OZONE - OWNERS ZONE
Accurate Information, Support, Guidance

Contents

THE NEW LETTING LAWS - Did your Community tell YOU what's going on?
TAXES - It not much, so pay it - Don't let the big fines add up.
COMMUNITY FEES - Do you think you are paying too much.
PRICE WATCH - Current Holiday and Long Let prices.

The New Letting Laws

They were a disaster in mainland Spain, they have been rejected by Gran Canaria.


You DO NOT HAVE TO vote for an Exploiter for your complex!

Apartment owners have been told by various parties with vested interests 'You cannot rent your apartment privately after July 1st 1997'. 'To rent your apartment, you must rent it through me' etc, etc. THIS IS RUBBISH, examples of mis-information designed to coerce owners into voting for a particular 'Sole Exploiter'.

ACCORDING TO THE EEC Exploiters are for 'Retailing' your property.

In a letter answering an Owner's request for clear information, the Spanish Representative to the EEC, Sr Manuel Medina Ortega says Non-exploited complexes will be 'deemed residential' and as such 'there is no room for the Authorities to intervene'. Owners 'may lease' their apartment to 'family and friends' and 'friends of family'

THE NEW LAWS - Why and when they are they needed?

The new laws are designed to stop owners from Retailing their apartments 'on the open market' (for example by Advertising by paper, Teletext, of via Tour Operators and Travel Agents). If you are 'Retailing' your apartment, the Laws make sense. As a retailed holiday product, your apartment must meet internationally agreed standards for Safety, Quality and Consumer Protection.

THE NEW LAWS - How will they work?

Well, once it's in place, the tourist authorities will have exactly what all beaurocratic organisations seek - effective control and a simple mechanism to excercise it with. Note that -
a) By allowing only one 'Sole Exploiter' for each complex, the Tourist Authority (TA) need only communicate it's directives to a limited number of people.
b) Once established, history and experience tell us that there will be a constant issue of rules and 'guidelines' to the exploiter.
c) The Taxing and Control of Tourism will certainly follow the pattern as the rest of Europe - More taxes, More Control.

WHO PAYS for the new 'minimum' standards the Exploiter must provide.

Well, I think we can safely presume that in most instances, the starting directives will typically involve 'small' items such as further Fire Extinguishers, Disabled ramps, vast areas requiring non-slip resurfacing - quickly followed by extra Cleaners and other staff, and so on. I bet we can also presume that in most cases, the Exploiter will endeavour to pass these on directly to the Community, paid for, via increases in Community fees, by the Owner.

Are we against Exploitation ? - If it exploits the Owner - YES

Exploitation of the Owner

NO - I'm going to take a lot of convincing that voting for exploitation is good for me, the owner. All I can see is massive increases in running costs. Erosion of my properties value. By the time the modernised tax system sifts the Exploiters accounts and allocates your tax liability - I suspect that many will not believe how poor their return is on their £50K-£100K property investment.

There seems to be a host of good long term reasons why you should resist allowing your complex to become exploited. There seem to be very few good reasons for wanting a Exploitation company, making it's own profits at the expense Owners, who are simply subsidising many of their commercial operating costs.

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TAXES

Taxes for NON-RESIDENT and NON--LETTING Property Owners

You will need to pay your annual Income Tax & Wealth Tax on Form 214.

For Income tax, you need to know -

The Calculation is

(Rateable Value) x (Taxable Fraction) x (Tax Rate)


Example where your Rates have been Updated (use the the 1.1% fraction)

5,000,000 x 0.011 x 0.25 = 13,750 ptas


Example your Rates have Not been updated, (using the 2% fraction)

5,000,000 x 0.02 x 0.25 = 25,000 ptas



Taxes for NON-RESIDENT and LETTING Property Owners

You need to pay Income Tax & Wealth Tax on Form 210

This page is still Under Construction.


Taxes for RESIDENT, NON LETTING Property Owners

Under Construction


Taxes for RESIDENT and LETTING Property Owners

Under Construction




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Community Fees

Are your community fees excessive ? Tell me. eMail me with what vital information you would like to see. We would be pleased to here from YOU. ashton@atlantis.es

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PRICE WATCH

Just a few current 'self-catering' prices to keep you informed, obviously a price range is given, as prices vary considerably with quality and location of apartment

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