One rate for all non-residents
Spain's non-resident income tax (IRNR) has a general rate of 24%, reduced to 19% for residents of the EU, Iceland, Norway and Liechtenstein. Gains on the sale of assets such as a home, however, have their own rate of 19%, with no distinction by country of residence. A seller living in the United Kingdom therefore pays the same as one living in the Netherlands or Germany.
The difference between EU residents and others lies in rental income, the tax on an unlet second home and a number of exemptions. A double tax treaty allocates taxing rights between countries but does not change the Spanish rate. How the Spanish tax is treated in your country of residence is something to have reviewed by an independent tax adviser.
How the gain is calculated
The gain is the transfer value minus the acquisition value. Neither equals the price in the deed.
| Acquisition value | Transfer value |
|---|---|
| + Purchase price in the deed | Sale price in the deed, unless it is below market value |
| + Transfer tax (ITP), VAT (IVA) or stamp duty (AJD) paid | − Agency commission including VAT |
| + Notary, land registry and administrative agent on purchase | − Plusvalía municipal (municipal tax on the rise in land value), if borne by you |
| + Cost of improvements | − Energy certificate and notary costs payable by you |
| − Depreciation for the years the property was let |
Two points often come as a surprise. First, if the property has been let, the acquisition value is reduced by a minimum depreciation of 3% a year on the building value, even if you never claimed it. Second, where the seller is a non-resident individual, the buyer pays the plusvalía municipal to the town hall. You may only deduct it if it has been passed on to you. Record this in the deed.
Which invoices count
Only improvements increase the acquisition value; maintenance does not. The rule of thumb: installing something for the first time is an improvement, replacing something that was already there is maintenance. Air conditioning where there was none, a terrace enclosed with a licence or a new lift through the community count. Painting, new bathroom fittings or a replacement boiler do not, and neither do furniture or mortgage interest.
An invoice must carry a number and date, the names and tax numbers of both parties, including your NIE (Spanish tax identification number), a description of the work and VAT shown separately. Pay by bank transfer. Till receipts, invoices in someone else's name and cash payments are hard to defend.
Worked example: a flat in Benalmádena
A flat in Benalmádena, bought in 2014 for €180,000, let for six years and sold in 2026 for €294,000. The amounts are illustrative.
- Acquisition value: €180,000 + €14,400 transfer tax + €1,750 notary, registry and agent + €16,200 improvements − €21,184 depreciation = €191,166
- Transfer value: €294,000 − €17,787 commission − €3,900 plusvalía − €580 notary and energy certificate = €271,733
- Gain €80,567, tax at 19% = €15,308. After deducting the 3% withheld by the buyer (€8,820), €6,488 remains payable.
Without supporting documents the gain would be €114,000 and the tax €21,660, or €6,352 more. Invoices for €7,700 of maintenance did not count.
Exemptions and special cases
- Reinvestment. Only for residents of the EU, Iceland, Norway and Liechtenstein, and only if the home sold was your main residence in Spain. A holiday home never qualifies.
- Over 65. The exemption for over-65s does not apply to non-residents.
- Inherited property. The acquisition value is the value declared for inheritance tax. Declaring too low can be costly on sale; in one example the difference is €17,100. See inheritance tax in Andalusia.
- Inflation. Since 2015 the purchase price is no longer indexed for inflation. Transitional rules still apply to purchases before 31 December 1994, and a 50% exemption to purchases between 12 May and 31 December 2012.
Deadlines
The buyer withholds 3% of the price and pays it within one month using form Modelo 211. You then file Modelo 210 within three months, so around four months after completion, also when you are due a refund. More in the 3% withholding and on our costs page.
This information is general; always have your situation reviewed by an independent tax adviser. CostaVista guides you in gathering the documents before a sale and coordinates with your adviser, together with our local partners. Get in touch.
General information, as of October 2026. This is not legal, tax or financial advice; for your own situation, consult an independent specialist.