law 31/1995 states among other things that as entrepreneurs, exist the obligations to:

• Take the necessary measures for the protection of workers
• Inform and train workers regarding the HSW.
• To act facing an emergency situation and facing serious and imminent risk .
• Monitoring the health of their workers.
• Establish an organization and tools for prevention.