Spain’s New Property Valuation Rules (Order ECM/599/2025)
0 Comments on Spain’s New Property Valuation Rules (Order ECM/599/2025)
Spain has approved Order ECM/599/2025, which updates the country’s main property valuation framework for mortgages and financial institutions.The new regulation takes effect on 12 August 2025 and significantly changes how homes and developments are appraised. Below you’ll find clear answers to the key questions property buyers, sellers, and developers are…
The Community of Madrid Enacts Historic Inheritance & Gift Tax Relief—Effective July 1, 2025
0 Comments on The Community of Madrid Enacts Historic Inheritance & Gift Tax Relief—Effective July 1, 2025
Madrid’s expanded Inheritance and Gift Tax relief has been in force since 1 July 2025, following final approval by the Madrid Assembly on 12 June 2025. It is no longer a proposal: it is the relief that applies to estates and gifts in the region today. It made Madrid the…
Brian’s Question: UK vs Spain – Where Is It Better to Be Taxed?
0 Comments on Brian’s Question: UK vs Spain – Where Is It Better to Be Taxed?
Many of our clients are relocating from the UK to Spain, often with UK pensions and property income, and one of the most frequent questions we receive is: “Will I pay more tax in Spain or the UK?” This post is based on a real inquiry from Brian, a 72-year-old…
Understanding Tax Regimes Across Spanish Regions (2025 Update)
Being aware of the different tax regimes in every region (Autonomous Community) in Spain is crucial for tax compliance, effective tax planning, making informed investment decisions, complying with regional regulations, and understanding the local fiscal landscape. This knowledge empowers individuals and businesses to navigate the complex tax environment and optimize…
IHT Guide 2025
If you own property or other assets in Spain, or if you’re thinking about leaving something behind for your loved ones, it’s important to understand how inheritance and gift tax (ISD) works in Spain. Whether you’re a resident or not, if you have assets in Spain, inheritance tax is something…
Updated Q&A: Foreign Pensions and Taxation in Spain for 2025
Q1: Do I need to declare my foreign pension in Spain? Tell us what you are facingEmail marialuisa@costaluzlawyers.es with a short description of your situation. We reply with the next step and who in the firm handles it. If your question turns on your own documents or figures, reviewing them…
Do You Own Assets or Cryptocurrencies Abroad? Here’s What You Need to Know About Model 720 and Model 721
0 Comments on Do You Own Assets or Cryptocurrencies Abroad? Here’s What You Need to Know About Model 720 and Model 721
If you are a tax resident in Spain and hold assets, bank accounts, investments, or cryptocurrencies abroad, you may be required to file an informative declaration before March 31, 2025. But who exactly needs to submit it, and what happens if you don’t? Let’s break it down. Model 720: Declaration…
Tax Status & Representation in Spain
0 Comments on Tax Status & Representation in Spain
Updated December 2025 Understanding Spanish Taxes: Residents vs Non-Residents A simple, friendly guide for international clients Whether you already live in Spain or simply own a home here, your tax obligations can be very different. Before filing anything, it’s essential to know whether Spain considers you a tax resident or…
Your guide to taxes on rental properties in Spain
48 Comments on Your guide to taxes on rental properties in Spain
The expensive error landlords make in Spain is not keeping the invoices and records that justify their deductions — by the time of a tax inspection, it’s too late to reconstruct them. How is rental income taxed in Spain for non-residents? If you let a Spanish property you must declare…
Spain’s Luxury Real Estate Market and Its Tax Implications for Foreign Buyers
0 Comments on Spain’s Luxury Real Estate Market and Its Tax Implications for Foreign Buyers
Spain’s luxury housing market has solidified its position, with over 45,000 properties listed above €1 million as of November 2024, according to Idealista. Of these, nearly 9,800 are ultraluxury properties exceeding €3 million. The main hotspots for luxury and ultraluxury properties are: Balearic Islands: 24.4% of listings (35.5% for ultraluxury…
New Fiscal Incentives for Foreign Investors in Madrid: Opportunities for Tax Savings and Housing Investments
0 Comments on New Fiscal Incentives for Foreign Investors in Madrid: Opportunities for Tax Savings and Housing Investments
The Madrid Assembly has recently approved a series of fiscal measures aimed at attracting foreign investors and boosting housing development in the region. These incentives are part of the local government’s strategy to enhance Madrid’s appeal as an investment hub. Tell us what you are facingEmail marialuisa@costaluzlawyers.es with a short…
Company Taxes in Spain (2025)
You set up a company in Spain — or you are about to — and now there is a stack of obligations nobody explained: corporate tax, VAT, social security, quarterly filings. Most international entrepreneurs arrive not knowing what they owe, when, or to whom, and the cost of guessing wrong…
Inheritance Tax & Laws in Spain (2026)
0 Comments on Inheritance Tax & Laws in Spain (2026)
The shock for families with assets in Spain is that heirs pay inheritance tax to receive them — and how much swings dramatically by region, from up to 99% relief to full rates. Inheritance tax in Spain affects everyone who owns assets in the country, regardless of whether you are…
Buying a luxury property in Spain? Don’t get caught out by wealth tax
0 Comments on Buying a luxury property in Spain? Don’t get caught out by wealth tax
Wealth tax (impuesto de patrimonio) is a Spanish tax that, instead of taxing income or expenditure, taxes people’s possessions. This is a tax that takes many foreigners by surprise as Spain is one of a vanishingly few countries to have a tax on wealth, alongside France, Switzerland, Norway and the…
How To Pay Less Tax In Spain With The Beckham Law (2026)
0 Comments on How To Pay Less Tax In Spain With The Beckham Law (2026)
Everyone dreams of paying the taxman less. And the good news is that in Spain, this dream can come true with the so-called Beckham Law. Expats who fulfill the right conditions have a special dispensation to pay less tax in Spain, not just on income tax, but also on wealth…
Spain Taxes — Quick FAQ (2025)
0 Comments on Spain Taxes — Quick FAQ (2025)
What does our service include? Tell us what you are facingEmail marialuisa@costaluzlawyers.es with a short description of your situation. We reply with the next step and who in the firm handles it. If your question turns on your own documents or figures, reviewing them is a separate, scoped service that…
Why You Should Consult an International Tax Expert Before Moving to Spain
3 Comments on Why You Should Consult an International Tax Expert Before Moving to Spain
Relocating to Spain can be an exciting step, whether for lifestyle, work, or investment reasons. However, moving to a new country also comes with significant tax considerations that shouldn’t be overlooked. Tell us what you are facingEmail marialuisa@costaluzlawyers.es with a short description of your situation. We reply with the next…
Regional variations in Spain’s Wealth tax breaks and adjustments in light of ITSGF
As outlined in the AEAT’s 2022 Wealth Tax Guide, when filing the Wealth Tax return for the 2022 financial year, seven autonomous communities in Spain offered regional tax breaks on this tax, each varying in percentage (Andalusia, Aragon, Asturias, Balearic Islands, Catalonia, Galicia, and Madrid). Later on, Extremadura and Cantabria also joined this list.
Tax Office in Spain releases English version of 2024 calendar showing key dates
The 2024 English tax calendar is particularly helpful for English-speaking residents and non-residents in Spain navigating the complexities of Spanish tax regulations for the first time, ensuring that they stay informed about their tax obligations without any language barriers.
Significant Tax Update: Spain’s New Decree Affects Non-Residents with Assets in Spain
As an international law firm specializing in Spanish taxation, we are eager to share some crucial updates from the Spanish government that could impact you if you’re a non-resident with assets in Spain. Good News for Non-Residents: Tell us what you are facingEmail marialuisa@costaluzlawyers.es with a short description of your…
In-depth tax insights into converting property into lifetime annuity in Spain
Transforming a property into a lifetime annuity in Spain presents a valuable opportunity, especially for those over the age of 65, to maximize their financial assets and ensure a steady income during retirement. This strategy is financially prudent and comes with substantial tax benefits.
Navigating Spain’s Controversial “Solidarity Tax on Large Fortunes”: An In-Depth Q&A
0 Comments on Navigating Spain’s Controversial “Solidarity Tax on Large Fortunes”: An In-Depth Q&A
With the rapidly changing global economic landscape, Spain’s introduction of the “Solidarity Tax on Large Fortunes” (ISGF) has stirred discussions in the financial world.
Paying income tax on foreign pensions in Spain – don’t get caught out!
101 Comments on Paying income tax on foreign pensions in Spain – don’t get caught out!
If you receive a pension from the UK, Ireland or Germany and you live in Spain, you are in most cases required to declare it on your Spanish tax return — even if tax was already deducted at source in your home country. Many people do not, and the consequences…
Taxes on your holiday rental property: what you need to know
0 Comments on Taxes on your holiday rental property: what you need to know
Many individuals now rent out their second homes to generate additional income. This article explores the taxes associated with putting your Spanish property on the holiday rental market.
Comparing taxation across Spain’s regions – FAQs
2 Comments on Comparing taxation across Spain’s regions – FAQs
Being aware of the different tax regimes in every region (Autonomous Community) in Spain is crucial for tax compliance, effective tax planning, making informed investment decisions, complying with regional regulations, and understanding the local fiscal landscape.
New tax comes into effect in Spain for those with assets of more than three million euros
0 Comments on New tax comes into effect in Spain for those with assets of more than three million euros
A new tax has come into effect in Spain, which will affect those with assets of more than three million euros. This temporary measure, covering the 2022 and 2023 tax years while its overall impact is assessed, is called the Impuesto Temporal de Solidaridad de las Grandes Fortunas (Solidarity Tax…
Spain Wealth Tax Explained: What International Families Should Know Before Moving to Spain
14 Comments on Spain Wealth Tax Explained: What International Families Should Know Before Moving to Spain
You own property in Spain but you are not a resident. At some point someone mentioned you might owe wealth tax — but you have never been completely sure whether it applies to you, or how much it might be. That uncertainty is exactly what this page resolves. Non-residents owning…
How to pay less inheritance tax in Spain
0 Comments on How to pay less inheritance tax in Spain
Paying less inheritance tax in Spain sits at the top of most heirs’ priorities, closely followed by the need to avoid conflict of interests. These objectives are particularly common when two or more people inherit a property whose ownership they have to share. Important: Spanish succession follows two distinct paths…
How to calculate transfer tax on Spanish property (2026)
2 Comments on How to calculate transfer tax on Spanish property (2026)
You have found the property, agreed the price, maybe already signed. Now there is a cost on completion that nobody fully explained — the transfer tax (ITP), plus notary and registry — and you are not sure what you will actually owe, or whether you are about to overpay.This page…
Where do digital nomads in Spain pay taxes?
0 Comments on Where do digital nomads in Spain pay taxes?
In today’s mobile era of remote working, digital nomads often ask where they pay taxes. Are they liable for income tax in Spain or elsewhere as residents or non-residents? In this article, we look at the factors that determine where digital nomads in Spain pay taxes. For a full overview…
Your guide to tax for startups in Spain (2026)
0 Comments on Your guide to tax for startups in Spain (2026)
The Spanish parliament has just given its definitive approval for the new law for startups in Spain. The legislation, due to come into effect in January 2023, includes generous tax perks for startup companies, their employees, and investors. This article sums up the main fiscal benefits. Did you know? The…
Andalusia Maintains Wealth Tax Abolition in 2025: Everything You Need to Know
0 Comments on Andalusia Maintains Wealth Tax Abolition in 2025: Everything You Need to Know
Since 2022, Andalusia has taken a bold step in Spain’s fiscal landscape by fully eliminating its regional wealth tax through a 100% exemption. As of 2025, this measure remains in effect, positioning the region as one of the most attractive destinations in Spain for high-net-worth individuals and international investors. But…
Your guide to tax on pensions in Spain (2026)
31 Comments on Your guide to tax on pensions in Spain (2026)
If you’re a Spanish tax resident and collect a pension, it’s important to know what your tax obligations are and how much the authorities retain at the source. In this article, we look at the different aspects of tax on pensions in Spain. Did you know? We offer comprehensive tax…
Non-residents in Spain can apply for regional inheritance tax
0 Comments on Non-residents in Spain can apply for regional inheritance tax
The Spanish tax authorities (Dirección General de Tributos/DGT) have recently confirmed that non-residents can apply regional inheritance tax to assets inherited or donated in Spain. Important: Spanish succession follows two distinct paths depending on whether the deceased left a valid will (testate) or not (intestate). The intestate path requires a…
The pros and cons of buying Spanish property through a company
2 Comments on The pros and cons of buying Spanish property through a company
While the vast majority of Spanish property purchases are made by private individuals, a small percentage (between 10 and 15%) take place through a company. This option of buying real estate offers tax savings along with other advantages. However, buying Spanish property through a company also comes with certain drawbacks….
Taxes in Andalucía go down
0 Comments on Taxes in Andalucía go down
A reduction in taxes is always good news and this time, it’s taxpayers in Andalucia who enjoy the benefits. Under the latest regional government measures, three taxes in Andalucia see a reduction: income tax, inheritance tax and capital gains tax. Important: Spanish succession follows two distinct paths depending on whether…
Your Guide to reclaiming on the 720 tax Model
0 Comments on Your Guide to reclaiming on the 720 tax Model
As followers of this blog will be aware, the European Court of Justice (ECJ) recently overruled Spain’s collection of fines for non-compliance on taxes for assets owned abroad. This reversal of the 720 Tax Model opens the doors to multi-million-euro refunds to Spanish taxpayers. However, the procedure for claiming a…
What taxes need to be paid when buying or selling a property in Spain?
0 Comments on What taxes need to be paid when buying or selling a property in Spain?
When buying or selling property in Spain, there are always multiple parties that are owed a share of the cake. Practically every transaction will involve a payment to a notary, a property registrar, an estate agent and, of course, the taxman. Taxes to pay when selling a property in Spain…
How does inheritance affect your Spanish income tax declaration?
0 Comments on How does inheritance affect your Spanish income tax declaration?
If you have received an inheritance in the last fiscal year, you may be wondering how it affects your annual Spanish income tax declaration. In this blog post, we look at the different aspects of inheritance in terms of wealth and assets and discuss whether they should form part of…
Andalucia’s great offers on Regional Real Estate taxes
2 Comments on Andalucia’s great offers on Regional Real Estate taxes
As followers of the Costaluz Lawyers blog will know, Andalucia introduced reductions in regional real estate taxes last year. As a result, buyers of property in Andalucia have made considerable savings on tax payments, particularly on transfer tax. The good news is that the regional government has decided to maintain…