Frequently Asked Questions

IberianTax is an online service that assists non-resident property owners in Spain to file and pay their taxes online. We offer a simple and cheap way to file Form 210 which is used to declare imputed income, rental income or capital gains tax

IberianTax is a trusted company fully recognised by the Spanish tax authorities and with a strong track record of customer satisfaction. We have received numerous customer reviews on Google, and we are proud to maintain an excellent rating of 5 out of 5 stars based on hundreds of reviews. We take pride in being a trusted partner for our clients, providing a simple and secure platform to file and pay non-resident taxes with confidence.

Definitely! We take the protection of your data very seriously. Your personal data is stored and used in a secure way. We collect only what we need to prepare your tax returns. We will never sell your data or use it for a purpose different from filing your tax.

IberianTax does not have access to your bank account. We only need your bank details if you choose to pay your tax by direct debit. In that case, we will require your bank details to include them in the relevant tax form.

Getting started with IberianTax is easy. All you need is your email address to create an account. Once you have an account, you can begin filing your non-resident tax by completing our simple questionnaire.

The charges to submit your tax returns with IberianTax depend on the type of income being declared and the number of owners. Prices for different tax types are listed here, and all prices are inclusive of VAT.

The non-resident tax, also known as the "Impuesto sobre la Renta de No Residentes" (IRNR) in Spanish, is a tax imposed on individuals and companies who are not considered tax residents in Spain but earn income within the country. Non-resident individuals are subject to different tax rules than tax residents, and the non-resident tax is applicable to specific types of income earned in Spain.
The non-resident tax applies to various types of income, including rental income from Spanish properties, imputed income from owning vacant properties, capital gains from the sale of Spanish properties, dividends and interest received from Spanish sources, and other types of income earned in Spain.

Yes, as a non-resident property owner in Spain, you are required to pay tax on either the profit made from renting out the property or on the imputed and/or deemed income whether the property is for personal use or empty.

Yes, you are still liable for imputed income tax. Non-resident property owners must declare an "Imputed Income" on their Spanish property every year, even if they do not generate any income from the property.

The tax rate for non-residents in Spain is generally 24%. However, for residents of EU member states, Norway, Iceland, and Liechtenstein, there is a reduced tax rate of 19%

The deadline for submitting the non-resident tax return (Modelo 210) to report imputed income is typically by December 31st of the year following the tax year. For instance, the deadline for the 2022 tax year is December 31st, 2023.

Up until the 2023 tax year, rental income needed to be declared quarterly. The declarations for rental income were required within the first 20 days after the end of each quarter: by April 20th for the first quarter, July 20th for the second quarter, October 20th for the third quarter, and January 20th for the fourth quarter, concerning the income earned in the preceding quarter.

Starting from the 2024 tax year, the reporting of rental income has shifted to an annual basis. The declaration for rental income earned during a given tax year must now be submitted between January 1st and January 20th of the following year. For example, rental income earned during the 2024 tax year should be reported by January 20th, 2025.

For not rented properties, the imputed income is the result of applying an imputed percentage of 1.1% or 2% on the cadastral value of the property (“Valor Catastral”). The final percentage depends on the last cadastral value revision that has taken place in the municipality where the property is located.
The tax rate is 19% for EU tax residents and 24% for the rest. Tax residents in the UK can claim the 19% rate until the tax year 2020.

The 1.1% for imputed income in Spain only applies when the last general collective revision of cadastral values of the municipality took place within the past ten years. If the last general revision occurred more than ten years ago, then the applicable percentage for imputed income is 2% of the cadastral value. It is important to note that individual revisions of the cadastral value of the property do not have an impact on the applicable percentage.
You can find information about the year of the last general collective revision of cadastral values on the Catastro website. Additionally, you can use IberianTax's tax tool, which is fully up-to-date and accurate, to calculate your tax obligations, including the correct applicable percentage for imputed income. As a registered collaborator of the tax office, IberianTax ensures secure and reliable tax filings, providing you with peace of mind when filing your taxes online for non-resident property ownership in Spain.

The cadastral value (Valor Catastral) and the cadastral reference (Referencia Catastral) are vital details for the non-resident tax and can be found in several documents related to your property. Here's where you can locate them:

IBI Receipt (Local Property Tax): the IBI, or "Impuesto sobre Bienes Inmuebles," is a local tax that property owners are required to pay each year. It is issued by the local authority (Ayuntamiento) or a designated local entity such as Patronato de Recaudación, SUMA, etc., depending on your property's location. The IBI receipt clearly states the cadastral value and reference.

Given that the IBI receipt is issued annually and reflects the most current cadastral value, it is advisable to consult this document regularly for the latest cadastral information.

Bank Receipt for the IBI Payment: If you pay the IBI through a bank, the receipt usually contains a specific code that allows you to download the official IBI receipt from the regional tax office's website, where the cadastral value and reference are listed.

Purchase Deed (Escritura): Typically, towards the end of the purchase deed document, there's a section dedicated to Catastro information. Here, you'll find the Cadastral Value and Reference listed.

Catastro Website: Additionally, you can find the cadastral value and reference directly from the Catastro website, provided you hold a Spanish electronic certificate.

If the garage has its own local tax receipt (IBI) you will need to file a separate tax return for that property. According to the Spanish tax legislation, non-residents must file as many Forms 210 as properties and owners.

Yes, even if you did not generate any rental income from your property, as a non-resident property owner, you are still required to declare an "Imputed Income" on your Spanish property every year. The Spanish tax law mandates the filing of an annual tax return to declare a deemed or "imputed" income on the property for the days during which the property has not been rented out during the calendar year. In other words, the Spanish tax legislation assumes that any property that is not the habitual home is likely to generate income, and thus, an imputed income needs to be declared.
The latter is also applicable to parking spaces and storage rooms.
This imputed income is accrued once a year, typically on 31st December. The annual tax return for non-rented properties must be submitted the following year and no later than 31st December. For example, imputed income accrued on 31st December 2022 must be declared within the year 2023.
If the property is partially rented, the imputed income should be declared proportionally.

Here you will find the most common situations where non-residents have to declare an “imputed income”.
Examples:

• John owns a property in Lanzarote, which was used for only two months of the 2022 calendar year. For the rest of the year, the property remained empty. John will have to declare an imputed income for the property since it was at his disposal and not rented for the entire 2022 calendar year, regardless of whether the property was used or not. The tax return for the 2022 calendar year must be filed within 2023.
• Petra and Markus spent 30 days in their second home in Mallorca. For the rest of the year, the property was rented out. They will have to declare in 2022 an imputed income for 30 days, that is during the period where the house was not rented. In addition, in 2021, they have to declare the rental income quarterly.
• In 2022, Petra and Markus spent 30 days in their second home in Mallorca. For the rest of the year, the property was rented out. They will have to declare an imputed income for 30 days, which represents the period when the house was not rented. Additionally, in 2022, they have to declare the rental income quarterly.
• Mats purchased a property in Marbella on 15th November 2022. He did not rent the property nor use it until the end of the year. Mats must report an Imputed Income in 2023, covering the period from the purchase date to 31st December.
• Paul sold his property on 5th March 2023. Does he have to declare Imputed Income? Yes, in 2024 he must report an imputed income for the days during which the property was at his disposal in 2023, that is, from 1st January 2023 to 5th March 2023.

Yes, rental income is subject to taxation in Spain.

No, if your property was not rented out during a specific quarter, you are not required to file a quarterly tax return for that period. The obligation to file a quarterly tax return (Form 210) is only applicable when there is rental income to report during the respective quarter. Therefore, absence of rental activity for any quarter means you do not need to submit a Form 210 for rental income during that time.
However, it's crucial to remember that the days your property was not rented still need to be accounted for in terms of "imputed income." Regardless of rental activity, non-resident property owners must declare imputed income for the periods their property was available for personal use or remained vacant. This is done through an annual tax return filed in the subsequent year using Form 210.
Recent Changes to Filing Requirements: Starting from the 2024 tax year, the procedure for declaring rental income will shift from a quarterly to an annual basis. This change means that, for the tax year 2024 and onwards, you will only need to file once annually for any rental income earned throughout the year. The deadline for this annual declaration is between January 1st and January 20th of the following year.

Allowable expenses may include local taxes, house insurance premiums, maintenance, repairs, property management fees, and more. Only residents in the EU, Norway, Iceland and Liechtenstein are allowed to offset expenses from rental income.

In most cases, you do not need to send invoices of the deductions you want to make for rental income when filing your tax return. The Spanish tax authorities typically do not require taxpayers to include invoices or supporting documents with their tax return. However, it is essential to keep all relevant invoices and receipts in case the tax office requests them for verification or audit purposes.

As a non-resident property owner in Spain, you can claim depreciation as an expense when calculating your taxable rental income. By deducting depreciation from your rental income, you can reduce your overall tax liability on the rental income generated from the property. It is important to point out that depreciation costs can only be done proportionally to the number of rental days.

As a non-resident property owner in Spain who partially rents out your property, your filing requirements will vary based on the mix of rental income and imputed income for the property. Each type of income necessitates a separate Form 210 filing.

Example:

Consider Paul, a non-resident property owner, as a case study to clarify these requirements:

For Rental Income Until the 2023 Tax Year:

• Form 210 for the First Quarter of 2023: Paul declares rental income earned from January to March. This Form 210 is due within the first 20 days of April 2023.
• Form 210 for the Third Quarter of 2023: Paul declares rental income earned from July to September. This Form 210 is due within the first 20 days of October 2023.

For Imputed Income:

• Regardless of the year, Paul needs to file an additional Form 210 to declare the "imputed income" for the days the property was available to him but not rented out. This filing is done in the subsequent year. For the 2023 tax year, this means any time in 2024.

Recent Changes Starting From the 2024 Tax Year:

• For Rental Income Starting from the 2024 Tax Year: The process for declaring rental income shifts to an annual basis. If Paul rents out his property at any point in 2024, he will need to file just one Form 210 for all rental income earned that year. This annual declaration is due between January 1st and January 20th of the following year, 2025.
• For Imputed Income:The procedure for filing imputed income remains unchanged. Paul must continue to declare imputed income for the days the property was not rented out on an annual basis, with the filing due in the subsequent year.

Generally, if you spend less than 183 days in the Spanish territory during a calendar year, you are a non-resident in Spain for tax purposes.

Residents are individuals who spend more than 183 days per year in Spain, while non-residents spend fewer days. If you are resident in Spain will be liable to pay tax on your worldwide income and assets. Non-resident taxpayers are only subject to Spanish-sourced income or assets.

Tax residency is determined by the number of days spent in Spain during a calendar year. Generally, staying for 183 days or more makes you a tax resident.

As a non-resident property owner, you can stay in Spain for up to 90 days within a 180-day period, or a maximum of around 180 days a year, without becoming a tax resident. Staying beyond this limit may trigger tax residency obligations.
There is no time limit for EU residents.

Spanish authorities can track your presence through various means, including passport stamps, entry/exit records, and other official documentation.

The cadastral value is a government-assigned value used for tax purposes, while the market value is the estimated price the property could be sold for on the open market.

Modelo 210 is the specific form used to declare non-resident tax in Spain.

As a non-resident, you may have to pay income tax on rental income and capital gains tax on property sales. Additionally, you have to pay tax for the days during which the property was not rented, even if the property is for personal use or empty.

It's essential to rectify the situation immediately. You can file late tax returns for the pending years. If you file voluntarily, penalties are significantly reduced from 50% to a maximum of 15%.

Failing to comply with tax obligations may result in penalties, fines, and legal consequences. Penalties start at 50% on the unpaid tax due plus interest for late payment.

The Spanish tax authorities (AEAT) do not send reminders or information about tax obligations. You need to act yourself! However, if you are registered with IberianTax, you will receive a reminder each tax period.

Tax amounts vary based on factors such as the type of income, the cadastral value of your property, and tax rates. You can use our tax filing platform to calculate the tax due for free.

The tax due can be paid via:

• Cash Payment: We will send form 210 duly completed so you only have to print it out and take it to your Spanish bank to pay.
• Bank Transfer: You can transfer the tax due to us and we will handle both the submission to and payment with the Spanish tax authorities on your behalf. Following the submission and payment.
• Direct Debit: The tax due will be debited to your bank account. Since 1st February 2024, it is not mandatory to have a Spanish bank account for this payment method. As long as your bank operates within the SEPA Zone, you can use direct debit.

Yes, IberianTax offers different payment options in order to pay and e-file your Form 210. No need to leave home to pay your Spanish taxes.

As is the case in most countries, Spain levies capital gains tax on the profit made from the sale of assets including real estate. Capital gain is the difference between the buying price and the selling price. Additional expenses can also be taken into account for the computation of the capital gain tax (for example notary, lawyer or real estate agent fees).

As a non-resident, you are subject to capital gains tax on the sale of property in Spain. All tax treaties signed by Spain establish that capital gains derived from the disposal of Spanish real estate are subject to taxation in Spain. The tax office regularly monitors these transactions as notaries report all sales to the tax authorities.

The tax rate on foreign capital gains in Spain for non-residents is a flat rate of 19% regardless of the tax residency of the seller.

Capital gains tax in Spain applies to the profit made from the sale of property. When calculating capital gains, certain expenses related to the purchase and sale of the property can be deducted. These may include real estate agent fees, notary fees, property transfer taxes, and other costs directly related to the sale.

Non-resident capital gains tax in Spain is the tax paid by individuals or companies who are not tax residents in Spain when they sell property located in the country. It's applicable to the gain realized from the sale.

To calculate capital gains tax, subtract the property's purchase price and any qualifying expenses from the selling price. The resulting profit is subject to the applicable capital gains tax rate.

The 3% Withholding Tax is the mechanism by which the Spanish tax authorities get an advance payment of the capital gain tax that is then self-assessed by the non-resident taxpayer via Modelo 210. The 3% must be withheld by the buyer of the property from the selling price provided that the seller qualifies as a non-resident of Spain. The buyer must deposit this amount to the Treasury via Modelo 211 and must send you a copy.

If you have made a loss on the sale of your property, or the tax due is lower than the 3% withholding tax, you are entitled to claim a refund for the overpaid tax.

Modelo 211 is used for the 3% withholding tax that buyers must withhold and pay to the tax authorities when purchasing a property from a non-resident. This withholding tax is a prepayment of the seller's potential capital gains tax liability resulting from the property sale.

Non-resident property owners are required to report the sale to the Spanish tax authorities within 4 months from the sale date.