Tax in Spain

When buying or inheriting a property, the owner may be subject to a value assessment by the Tax Authorities, to check that they are paying enough tax for the property.

In Spain, as a taxpayer, one of our duties is to inform the Spanish tax authorities of our tax address if it changes.

The President of the Xunta de Galicia, Alfonso Rueda, announced, in the Debate on the State of the Autonomy, that his Government will reduce the Property Transfer Tax to 8% from 2024 and will automatically grant the "Tarxeta Benvida" to all households that meet the income requirements without needin

The president of the Generalitat Valenciana, Carlos Mazón, announced that the preliminary draft of the law accompanying the 2024 Budget includes tax relief for health and sports expenses and reduced Property Transfer Tax for buying a home, mainly for young people, but also for large families and gen

The exemption for reinvestment in a primary residence is a tax benefit widely used by taxpayers in Personal Income Tax (IRPF).

The entry into force of the new Cadastral reference value (contemplated in Spanish Law 11/2021 on measures to prevent and combat tax fraud) has ended one of the controversies that taxpayers had with the Treasury under the previous regulations.

This Monday, the Canary Islands Council of Government approved the 99.9% rebate on Inheritance and Gift Tax, meaning that it will cease to receive some €18 million per year.

When you decide to buy a house, you must remember that, apart from the price agreed with the seller, you will also have to pay a series of taxes associated with the transaction. When buying a used home, the most notable tax is the Property Transfer Tax (ITP by its acronym in Spanish).

In 2015, Spain introduced a special tax regime for wealthy EU expatriates that relocate to Spain.

It appears that Madrid could follow other Spanish tourist destinations in adopting the controversial tourist tax, which will require visitors to pay an extra charge for each night they spend in the city.

Stamp Duty (known in Spain as AJD or Impuesto de Actos Jurídicos Documentados) is one of the taxes associated with the purchase and sale of a property in Spain.

The income received from renting a property in Spain is taxed for personal income tax purposes as real estate capital. However, many people rent under the table – without a contract – to avoid paying the tax office.

If you're thinking of selling a house in Spain, there are several taxes and costs that you have to keep in mind.

The Spanish Government has released the calendar of dates that apply to the 2022/2023 income tax return campaign, commonly known as the "Declaración de la renta". Residents in Spain are obliged to declare their income, and income tax is known as "Renta de las Personas Fisicas" (IRPF).

When selling property in Spain, there are several taxes that have to be considered.

Unbeknownst to most people, Spain has passed legislation on the matter of taxation on Crypto Currency.

On selling property in Spain, you are liable for two taxes: Capital Gains Tax (CGT) Plusvalia tax. The first tax is national and set by the government. The second one, is a devolved competency to municipalities (read town halls).

The Spanish Government has confirmed the forthcoming tax changes, which are based on a general reduction in personal income tax for low incomes and more taxes on large estates.

In what constitutes the sixth wave of tax reductions in Andalusia (mamacita), its president, Mr.

Summer is the time of year when we tend to spend the most time in our second homes, whether on the beach or in the mountains.

The Supreme Court has recognised the retroactive effect of the nullity of penalties imposed by Hacienda, the Spanish Treasury, on individuals who have not declared their assets and rights located abroad, the so-called Modelo 720 tax form. The Second Section of the Third Chamber of the Supreme Court

Spain once again comes out at the top of a ranking, but arguably for all the wrong reasons.

As a gentle reminder, we explained in detail what this tax form is in a previous article: Modelo 720 – Tax form 720 – 20th January 2021 Basically, if you are tax resident in Spain and hold over 50,000 euros abroad in either real estate, bank savings or investments you are under a legal obligation t

The Court of Justice of the European Union (CJEU) has finally ruled on the famous modelo 720, a financial declaration to be made by taxpayers who have assets abroad, such as accounts, real estate, or securities.

As we had published in idealista previously (Andalusia lowers taxes, including Property Transfer Tax and Stamp Duty -13th May 2021), Andalusia slashed its taxes on buying property (both on resale and off-plan property) in a bid to combat the adverse effects of Covid-19 in the economy.