What owning a car in Spain really costs per year

Terms used

• ITP — The ITP is a regional tax paid when you buy a used car from a private seller.
• IVTM — The IVTM is the yearly circulation tax on your car, paid to your town hall.
• ITV — The ITV is the mandatory periodic technical inspection that shows your car is safe to drive.
• Gestoría — A gestoría is a private agency that handles official paperwork for a fee.
• IGIC — The IGIC is the Canary Islands' indirect sales tax, used instead of VAT.

Key rules

• Purchase tax: A private sale pays ITP on the official reference value, while a dealer sale carries 21% VAT.
• Transfer deadline: File the change of ownership and pay the tax within 30 days of buying.
• ITV: The inspection is a separate yearly-style cost and is not included in servicing.
• Tolls: Many motorways became free on 1 September 2024, but several still charge, so check your regular routes.

Regional tax rates, toll tariffs and garage prices change often, so confirm current figures with your region's tax agency, the toll operator and local garages.

The short answer

Fuel is only one part of the bill. Owning a car in Spain also means purchase taxes, insurance, the yearly IVTM, the ITV inspection, servicing, tolls, parking and the value the car loses each year. Add them all before you buy. The checklist below walks you through the steps.

Costs when you buy

Purchase tax. A used car from a private seller pays ITP, a regional tax. A dealer sale carries 21% VAT instead. ITP is charged on the official reference value of the car, not on the price you paid. Rates are set by each region. Examples: Madrid 4%, Andalucía 4%, Galicia 3%, Cataluña 5%, Valencia 6%. The Canary Islands charge IGIC instead of ITP. Many regions apply higher rates, often 8% or more, to cars with high engine power. Check your region's rate and band with its tax agency.

Transfer fee and paperwork. The traffic office transfer fee is about €55-56. A gestoría, a private agent who handles paperwork, usually charges around €60-150 to do the transfer for you.

Deadline. File the change of ownership and pay the tax within 30 days of buying.

Costs every year

Insurance. This is usually your biggest fixed cost. The price depends on your age, driving history, the car and where you live. Get several quotes before you buy the car. Third-party cover is the legal minimum.

IVTM. This is the yearly circulation tax, paid to your town hall. The amount depends on the town and the car's power. Ask your town hall for the rate.

ITV. This is the mandatory periodic inspection. Budget for it separately, because it is not part of servicing.

Servicing and repairs. Costs depend mostly on age and mileage.

• Up to about 5 years old: usually one scheduled service a year (oil, filters), plus tyres and wipers over time.
• 6 to 10 years old: brakes, battery, belts and fluids start to add cost.
• Over 10 years old: the highest and least predictable bills, such as clutch, suspension and exhaust.

Small petrol cars cost the least. Large diesels, SUVs and premium cars cost more. Independent garages are usually clearly cheaper than brand dealers. Ask a local one for a yearly quote.

Fuel. This depends on your mileage and the car. Many studies assume 12,000 to 15,000 km a year. Work out your own distance, then multiply by the car's consumption and the pump price.

Parking. In cities, a garage space or a resident permit can be a real monthly cost. Prices vary a lot by neighbourhood, so ask where you plan to live.

Tolls

Many motorways became free on 1 September 2024, including the AP-1, AP-4 and parts of the AP-7. Tolls remain on:

• the AP-7 in Catalonia and on the Alicante-Murcia section
• the AP-9 in Galicia
• the AP-2 and the AP-68 Bilbao-Zaragoza
• the AP-66 in Asturias
• the Madrid radial roads R-2, R-3, R-4 and R-5
• some tunnels and regional roads

A rough guide is €0.08-0.15 per km. Barcelona to La Jonquera on the AP-7 costs about €18-20 for a car. Prices are revised every year, so check with the operator.

Depreciation

A car loses value even when it sits still. The loss is steepest in the first 3 years, then slows. After about 10 years it is slow. A used car that is a few years old avoids the worst of it. Petrol and hybrid cars have held their value better than diesel. Cars with a DGT ECO or C label are also in higher demand. Compare the asking price with similar cars of the same age to see what you are paying for.

Adding it up

Totals run from the low thousands of euros a year for a small used car to well over that for a large or newer car. Mileage and how long you keep the car change the result a lot. Build your own figure from the lines above. Use real quotes for insurance, servicing and parking.

Checklist

• Find out whether the seller is a private person or a dealer, because a private sale pays ITP and a dealer sale carries 21% VAT.

• Look up your region's ITP rate and check whether the car's engine power puts it in a higher band, since some regions charge 8% or more above 15.9 cv fiscales.

• Add the traffic office transfer fee of about €55-56 and a gestoría fee of around €60-150 to your purchase budget.

• Ask a local independent garage for a yearly servicing quote based on the car's age and mileage, and plan extra for brakes, battery and belts on a car of 6 to 10 years.

• Budget separately for the ITV, the mandatory inspection, because it is not part of servicing costs.

• List the motorways you drive regularly and check which ones still charge tolls, using roughly €0.08-0.15 per km as a guide.

• Compare the asking price with similar cars of the same age on car-sale portals to see how much value the car is likely to lose.

• Compare the yearly cost estimates published by motoring bodies and consumer groups for a car like yours, using 12,000 to 15,000 km a year.

Frequently asked questions

Which Spanish motorways still charge tolls?

Tolls remain on the AP-7 in Catalonia, the AP-9 in Galicia, the AP-2, the AP-68 Bilbao-Zaragoza and the Madrid radial roads R-2, R-3, R-4 and R-5. Tolls were removed on several other motorways on 1 September 2024, including the AP-4 Sevilla-Cádiz.

How fast does a used car lose value in Spain?

A used car loses value fastest in its first 3 years, then more slowly, and very slowly once it is over 10 years old.

Do I pay ITP on the price I paid for a used car?

No, the ITP (the transfer tax on used cars bought from a private seller) is calculated on the official reference value of the car, not on the price you paid. Your region sets the rate, for example 4% in Madrid and 6% in Valencia. If you buy from a dealer, you pay 21% VAT instead.

How much does a gestoría charge for a car transfer?

A gestoría (a paperwork agent) typically charges around €60-150 to handle a car transfer. This comes on top of the traffic office transfer fee, which was about €55-56 in 2025.