Non-Resident Property Tax in Spain — Complete Guide 2026

Three Types of Non-Resident Property Tax

Non-resident property owners in Spain face one or more of three distinct tax obligations, all declared through Modelo 210. Understanding which apply to your situation is the first step toward compliance.

If your Spanish property is empty, used as a holiday home, or simply not rented out, Spain deems that you derive an economic benefit from ownership alone. This concept is called imputed income (renta imputada). The idea behind it is that owning a property gives you the ability to use it or rent it out, and therefore the Spanish state considers that you earn a notional income even if no actual money changes hands. This is the most common type of non-resident tax and the one most frequently missed by foreign owners.

The calculation is straightforward. You take the cadastral value (valor catastral) of the property — found on your annual IBI receipt — and multiply it by either 1.1 % (if the cadastral value was revised in the last ten years) or 2 % (if it was not revised). The result is your imputed income, which is then taxed at 19 % or 24 % depending on your country of residence. For example: if your apartment on the Costa Blanca has a cadastral value of €80,000 (revised in 2018), your imputed income is €80,000 × 1.1 % = €880. An EU resident would owe €880 × 19 % = €167.20 per year; a UK resident would owe €880 × 24 % = €211.20.

The filing deadline for imputed income is generous: you have the entire calendar year following the tax year. For tax year 2025, you can file anytime from 1 January to 31 December 2026. That said, it is best not to leave it until the last minute — filing early means one fewer thing to worry about, and it reduces the risk of forgetting entirely.

If you rent out your Spanish property — whether long-term to a tenant or short-term through platforms like Airbnb or Booking.com — you must declare the income to AEAT through Modelo 210. The key distinction here is between EU/EEA residents, who can deduct directly related expenses from their gross rental income, and non-EU residents, who must pay tax on the gross amount with no deductions whatsoever. Allowable deductions for EU residents include mortgage interest, property insurance, community fees, IBI (local property tax), maintenance and repair costs, utilities paid by the owner, management fees, and depreciation (up to 3 % of the acquisition cost of the building, excluding land value).

Consider this example: a German owner rents an apartment in Marbella for €15,000 per year. Their deductible expenses total €6,000 (mortgage interest, insurance, IBI, community fees, and minor repairs). As an EU resident, they pay 19 % on the net income: (€15,000 − €6,000) × 19 % = €1,710. Now imagine a British owner with identical rental income and expenses. Post-Brexit, they pay 24 % on the gross amount: €15,000 × 24 % = €3,600. The British owner pays more than double — €1,890 more per year — solely because the UK is no longer part of the EU.

An important change took effect in 2024: rental income is now declared in a single annual filing, due between 1 and 20 January of the following year. Previously, quarterly declarations were required (due within 20 days of the end of each quarter). The new annual system is simpler but makes the January deadline absolutely critical: miss it and you face immediate surcharges. For tax year 2025, you must file between 1 and 20 January 2026.

When a non-resident sells property in Spain, any profit (the difference between the sale price and the original acquisition cost, adjusted for allowable improvements and transaction costs) is subject to capital gains tax at 19 % for EU/EEA residents or 24 % for non-EU residents. The acquisition cost includes the original purchase price, transfer tax (ITP) or VAT paid at purchase, notary and registry fees, and the cost of any documented structural improvements made during ownership. The sale price is the amount stated in the notarial deed, minus agent commissions and other selling expenses.

A unique mechanism applies to non-resident sellers: the buyer is legally required to withhold 3 % of the agreed sale price and pay it directly to AEAT using Modelo 211. This 3 % retention acts as an advance payment against your capital gains tax. If your actual tax liability is lower than the amount withheld — for instance, because the gain was small or because you had significant improvement costs — you can request a refund of the excess. In some cases, especially when selling at a loss, the entire 3 % can be recovered.

The filing deadline for capital gains is four months from the date of the notarial deed (escritura). For example, if you signed the deed on 15 March 2026, your declaration is due by 15 July 2026. The same four-month window applies to the 3 % withholding refund application. It is essential to file within this period — late filing not only triggers surcharges but can also delay any refund you may be entitled to.

Filing Deadlines 2026