All your Spanish tax obligations. One provider. One fixed annual fee.

The non-resident tax maze: what you actually owe

Owning property in Spain as a non-resident is a pleasure in many respects — and a source of unexpected administrative complexity in others. The Spanish tax authority (Agencia Estatal de Administración Tributaria, AEAT) has progressively tightened enforcement of non-resident obligations over the past decade, and the combination of automated information exchange under the Common Reporting Standard (CRS) and the EU’s DAC directives means that undisclosed Spanish income and assets are increasingly easy to detect.

The main taxes a non-resident property owner needs to manage are:

IRNR (Impuesto sobre la Renta de No Residentes): The non-resident income tax, applied to Spanish-source income and to imputed income on vacant properties. Filed via Modelo 210, either quarterly (for rental income) or annually by 31 December (for imputed income on non-rented properties).

Patrimonio (Impuesto sobre el Patrimonio): Wealth tax on Spanish-sited assets. Applies to non-residents on Spanish assets above 700,000 euros per individual. Filed via Modelo 714, due May-June for the prior year.

Plusvalía municipal: The municipal land value increment tax, levied by the local council on every transfer of urban property. Calculated on the increase in the cadastral value of the land (not buildings) since the date of acquisition, applying a set of municipal coefficients. Payable by the seller on a sale; by the heir or donee on inheritance or gift.

Modelo 720/721: Informational declarations for Spanish residents with foreign assets over 50,000 euros. Not applicable to non-residents, but becomes relevant if a non-resident purchases additional Spanish property and spends enough time in Spain to inadvertently become a Spanish tax resident.

Capital gains (IRNR plusvalía estatal): Tax on the gain realised on selling a Spanish property. A 3% withholding is automatically applied by the buyer at the notary; any overpayment is reclaimed via Modelo 210.

Why a single provider matters

Each of these taxes has different deadlines, different filing forms, and different calculation methodologies. Many non-residents manage them through a patchwork of local advisers — a gestor in the town where the property is located, an accountant back home who handles the overseas income declaration, and no one paying attention to the interactions between them. This fragmented approach is a reliable source of errors, missed deadlines, and missed opportunities to reduce liability.

A single provider who manages all your Spanish tax obligations has a complete picture of your position. When you sell a property, BMC knows your original acquisition cost, the improvements you made, and the depreciation claimed in prior years — information that is essential for an accurate gain calculation but frequently unavailable when it is needed. When you receive a rental income increase, BMC assesses whether wealth tax thresholds are affected. When you restructure your UK or US portfolio, BMC models whether the Spanish treaty implications are considered.

What BMC’s annual package includes

The standard annual package covers:

• Fiscal representation with the AEAT (mandatory for non-EU residents including British nationals)
• Annual IRNR imputed income filing (Modelo 210) for vacant or owner-occupied properties
• Quarterly IRNR rental income filings (Modelo 210) if the property is rented out
• Annual wealth tax return (Modelo 714) if Spanish assets exceed the threshold
• AEAT correspondence management — all official letters and notices handled without requiring your personal intervention
• Annual tax position review call with your dedicated tax manager

Capital gains advisory and Modelo 720/721 declarations are available as add-ons priced per transaction or declaration.

Country-specific considerations

UK nationals post-Brexit: Since 1 January 2021, UK nationals are treated as non-EU third-country nationals for Spanish tax purposes. This means rental income is taxed at 24% on gross income (no expense deductions), fiscal representation is mandatory, and the 3% capital gains withholding applies on property sales. The UK-Spain DTA remains in force and prevents double taxation, but the procedural burden has increased compared to the pre-Brexit position. BMC is familiar with the mechanics of the UK-Spain treaty and the HMRC paperwork required to claim relief on Spanish tax paid.

US nationals: American citizens are subject to worldwide income taxation by the IRS regardless of where they live. Spanish tax paid on Spanish property income creates a US foreign tax credit, but the interaction between the two systems requires careful management. FBAR (FinCEN 114) reporting is required for Spanish bank accounts above 10,000 USD at any point in the year. FATCA rules mean Spanish banks routinely report US-connected account holders to the AEAT, which exchanges the information with the IRS. BMC coordinates with US tax counsel for clients who need integrated Spanish-US advice.

German, Dutch, and Nordic nationals: EU residents benefit from the 19% IRNR rate and the ability to deduct expenses from rental income. Wealth tax applies at the same thresholds as for other non-residents. Several Northern European countries have particularly active information exchange arrangements with Spain, meaning undisclosed Spanish income has a high probability of detection.

Pricing transparency

BMC prices annual tax packages on a fixed-fee basis with no hourly billing or unexpected invoices. Fees are agreed upfront and cover all standard filings for the year. We publish indicative pricing on request and tailor packages to your exact asset profile — a client with one residential property in Alicante paying no rent has a straightforward profile; a client with three rental properties in different regions and a Spanish bank account has a more complex one. In both cases, you know the cost at the start of the year.