Moving from the U.S. to Spain: Tax and Estate Planning

Moving from the U.S. to Spain can raise tax and estate-planning questions in both countries. In this episode of Under the Basswood Tree, Chris Klug and Meritxell Mont discuss what U.S. individuals should consider before relocating to Spain. The conversation covers Spanish tax residency, worldwide income, regional differences in taxation, wealth and solidarity taxes, foreign asset reporting, and the interaction between U.S. and Spanish tax obligations. They also examine how Spain may treat U.S. trusts and discuss wills, inheritance tax, and cross-border estate planning. The episode is relevant to U.S. individuals and families considering a move to Spain and seeking to understand the planning issues that may arise before and after relocation. Explore the key topics covered in this episode using the timestamps below: 00:00 – Introduction: Moving from the U.S. to Spain 01:25 – Tax Planning and Residency Rules Before Moving to Spain 07:18 – Worldwide Income Taxation and the U.S.–Spain Tax Treaty 10:33 – Tax Filing Deadlines and Foreign Tax Credits 13:06 – Spanish Income Tax Rates and Regional Tax Differences 17:44 – Foreign Asset Reporting and Spain’s Form 720 19:00 – Wealth Tax, Solidarity Tax, and Regional Tax Planning 23:35 – Spain’s Beckham Law: Special Tax Benefits for Relocating Professionals 26:00 – How Spain Treats U.S. Trusts 29:21 – Cross-Border Estate Planning and Spanish Inheritance Tax 32:19 – Transferring Assets and Coordinating Wills Across Borders 36:48 – Key Estate Planning Considerations and Final Takeaways