Filing and paying Spanish inheritance tax on time

Terms used

• Modelo 650 — The Modelo 650 is the tax form used to declare an inheritance.
• Modelo 651 — The Modelo 651 is the tax form used to declare a gift, not an inheritance.
• Silencio positivo — Silencio positivo means that if the administration does not answer in time, your request counts as approved.
• Recargo — A recargo is a surcharge added to tax you file late without being asked.
• Interés de demora — Interés de demora is late-payment interest charged on tax paid after its due date.
• AEAT — The AEAT is Spain's national tax agency.

Key rules

• Deadline: Count from the date of death, and write that date down first.
• Extension: Ask in writing; a request after month five does not count.
• Form: Inheritances use Modelo 650, filed with the right region's tax office.
• Late filing: Filing late on your own adds 1% per full month, then 15% after 12 months.

The deadline: six months from the date of death

You must file and pay inheritance tax within six months of the date of death. For a death in Spain, counting starts the day after death. If the death is only presumed, the six months run from the date the declaration of death becomes final.

Write down the date of death today and count every deadline from it.

Ask for more time before month five ends

You can get six more months, but you must ask in writing within the first five months after death. A late request does not count.

• Send the request to the regional tax office. If you are a non-resident, it goes to the national tax agency (AEAT).
• Once you ask, the filing period is paused until the administration answers.
• If it does not refuse within a month, the extension is treated as granted (silencio positivo).
• If it refuses, you have 15 days after the notice to file without a surcharge.
• An extension is not free. You pay interest (interés de demora) from the end of the original six months.

Procedure details vary by region, so ask the tax office how it wants the request submitted.

Which form and portal

Use Modelo 650 for an inheritance. Modelo 651 is for gifts, so do not use it here.

You file with the tax administration of the region whose rules apply, usually through its online portal. The portals differ by region:

• Catalonia has its own forms and portal, run by the Agència Tributària de Catalunya.
• The Basque Country and Navarre have their own provincial tax offices, not the regional portal.
• Every other region has its own forms and portal. Look for the one for the right region.

Choosing the wrong region is an easy and costly mistake, so settle that first.

What late filing costs

If you file late on your own, before the tax office contacts you, there is no penalty, but you pay a surcharge (recargo):

• 1% for each full month of delay, up to 12 months.
• 15% after 12 months, plus interest from then on.

If the tax office finds the omission first, you face penalties instead. These can be 50% to 150% of the unpaid tax, with reductions available.

Interest also applies to any extended payment, as described above. The warning, planner and FAQ below cover the common mistakes and the order to do things in.

Inheritance tax and plusvalía deadline planner

Your calendar from the date of death

• Work out which region's rules apply: Before you start. It is the region where the deceased lived most days in the five years before death. If the deceased lived outside Spain, the rules for the heir's region or the state may apply.

• Choose the form and portal: Before you start. Use Modelo 650 for an inheritance, filed with the tax office of that region, mostly online. Catalonia has its own forms and portal, and the Basque Country and Navarre file with their provincial treasuries.

• Wait for the answer on the extension: Up to 1 month. Your filing period is paused until they answer. If they do not refuse within 1 month, the extension is treated as granted.

• File without surcharge if the extension is refused: Within 15 days of the refusal notice.

• File and pay inheritance tax: Within six months of the date of death, if you did not get an extension.

• Pay interest if you used the extension: Late-payment interest (interés de demora) runs from the end of the original six months, even if the extension was granted.

• Ask your town hall for the plusvalía deadline: As soon as the property is in the estate. Plusvalía is the local tax on the rise in land value, and the town hall that charges it sets the filing window.

• File late on your own if you missed the deadline: As soon as you notice. The surcharge is 1% for each full month of delay, up to 12 months, then 15% plus interest.

Mistakes that trigger inheritance tax penalties for foreign heirs

Traps that lead to inheritance tax penalties

• Filing late: Filing after the six-month deadline adds a surcharge of 1% for each full month of delay, up to 12 months. After that it is 15% plus late-payment interest. If the tax office finds the omission first, penalties of 50% to 150% of the unpaid tax can apply. Ask for an extension within the first five months, or file on your own as soon as you notice the delay, before the tax office contacts you.

• Using the wrong region or regime: The region is decided by where the deceased lived most days in the five years before death, not where you live. For real estate inherited by a non-resident of Spain, the region where the property sits applies. Filing with the wrong region can mean the wrong rates, reductions and forms. Work out the deceased's region first, then use that region's Modelo 650 and portal. If the deceased lived abroad, ask the tax office or an adviser which rules apply.

• Not declaring a foreign inheritance: If you are a Spanish tax resident, you pay Spanish inheritance tax on everything you inherit worldwide and file Modelo 650. Foreign inheritance tax already paid can be credited, up to the Spanish tax on those assets. Foreign assets over €50,000 per category at year end must also go on Modelo 720, the declaration of assets abroad, and the income they produce goes in your IRPF income tax return. Include foreign assets in Modelo 650, keep proof of any foreign tax paid, and check the Modelo 720 thresholds at the end of the year.

Frequently asked questions

Which form do I use to file inheritance tax?

You use Modelo 650 to file inheritance tax. Modelo 651 is for gifts, so do not use it for an inheritance. You file it with the tax office of the region that handles the case, mostly through its online portal.

Do Catalonia and the Basque Country use the same portal as other regions?

No, Catalonia, the Basque Country and Navarre each have their own tax offices and portals. Catalonia uses its own forms and portal run by the Agència Tributària de Catalunya. The Basque Country and Navarre use their provincial treasuries, so check there first.

What happens if I ask for an extension and hear nothing?

Yes, silence counts as approval, because a request not refused within a month is deemed granted. While you wait, the filing period is paused. Extended payment still carries late-payment interest (interés de demora) from the end of the original six months.