How non-resident income tax works in Spain

Key rules

• Scope: Non-residents pay Spanish tax only on income from Spanish sources.
• Outside the EU/EEA: You pay 24% on gross Spanish income with no expense deductions.
• Per item: Each item of income is taxed separately at its own flat rate, so losses on one item don't offset another.
• Treaties: A tax treaty with your country may lower or remove Spanish tax, usually with a certificate of tax residence.

Who pays and on what

If you don't live in Spain, you pay Spanish non-resident income tax (IRNR) only on income that comes from Spain. Income earned elsewhere is not taxed here.

Spanish-source income includes:

• Rent and other income from Spanish property.
• Work done in Spain, and directors' fees from Spanish companies.
• Pensions, both public pensions and pensions for past work in Spain.
• Dividends, interest and royalties from Spanish payers.
• Capital gains on Spanish assets, such as property or shares in Spanish companies.
• Services and technical assistance used in Spain.
• Business activity carried out in Spain without a fixed base there.

If you own Spanish property for your own use, for example a home you leave empty, Spain also treats you as receiving an imputed income from it. The FAQ below covers this.

If you run a business through a permanent base in Spain, different rules apply. You are taxed on all the income of that base, wherever it was earned, much like a company. This page does not cover that case.

How the tax is calculated

Each item of income is taxed separately, at a flat rate. You don't add everything into one total, and there is no tax-free allowance. Deductions are few.

Where you live decides the rate and whether you can deduct costs:

• Outside the EU/EEA: you pay 24% on gross income. You can't deduct any expenses. For rent, that means no deduction for IBI, mortgage interest or repairs.
• In the EU/EEA: you pay 19% on net income, after deducting expenses tied to the Spanish income. The rate is set out in the decision below.

Exceptions to the general rate

• Dividends, interest and capital gains: 19%, whether you live in or outside the EU/EEA. Interest paid to EU/EEA residents is exempt, and so are gains on listed Spanish shares for EU/EEA residents.
• Property sales: gains are taxed at 19%. The buyer withholds 3% of the price and pays it to the tax office on your behalf.
• Pensions: taxed on a progressive scale applied to your gross annual pension. Rates run from roughly 8% for smaller pensions to 40% for larger ones.
• Work done in Spain: 24% outside the EU/EEA, or 19% with deductions inside it.
• Some royalties and other items: lower rates, such as 15%, can apply.

Tax treaties can lower the bill

Spain has tax treaties with many countries. A treaty can cut the rate on dividends and interest, often to between 5% and 15%. It can also exempt a pension or move the right to tax it to your country of residence. To use a treaty, you normally need a certificate of tax residence from your home country. Check the treaty for your country with the Spanish tax office.

What to do next

Use the checklist below to list your Spanish income item by item, and the decision tool to find your rate. The comparison shows how this differs from resident tax.

Choosing between options

Which rate applies to your Spanish income?

• Flat 24% on gross income: You live outside the EU and EEA and earn rent or work income in Spain. No expenses can be deducted.

• 19% on net income: You live in the EU or EEA. You can deduct expenses tied to the Spanish income, including for work done in Spain.

• 19% on investment income: Your Spanish income is dividends, interest or capital gains.

• Pension scale: Your Spanish income is a pension. Progressive rates apply to the gross annual amount, from about 8% for lower pensions up to 40% for higher ones.

Match the type of income first, then where you live. Pensions and investment income follow their own rates, and other income follows the 24% or 19% rate for your place of residence.

Non-resident versus resident tax side by side

The same income can cost you very different amounts depending on whether Spain treats you as a resident or a non-resident. As a non-resident you pay a flat rate on each item of income. As a resident you add everything together, apply progressive rates and claim deductions in one annual return.

Tax rates: flat versus scales

Non-residents pay a flat rate on each item. A non-resident from outside the EU/EEA pays 24% on gross rental income, with no deductions.

Residents pay on a progressive scale, so the rate rises as income rises. For most regions, the combined state and regional scale on general income runs from 19% to 47%. The state part is:

• 9.5% up to €12,450
• 12% up to €20,200
• 15% up to €35,200
• 18.5% up to €60,000
• 22.5% up to €300,000
• 24.5% above that

Regions set their own scale and can change it, so check your region's current rates.

Savings income, such as interest and gains, has its own scale:

• 19% up to €6,000
• 21% up to €50,000
• 23% up to €200,000
• 27% up to €300,000
• 28% above that

Rental income: where the gap is widest

Residents deduct the costs of earning the rent. These include:

• mortgage interest and financing costs
• IBI (local property tax)
• community fees
• insurance
• repairs and maintenance
• utilities
• professional fees
• 3% yearly depreciation on the higher of cost or cadastral value, excluding the land

On what is left, long-term residential lets can get a 50% reduction. The reduction rises to 60% for lets after 2024 when the property is in a stressed market area and the tenant's rent was cut by 5% or more. In some cases it goes up to 90%. You only get the reduction if you file on time and declare the rent.

Non-residents from outside the EU/EEA get none of this. On the same rent, a resident can easily pay far less than a non-resident. The rules on these reductions changed between 2023 and 2025, so check the current version before you plan around them.

Homes you do not rent out

Residents who own a second home that is not rented add imputed income to their general income. The figure is 2% of the cadastral value, or 1.1% if the cadastral value was revised within the last 10 years. If there is no cadastral value, it is 1.1% of 50% of the higher of the purchase price or the checked value. It is prorated for the days the home was not rented.

It does not apply to your main home, up to two garages, unbuilt land or property used in a business.

Forms and deadlines

Residents file one annual return. The campaign usually runs from early April to 30 June. Paying by direct debit closes a few days earlier, around 25 June. Exact dates are set each year.

Non-residents file modelo 210 separately for each type of income. Rental income is usually reported quarterly or annually. Imputed income is due by 31 December of the following year. Sales and similar items are due in the first twenty days of the following month. Employment and other income also go on modelo 210.

Checklist

• List only the income that comes from Spain, such as rent, a Spanish pension or work done in Spain, because that is all non-residents pay this tax on.

• Work out the tax for each item of income separately, since each one is taxed on its own at a flat rate.

• Check whether you live inside or outside the EU or EEA, because that decides your rate and whether you can deduct expenses.

• Check the rate for dividends, interest and capital gains, which is 19%.

• If you get a Spanish pension, look up where your annual gross amount falls on the pension scale, which runs from about 8% to 40%.

• Check whether a tax treaty between Spain and your country of residence exempts or lowers the tax on a pension or on work income.

Quick answers for non-resident owners and earners

Do I pay Spanish tax on a home I leave empty as a non-resident?

Yes, a non-resident who owns a Spanish home for personal use and does not rent it pays tax on imputed income, a notional income based on the property's cadastral value (its official tax value). It is filed on modelo 210 once a year. It does not apply to your habitual home or to a property that is not available for use. If you rent the home out, you are taxed on the actual rent instead.

Do I need a fiscal representative to file modelo 210 or own property in Spain?

No, a fiscal representative (representante fiscal) is generally not required to file modelo 210 or to own Spanish property. You can file yourself, through an authorised representative or through a tax adviser. The tax agency can require one in specific cases, such as when you operate through a permanent establishment or run large or complex activities.

Can I deduct expenses from Spanish rental income if I live outside the EU or EEA?

No, if you live outside the EU/EEA you pay 24% on gross rental income with no deduction for IBI (the local property tax), mortgage interest or repairs. The exceptions are narrow, such as income earned through a permanent establishment.

Which expenses can I deduct from Spanish rental income if I live in the EU or EEA?

You can deduct IBI and other local taxes, mortgage interest and financing costs, community fees, repairs and maintenance, insurance, utilities, and 3% yearly depreciation on the higher of cost or cadastral value, excluding the land. Each expense must be tied to the rented property and backed by an invoice. Count only the days the property was rented.