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Spain Property Tax: Nonresidents, 3% Sale Withholding, 2026 Deadlines

Abstract illustration of property tax obligations

Buying in Spain triggers transfer tax (ITP) on resale homes or VAT plus stamp duty (AJD) on new builds. Owning brings IBI, waste fees and, for non-residents, imputed income tax (IRNR). Selling adds capital gains tax, plusvalía municipal and a buyer withholding of 3% on non-resident sellers. Your residency and your municipality set the rates and decide whether you file Modelo 210 or the buyer files Modelo 211.

TL;DR:

  • For resale homes, ITP typically runs 7% to 11% by region; new residential builds instead incur 10% VAT plus regionally set AJD.
  • The owner on January 1 owes IBI; nonresidents also owe imputed income tax at 19% in the EU or EEA and 24% elsewhere.
  • Buyers must withhold 3% when purchasing from a nonresident seller and pay through Modelo 211 within one month; sellers may reclaim any excess.
  • Check municipal and regional rules before signing: ITP, AJD, IBI, waste fees, wealth tax thresholds, and discounts vary by location, and some discounts require applications.
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Table of Contents

What taxes do you pay when buying property in Spain?

The tax you pay at purchase depends on whether you buy a resale home or a new build. On a resale, the buyer pays Transfer Tax (ITP), set by each autonomous community. A guide to Spanish property taxes gives a typical ITP range of 7–11%, so the exact figure depends on the region where the property sits. For example, calculate ITP by applying your region’s rate to the property price.

On a new build you do not pay ITP. You pay VAT (IVA) instead, plus Stamp Duty (AJD), which is charged on the notarized deed and registration.

VAT on residential new builds is 10%, according to the same guide to Spanish property taxes. Land and commercial property usually carry a higher standard rate. The guide gives further details. AJD is set regionally and varies by location. A property tax guide gives examples of typical rates.

Here is what to keep in mind at the notary:

  • Who pays: the buyer pays ITP, or VAT and AJD, usually around completion.
  • Resale vs. new build: you pay one or the other, never ITP and VAT on the same purchase.
  • Regional rates: check your autonomous community’s tax office before you sign, because a few points of difference change your cost by thousands.
  • Seller residency: if the seller is a non-resident, you must withhold 3% of the agreed price and pay it to the tax authorities through Modelo 211.

That last point matters more than most buyers expect. A practitioner note warns that when the buyer does not withhold, the property can remain liable for the unpaid tax debt after completion.

Which taxes do you pay every year as an owner?

The core local tax is the Property Tax (IBI), a municipal levy on ownership. It accrues on January 1, and the owner on that date is liable for the full year. The tax base is the cadastral value, and your town council sets the rate. Rates vary among municipalities.

On top of IBI, expect a municipal waste collection fee, which varies by town. Some councils add other small local levies.

If you are a non-resident, you also owe income tax on a property you do not rent out, through imputed income. That amount is taxed at 19% for owners in the EU or EEA and 24% for owners outside it. If you rent the property to others, EEA residents can deduct allowable expenses from rental income, while non-EEA owners are generally taxed on gross rent.

Wealth tax is the last item. It applies above thresholds and allowances that change by autonomous community, so two owners with identical assets can have different bills depending on where they live.

Pro Tip: Ask the municipal tax office for your cadastral reference and check whether the value has been revised, because that single figure drives both your IBI and your imputed income.

For readers comparing this with resident income taxes, our guide to Spain’s income tax brackets shows how the same rental income is treated differently once you become a tax resident.

Which taxes do you pay every year as an owner? — overview diagram

What taxes apply when you sell property in Spain?

Selling triggers three separate items: capital gains tax, plusvalía municipal and, for non-resident sellers, the buyer’s 3% withholding. The Tax Agency confirms that gains on Spanish real estate are taxable in Spain. The gain is the transfer value minus the acquisition value, where you can add purchase costs, improvements and other allowable expenses. Residents and non-residents face different rates, so confirm yours before you list.

Plusvalía municipal is a town tax on the increase in the land’s value. Each municipality calculates it under its own ordenanza, so the amount depends on the town and on how long you held the property.

Under Modelo 211, the buyer must withhold 3% of the agreed price when buying from a non-resident without a permanent establishment, as the official instructions state. That money is a payment on account of your final tax, not an extra tax.

The usual sequence looks like this:

  1. The buyer withholds 3% of the agreed price at completion.
  2. The buyer pays that amount to the tax authorities within one month using Modelo 211.
  3. The seller calculates the real capital gains tax owed.
  4. If the 3% already paid exceeds the real liability, the seller applies for a refund of the difference.

For a worked capital gains case with audit documents, see our Spanish capital gains tax example.

Which forms and deadlines should non-residents know?

Non-residents report Spanish property income on Modelo 210. The Tax Agency explains that this form covers income, capital gains or imputed income from real estate, with different deadlines for each income type.

Order HAC/623/2026 changed the calendar. According to the Agencia Tributaria’s note, the filing window for imputed income corresponding to 2026 begins on April 1, 2027, and the note sets transitional rules for 2026 accruals. An English-language summary of the same order is also available.

  • Modelo 210: imputed income, rental income and capital gains of non-residents without a permanent establishment.
  • Imputed income window: shifts to run from April 1 to December 31 for 2026 onward, per the new framework.
  • Rental income: grouped and separate declarations follow different timing, and transitional rules apply to 2026 accruals.
  • Modelo 211: the buyer’s 3% withholding, due within one month of acquisition.

Check the official notes before you file, since deadlines depend on income type and filing method.

How much do property taxes differ by region and town?

Rates are not national. The 2025 aggregated IBI table lists IBI rates by autonomous community and province and shows wide variation in municipal rates across Spain. Two owners with the same cadastral value can pay noticeably different bills simply because their town council chose a different rate.

ITP and AJD also change by autonomous community, so the purchase tax on identical homes differs from one region to the next. To check your own numbers:

  • IBI: find your town’s ordenanza on the council’s website or its tax office page.
  • ITP and AJD: use your autonomous community’s tax agency page for current percentages.
  • Bonifications: councils offer discounts for large families, protected housing and similar cases. The Murcia ordinance shows how a municipality sets its rate, lists bonification examples and defines payment installments.
  • Eligibility: confirm with the municipality, because many bonifications must be applied for and do not apply automatically.

For a wider secondary comparison, GlobalPropertyGuide compiles Spain’s property-related taxes and regional differences in one place.

How can you estimate your total tax bill?

Two short examples show how the pieces add up. These inputs are illustrative, not market data.

Example 1, a resale purchase. To estimate ITP, apply your region’s rate to the purchase price. Add AJD only if your region applies it to your transaction type, and budget notary and registry fees separately.

Example 2, annual holding as a non-resident. Estimate imputed income using the property’s cadastral value and the applicable rules for whether that value has been updated. The tax due also depends on your residency and local IBI rate. Add any waste fee.

Gather these before you sign:

  1. Cadastral value of the property.
  2. Agreed sale price.
  3. Your municipality’s IBI rate.
  4. Your residency status.
  5. Whether the property is a new build or a resale.

Before you sign, confirm the regional ITP or VAT rate, ask whether the seller is a non-resident, and request the latest IBI receipt.

What should you do next, and who can help?

Start with the right office for each question. Ask your municipal tax office about IBI and the local ordenanza, and the Agencia Tributaria about IRNR guidance. A local gestor or tax adviser handles filings and refunds when the case is not routine.

Keep these records together:

  • Purchase deed and cadastral certificate.
  • Invoices for improvements.
  • Receipts for taxes paid and withholdings.
  • Bank transfer evidence for every payment.

Hire a professional when you sell as a non-resident, claim a refund of the 3% withholding, or rent out the property across several years.

Pro Tip: Keep one digital folder and one calendar for every deadline, and file each receipt the day you pay it.

A financial dashboard can also centralize documents and reminders, which is where we come in next.

How can a dashboard help you track property taxes and deadlines?

Netclariq

We built Netclariq so you can manage your financial data in one place without linking a bank account. If you want to organize your tax data before filing, here is what you get:

  • Manual and CSV input, plus consolidated assets and debts in one view.
  • Capital gains tools for tax reporting.
  • A scenario simulator to test a sale or a hold.
  • A free 30-day trial without a credit card.

Browse our free calculators or compare plans on our pricing page and start your trial today.

This article is general information, not a substitute for advice from a qualified financial advisor. Consult a qualified financial professional about your own circumstances before acting on anything here.

FAQ

Do they pay property tax in Spain?

Yes. Owners pay IBI, a municipal property tax that accrues on January 1 each year. Non-resident owners also file income tax on imputed income, and the amount depends on the municipality and your residency.

Can you live in Spain permanently if you buy a property?

Buying a property does not by itself give you the right to live in Spain permanently. Residency depends on immigration rules, not on ownership, so check the official requirements for your nationality before you rely on a purchase.

What happens if the buyer does not withhold the 3% from a non-resident seller?

The property can remain legally liable for the unpaid tax debt, which creates problems for the buyer after completion. Buyers should withhold the amount and pay it with Modelo 211 within the deadline.

Which tax do you pay on a new build instead of ITP?

You pay VAT (IVA) plus Stamp Duty (AJD) instead of ITP. VAT on residential new builds is 10% according to a property tax guide, and AJD varies by region.

Where can you find your local IBI rate?

Look up your town’s ordenanza on the council’s website or its tax office page. The 2025 aggregated IBI table shows how rates vary across regions and provinces.

Sources

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