Frequently asked questions

Yes, as a non-resident property owner in Spain, you are required to pay tax on either the profit made from the rental of the property or on the imputed income, regardless of whether the property is for personal use or vacant.

Yes, non-residents are required to pay imputed income tax on their unrented Spanish properties. The annual tax return for non-rented property must be filled the following year, but no later than December 31st.

Non-residents are subject to a general flat rate of 24%. However, tax residents of EU member states, Norway, Iceland, and Liechtenstein have a reduced flat rate of 19%.

All property owners are required to pay land value tax (in spanish Impuesto sobre Bienes Inmuebles - IBI). As a non-resident, you have to pay income tax on rental income, if the property is rented out, or imputed income tax if it is not.

Yes, of course, if you feel confident with the Spanish tax system and you follow all the rules changes. Usually it is a difficult to have an overview and keep track of all the changes, that is why we offer, among all the other benefits of our partnership, to do it for you.

You can also pay for closed tax periods, it is possible in our system to to set up forms retroactively. You can reduce penalties from 50% to a maximum of 15% for the missed periods applying the forms.

The deadline for filing imputed income (not rented property) is generally December 31st of the following year. For example the form (Modelo 210) for 2023 must be filed before December 31, 2024. Rental income must be filed on a quarterly basis, within the first 20 days of the next quarter (April, July, October, and January). For example for the first quarter the report must be filed until April 20th.

No. If the property was not rented for an entire quarter, you are not required to file a tax return. However, you will be required to file an annual imputed income tax form by the end of the following year.

The imputed income is calculated as 1.1% of the cadastral value (valor catastral) of the properties reviewed by the general collective valuation of a municipality within the last 10 years. For the rest of the properties it is 2%. The tax rate is 19% for EU residents and 24% for the rest.

The cadastral value can be found on your IBI (Impuesto sobre Bienes Inmuebles) receipt. If this is not available you can ask by the municipality or online at www.sedecatastro.gob.es. It could also be obtained through a phone call to the Cadastre office. However, we always recommend to have a written document of the value in order to be able to accredit the verifiability of the value.

You can write off the IBI, house insurance, community fees, repairs and maintenance.

Yes, you can deduct your depreciation as an expense from your rental income. The costs must be calculated in proportion to the number of the rental days.

No, this is not necessary. However, the tax authorities may ask for receipts from the last 5 years for the audit, and you will be required to provide them. RETax offers software to store the receipts in electronic form.