Hi all, I am abritish pilot working in Madrid and have got some answers for you. If you have not worked in Spain before (or las 10 ears I think) you can apply for what they call here 'Beckhams Law' yes he did something right!
This rule allows a non-spanish immigrant to apply to be treated as a non resident for tax purposes for a 5 year period. During that time you only pay 24% tax on your total spanish income.
After that time you revert to normal spanish tax laws, yes a top rate of 45% for more than 45000 euros, wealth tax, and the rest on your worldwide earnings and holdings.
I applied for the beckhams law status in November, but this being spain I have had no reply yet - you get used to that!
The other thing to check is how often you get paid, Spanish custom is to divide your pay into 14 equal payments, with two given in July and december. This is actually quite a nice way of getting your cash, well it is for me, saves me having to remember to save for the holiday each month.
You will also pay Spanish social security, for me on 100000€ thats about 200 per month.
Oh, and the weather's nice, the people are great and in general it is cheaper to live here than the UK.
Good luck with your decision, I haven't regretted mine so far!!
