IBI in Spain 2026: complete guide for non-resident property owners

The Impuesto sobre Bienes Inmuebles (IBI) is Spain's main municipal tax and applies to every property owner — including non-residents. It is not a state tax and is not filed via Modelo 210, but it is directly linked to the cadastral value (valor catastral), which does determine what you pay each year to the Spanish Tax Agency.

What is IBI?

IBI is a compulsory local tax charged by each municipality on anyone who owns a property as of 1 January of the tax year. It is regulated by Spain's Local Finances Act (RDL 2/2004).

The owner registered with the Cadastre on 1 January is always liable — even if the property is sold on 2 January. In practice, IBI is usually prorated between buyer and seller in the title deed.

How is IBI calculated?

IBI = Cadastral Value × Municipal Rate

• Cadastral value: assigned by the Spanish Cadastre. Usually 50%–70% of market value.
• Municipal rate: set by each town hall within legal limits (0.4%–1.1% urban; 0.3%–0.9% rural).

Example: a flat in Alicante with a cadastral value of €80,000 and a 0.71% rate pays €568 per year.

IBI rates in major cities (2026)

• Madrid: 0.456%
• Barcelona: 0.75%
• Valencia: 0.646%
• Alicante: 0.71%
• Málaga: 0.72%
• Palma de Mallorca: 0.608%
• Marbella: 0.76%

Payment deadlines

Each town hall sets its own calendar, but the voluntary payment period usually runs from September to November. The easiest option is to direct-debit the bill: most municipalities offer a 3%–5% discount and allow payment in 2–3 instalments.

Discounts and reductions

• Solar panels: up to 50% rebate in many municipalities.
• Direct debit: 3%–5% discount.
• New build: up to 3 years' rebate in selected areas.

IBI and Modelo 210

• The cadastral value is the basis for both IBI and the imputed income declared on Modelo 210.
• If your cadastral value was reviewed in the last 10 years, the imputed income is 1.1% (instead of 2%).
• If you rent out the property and live in the EU/EEA, you can deduct the IBI as an expense on the quarterly Modelo 210.

What happens if you don't pay?

The town hall can start enforcement proceedings with surcharges of 5%, 10% or 20%, late interest and, ultimately, property seizure. Non-residents should always direct-debit IBI from a Spanish bank account and check that the receipt has been paid each year.

How to check your IBI online

• Spanish Cadastre electronic office (digital certificate or cadastral reference).
• Your town hall or provincial collection agency (Suma in Alicante, ORGT in Barcelona, etc.).

Summary

IBI is an annual mandatory municipal tax based on cadastral value. It is not filed with Modelo 210, but it shares the same tax base. If you rent your property, IBI is deductible. Always direct-debit it to avoid surcharges and problems when you eventually sell.

Sources

• 1Spanish Local Finances Act (RDL 2/2004)
• 2Spanish Cadastre (Sede Electrónica)