IS THE PRIZE DRAW LEGAL?

Yes, this kind of raffle is legal in Cyprus. Cyprus is an official member state of the European Union and provides the needed jurisdiction. The organizer, Solucion Life Ltd is a cypriot company.

WHAT IS THE WINNER LIABLE FOR?

Many interested participants have asked us about the costs that might occur for the winner of this prize. Much confusion has arisen with respect to the real state prize-draw and taxes on winnings. Further insecurity has also been created among participants by many comments that are simply not based on facts, although they claim to be so.

In the case of prize-draws which, like this one, take place on Cyprus, we have to differentiate between duties to be paid by the raffle organizer and the taxes to be paid by the winner.

In the case of prize-draws which, like this one, take place on Cyprus, we have to differentiate between duties to be paid by the raffle organizer, additional duties to be paid voluntarily by the raffle organizers (including, for example, property transfer tax) and the taxes to be paid by the winner.

1.    Duties payable in Cyprus:
The tax totals 15% of the overall value of the raffle, and is payable by the organizers of the raffle.

2.    Tax on winnings Spanish IRPF:
The 18% tax on winnings is due in Spain on the gains constituted by the property offered as the prize, and is payable by the organizer of the event.

3.    Spanish property-transfer tax:
The prize draw actually takes place on Cyprus, although the property is transferred to the winner and inscribed in the land registry of Almeria, with 7% property-transfer tax due on the market value of the property, which is paid along with the corresponding notary and lawyers fees by the organizer of the raffle

Anyway the winner won´t be worry about anything because the organizer will pay ALL the costs and taxes of both, including the spanish notary, lawyers, taxes in Spain and Cyprus and the winner travel to Spain. YOU WILL NOT HAVE TO PAY NOTHING AT ALL IF YOU BELONG THE WINNER.