Spanish Tax Lawyers

Many individuals owning holiday homes or properties in Spain think that they do not need to pay any tax in Spain if they are not tax resident there. This is not the case and it is important that Spanish tax returns are filed in line with the rules. With English and Spanish advisers based in Marbella and London, BCP International Law Firm provides you with the proactive, expert service that you need.

As a non-Spanish tax resident, you may be liable to pay tax in the following circumstances:

  1. You receive income from a Spanish source (for example interest from a Spanish bank account); and/or
  2. You own a property in Spain, whether or not you receive income from it.

Point 2 is particularly important for non-tax residents owning holiday homes in Spain. Non-resident tax is payable on a notional income from the property, which is either 1.1% or 2% of the property’s catastral value depending on the municipality. The catastral value is a similar concept to rateable value in the UK and can be found on the town hall tax (“IBI”) receipt.

The tax liability is currently 24.75% of the notional income figure and the non-resident income tax return and payment must be submitted to the Spanish tax authorities by 31 December of the year after the tax liability arises. For example, non-resident property tax for 2013 is due by 31 December 2014.

Renting a Spanish Property

If you rent your Spanish property either on a long term or a short term basis, tax is also payable on the rental income in Spain on a quarterly basis.

BCP International Law Firm can assist you with calculating your tax and filing the necessary declarations to the Spanish tax authorities. The penalties for not filing non-resident tax returns can be severe and our services will help you stay up to date.

Contact Us

To discuss your requirements and obtain a quote, please contact our Marbella office online or by phone on UK +44 (0)207 936 9072 or Spain +34 952 862 227.