Moving Abroad? (1 Viewer)

[Yorick]

We plan to move to Lanzarote in a couple of years and wondering if we become non-domicile or whatever it is.

We would like to keep the benefits of UK life such as NHS etc, but not sure if we will be exempt.

We're gonna sell our main home and keep a couple of flats rented out for income.

If we have no main home, does our situation change ? Could we put one of the flats as our main home ?


What are the implications either way ?


All advice gratefully received

 

[DBK]

This might be useful: http://www.which.co.uk/money/retirement/guides/retiring-abroad/
But there are lots of other stuff on the web.

 

[Hollyberry]

As soon as you notify any UK authority you've left your NHS entitlement cuts off and you will receive a letter to that effect.
You are able to have emergency hospital treatment in the UK if you are visiting but officially cannot have any ongoing treatment or a G.P until you've been back in the U.K 12 months ( used to be 6 months)

You can still contribute to your state pension. You ask to make voluntary contributions which I did as a lump sum every year. If you already have a pension that just goes on being paid. There used to be a rule that if you moved outside the EU you didn't get pension raises but not sure if that still applies.

Once you live in Lanzarote ( or France, Cyprus, wherever) you become liable for income tax in that country and will fill in a tax return every year.
Income from properties rented out in your home country becomes blurred! If you use an Agent they have to deduct income tax on your behalf and pay you the remainder BUT they will direct you to a form you complete and send off to a UK tax office ( it's easier than it sounds) which then allows you to keep the whole rent paid. Now, UK will say the properties are in the UK so you pay tax here. The country you live in will say you live here, that's your income, pay us the tax! Each will shrug their shoulders if you end up paying to both.

I'd advise, from experience, get a locall accountant to do your foreign tax return first year, then do it yourself after that if it's straightforward.
Tax limits can be more generous abroad--especially if there are 2 of you.

But you could just go on a very long holiday and not tell anyone........

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[Yorick]

Thanks for some great advice on what was my next question.

But what decides if I live here ? Rented out flat ? House ?

How will I know when I have left ?

 

[spitfire]

Six months and one day resident in an EU country and you become resident for tax purposes. Does on have to be successive . Just add up to in the year .

 

[TheBig1]

in essence you will become an absentee landlord who is registered in another country. tax will be payable in both countries. when you are longer living in the uk or of no fixed abode, then you are no longer valid on the electoral register.

plenty of people do it and manage but there is always going to be a lot of hoops to jump through

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[Yorick]

Six months and one day resident in an EU country and you become resident for tax purposes. Does on have to be successive . Just add up to in the year .

Lanzatote isn't in the EU.

This is getting a bit confusing

 

[BreweryDave]

I'm sure lanzatotte will only be your 'holiday' home - you still have property in the uk - nudge nudge wink wink!

 

[spitfire]

You are correct but when applying for residency in Lanzarote you are given the paper which gives the right to live in Spain which is !

Broken Link Removed

You are correct confusing !

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[spitfire]

I'm sure lanzatotte will only be your 'holiday' home - you still have property in the uk - nudge nudge wink wink!

There are those who have done this here in France but slowly the noose has closed .

 

[DBK]

Lanzatote isn't in the EU.

This is getting a bit confusing

Lanzerote is part of Spain and therefore part of the EU. They use the Euro. However, it has kept its duty free status I believe, but that only covers booze and fags taken out of the island.

 

[Barclaybasher]

I lived in Majorca for a couple of years, many moons ago, when I came back people asked 'WHY?'

My answer was - yes it's a great place - but you get fed up of strawberries if you eat them everyday - if that makes sense.

I would advise anyone to go and try living somewhere else but not to burn your bridges.

All sorts of things come in to play - homesickness - health - family, after a year or two the place may not seem the same as the dream - but try it anyway

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[DBK]

It was interesting when a couple of days ago there was discussion here about moving to France, quite a few of the replies came from people who had lived in France but had now moved back to the UK.

 

[spitfire]

Is the same moving to any other country . Some settle , some don't . I also think the rate of exchange affects people . The euro strengthened and so if you were on a tight budget then things were hard.

We have lived here for 10 years and so far have no wish to return to the UK but everyone is different but I would always advise people to give it a go.

Never leave this life with regrets of things you wish you had done

 

[Yorick]

We are gonna live there for a couple of years before we buy a house there. Then sell one of our properties here every few years.

We can live here and work till 65. Or retire next year at 55 and have a nice villa with pool, by the sea.

I don't wanna work 10 more years.

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[Hollyberry]

I would also advise dont burn your bridges, as long as you have a property here, you can always come back more easily.
if my partner was still alive, we'd still be in France. We were our own family unit and could easily visit children/his elderly mum and so on.
You never know when or how your life will change but I'm a great believer in grabbing opportunities while you can.
And all the admin, paperwork etc.. is taken far more seriously by Brits than anyone else. It can be done, 1000s have before you so problems can be overcome.
Try googling AngloInfo Lanzarote. Ex pat forums are numerous and you can always get answers from people there.