The short answer
In Andalucía, children and other descendants, spouses and parents who receive a gift apply a 99% reduction on the Gift Tax due. Since the amendment consolidated at the end of 2025, the relief depends on declaring the gift of your own accord and, for gifts above €5,000, on how and when it is documented.
Who qualifies
The relief applies to the recipients in Groups I and II of the national Gift Tax law: children and other descendants and adopted children of any age, spouses, and parents or other ascendants and adoptive parents. The recipient is the person who pays Gift Tax on a donation, so the relief is theirs to claim.
The conditions since the 2025 amendment
- Declare it yourself. The 99% applies only to the part of the tax corresponding to what the recipient declares of their own accord, before any request from the tax administration.
- A public document above €5,000. For assets whose transfer does not need a public document to be valid, the relief requires the gift to be formalised in a public document, with simultaneous delivery, when the taxable base exceeds €5,000.
- The €5,000 is counted over three years. All gifts from the same donor to the same recipient in the previous three years are added up for that threshold.
- Cash above €5,000. The public document must be signed within one month of the money being handed over, and the relief applies only if the origin of the funds is duly justified and stated in that document.
- Instalments. A gift of a fixed total paid in instalments must be documented in a single deed covering all the instalments.
What this means in practice
A parent helping a child with a deposit in Andalucía should plan the deed before the transfer when the amount, together with gifts in the previous three years, exceeds €5,000. A gift that the tax administration discovers before it is declared does not benefit from the relief on that part. The Gift Tax return is due within thirty working days from the day after the gift.
Gifts compared with inheritances in Andalucía
The same close relatives apply a 99% relief on inheritances as well. For families in Andalucía, the choice between giving now and leaving assets by will therefore turns mainly on the donor’s income tax — a lifetime gift can produce a taxable gain for the donor, while a transfer on death produces none.
If you do not live in Andalucía
A recipient who is not resident in Spain and receives property located in Andalucía may apply Andalucía’s rules. For regions other than Andalucía, the conditions above cannot be assumed; each region sets its own.
For the full picture of who pays which tax on a gift in Spain, see our guide to donations in Spain for international families, and for cash gifts towards a purchase, our guide to parents gifting money to buy a property.
Email marialuisa@costaluzlawyers.es with the amount, the dates and where each of you lives, or call our client line on +34 919 499 342.
Frequently asked questions
Who can use Andalucía’s 99% gift tax relief?
Children and other descendants, adopted children, spouses, and parents or other ascendants and adoptive parents.
Does the 99% relief apply automatically?
No. It applies only to what the recipient declares of their own accord, before any request from the tax administration.
Do I need a notary for a small cash gift in Andalucía?
Not for the relief when the taxable base is €5,000 or less, counting three years of gifts from the same donor. Above that, a public deed within one month stating the origin of the funds is required.
Can we pay a cash gift in instalments?
Yes, but a gift of a fixed total paid in instalments must be documented in a single deed covering all of them.
When is the Gift Tax return due?
Within thirty working days from the day after the gift.
This is general information, not definitive legal advice — every case requires individual analysis.
Official sources
- Ley 5/2021, de Tributos Cedidos de la Comunidad Autónoma de Andalucía, art. 40 as amended by Ley 8/2025 (BOE): https://www.boe.es/buscar/act.php?id=BOE-A-2021-17915
- Ley 29/1987, del Impuesto sobre Sucesiones y Donaciones (BOE): https://www.boe.es/buscar/act.php?id=BOE-A-1987-28141
- Real Decreto 1629/1991, Reglamento del Impuesto sobre Sucesiones y Donaciones (BOE): https://www.boe.es/buscar/act.php?id=BOE-A-1991-27678
This is general information, not definitive legal advice — every case requires individual analysis.
This article provides general guidance only and does not constitute legal advice. For personalised advice tailored to your specific situation, please book a consultation with our team.