Member at the Atlantic view club in Lanzarote, have been informed by the club management that there club is facing being reposed by the tax authorities. Due to a tax assessment that had been filed against the Argonaut Ltd, the company that owns Atlantic View Club Resort.
It appears that the holding company for Atlantic View Club (Argonaut Ltd) has an Embargo under tax assessment and money due. This means the whole resort will be auctioned unless the tax is paid before the deadline. In Spain the power of an embargo totally closes everything down with immediate effect bank accounts, premises etc.
A request has been made by the club management to all owners to help pay this tax assessment and prevent the resort being auctioned off. (Why can’t Argonaut Ltd pay their own bills?)
Communication from the club management explained that they had now heard from the Lawyers concerning the court case regarding the tax situation (something the member were privy to from the 2015 AGM of the Club)
To pay this due amount the Club estimate that members would need to pay a once-off payment of 850 Euros per week owned. This would need to be collected by the Club & then be paid directly to the Tax Offices, whereby the embargo would be lifted and the club would carry on.
Failure to raise this money will result in the Atlantic View Club ceasing and the apartments being sold by the Spanish Tax Authorities to cover the outstanding tax liabilities in accordance with the high court ruling.
If the total payment collected from the members is not sufficient to pay this tax liability, then the Club will return the payments to the relevant members who have made their payment.
Due to the severity of the above, the Atlantic View Club has decided to call an EGM (Extraordinary General Meeting) to be held on the 10th April 2016 at 11:00 hrs at the Atlantic View Resort Lanzarote.
It is recommended that all members attend and the decision of the court will be explained, although it is felt that this demand from the Tax Authority is totally illegal and should have never been allowed by the Spanish justice system.
The lawyers representing the Club has stated that “After studying the situation, Our opinion is that at this point of the procedure there is no legal ground to suspend the enforced tax collection procedure. And that the best course of action in this sense is to pay the amount claimed and if the case was eventually won, the amount would be reimbursed plus interests”.
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk