Answer from our volunteer tax advisor Philip Carroll, on a question on our facebook group.
All interest including ISA’s is declarable and taxable in Spain. Upto the 12th June 2014 you could offset the tax you paid in the UK but only upto 12%, and you should then reclaim the rest from HMRC. From 12th June onwards it is all taxable in Spain under the DTA and you should seek a refund from HMRC.
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