Income tax in Spain for non-residents. Taxation for owning a property in Spain.

In the event that you are non fiscal resident in Spain and own a real estate in Spanish territory, you will have to file a tax return on Non-resident Income Tax. It is a self-assessment tax return that all non-resident taxpayers in Spain, who own a real estate in this country, must present, yearly, to the Spanish Agency of Tax Administration.

When the property has been acquired by a married couple, or by more than one person, each person is an independent taxpayer and must file an individual Spanish Income Tax form.

Depending on the use of the property, the Income Tax in Spain will be calculated as follows:

– Calculation of the income, considering the exclusive personal use of the owners. A determined rate is applied on the cadastral value of the property.

– Calculation of the income in case the property is rented out: the rental price without the deduction of any costs will be taken into account.

In both cases, for European non-residents, the rate to be applied in 2016 is 24%.

Wealth tax in Spain.

Since 2011, the Wealth Tax in Spain has been reactivated for natural persons with equity of more than 700,000 €.

Spanish Wealth Tax is a progressive tax based on the value of your equity and an applicable rate from 0.2% to 2.5%. The rate may vary from an autonomous community where the rights and assets are situated.

As an example, a property with a value of 1,000,000 € would pay an approximate sum of 733 €, as follows:

EUR 1,000,000
Less than  700,000   Exempt
EUR 300,000  Amount subject to Wealth Tax
To EUR 167,129.45  334.26 (0.2%).
Rest EUR 132,870.55 398.61 (0.3%).
TOTAL 732.98

Find out more about the Income Tax for non-residents and Wealth Tax by contacting us now.

Welex: Legal and tax experts in spain.

At Welex, we guarantee professional and personalised service. All our lawyers, economists and accountants have years of experience in their range of legal areas, which they put at your disposal with a view towards dealing swiftly and efficiently with your issues.

Contact our Spanish law firm in Marbella without any commitment. We will be keen to help and explain to you clearly and precisely the best tailor-made solutions to your doubts and issues.

From Marbella, we offer a professional and rigorous service throughout the whole of Spain. Offering high-quality service is our commitment.

Our tax lawyers in Marbella are always committed to legal excellence.

Obtain more information as our firm in Spain has a specific website about accountancy and tax.


Do you need legal advice about a property in Spain?

Welex has a team of professionals, composed, among others, of lawyers and economists, experts in the purchase and sale of real estate, both in the legal and fiscal sides of the transaction. Clarify your doubts, do not wait to ask for advice. Contact our offices without any commitment, we will be willing to help you.


Related posts

  • Savings tax rates and taxation in Spain

Savings tax rates in Spain

Do you live in Spain and are you looking to find out more about the ins and outs of taxation on savings? From Welex, your guide and tax advisor in this country, we are pleased [...]