You may be a foreigner and have decided to buy a property in Spain, for example, a house on the beach to spend your holidays in the sun. If so, you should know that you must pay the Non-Resident Income Tax (IRNR) and the Real Estate Tax (IBI). We tell you what non-resident taxation consists of and what you should do.<\/p>\n<\/div><\/div><\/div><\/div><\/div>
What is the Income Tax for non-residents?<\/h2>\n
This is a tax that is regulated in the Non-Resident Income Tax Law<\/a > and which taxes the obtaining of income in Spanish territory by individuals and entities that do not reside in Spain.<\/strong><\/a><\/p>\nOwnership of a property and IRNR<\/h2>\n
If you do not live in Spain and you own a property in Spanish territory, two situations may arise:<\/p>\n
\n- That you use it for yourself, that is, you go on vacation to your apartment and do not rent it.<\/strong> In this case, the return declared is the amount that results from applying a percentage to the property’s cadastral value that appears on the receipt of the Real Estate Tax (IBI). The percentages will be the following:\n
\n- Accruals until 2014:<\/strong> 2%, in general, and 1.1% for properties with cadastral values \u200b\u200brevised as of January 1, 1994.<\/li>\n
- Accruals since 2015<\/strong>: 2% in general and 1.1% in the case of properties whose value has been reviewed and has come into effect in the tax period or the ten previous tax periods.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n
The presentation can be done electronically or on paper by printing the Tax Agency form 210. The filing deadline is until December 31 of the following year.<\/p>\n
\n- That you dedicate the property to rental<\/strong>. In this case, you must declare all the income you receive from the tenant without deducting any expenses, unless it is a taxpayer who resides in a State of the European Union, who may deduct expenses if you prove that they are related to the income obtained. The tax rate, starting in 2016, will be 19% for residents of the European Union, Iceland and Norway and 24% for other taxpayers.<\/li>\n<\/ul>\n
The presentation may also be electronic or on paper and using form 210. The filing period will depend on the result of the declaration:<\/p>\n
\n- To enter. Between April 1 and 20, July, October and January.<\/li>\n
- Zero quota. January 1 to January 20 of the following year.<\/li>\n
- To return. Starting February 1 of the following year.<\/li>\n<\/ul>\n
Other taxes: IBI<\/h2>\n
The Real Estate Tax is a local tax paid to city councils by urban real estate owners. To calculate this tax, the cadastral value established by the administration is considered, and a type of tax (percentage) is applied.<\/strong> The payment deadline depends on each municipality, but generally, payment is made during September, October and November.<\/p>\nIn some cases, it is possible to make deferred payments and obtain bonuses.<\/p>\n<\/div><\/div><\/div><\/div><\/div>