Spanish Non-Resident Tax (IRNR) Calculator & Legal Advice in London & Spain
BCP have launched a new online Spanish Non-Resident Tax calculator to assist with submitting the taxes due for non-residents who own property in Spain and which is not rented out.
Spanish Non-Resident Tax (Impuesto sobre la Renta de No Residentes) is a Spanish income tax payable by non-residents of Spain who own a property. It is a legal requirement that the tax return is submitted and is applicable whether the property is rented out or not.
How do I know if I am I liable for Spanish Non-Resident Tax?
If you are a non-resident and own a property that is for personal use and not rented you must submit the return.
If the property is rented and you are receiving an income, you must submit an income tax return.
You can use our online Spanish Non-Resident Tax calculator to help you to do this yourself or contact our expert Spanish tax lawyers for a quote on +44 (0)207 936 9668 or complete our online enquiry form.
How is the tax calculated?
The tax is calculated on the cadastral value of the property (valor catasral), the equivalent to the UK rateable value.
Currently, for non-Spanish residents, the taxable base is calculated at 1.1 % for properties where the rateable value has been reviewed or changed and brought into effect within the tax period, or within the ten previous tax periods. It is calculated at 2% for all other buildings.
For residents in the EU, Iceland and Norway the applicable tax rate is 19%, and 24% for all other residents.
As an example, for a non-EU resident, a property which has a cadastral value of 100,000€, the taxable base is calculated at 1.1% of 100,000€ = 1,100€. The tax payable is 24% of the taxable base, being 264€.
If the property is jointly owned, two separate returns must be submitted for each owner and who are responsible for 50% of the total tax due.
The tax year for IRNR is from January to December each year. By law, the deadline to submit the payment is 31 December of the relevant tax year. Payment of the tax can be made during the year following the tax period due. For example, for the 2022 tax year, the payment period is from 1 January 2023 until 31 December 2023. Any late submission or late payment will incur interest and late payment penalties.
Contact our Spanish Non-Resident Tax Lawyers today or use our Spanish Non-Resident Tax Calculator
Click here to calculate your return or contact us using our contact form for further assistance from our Spanish Tax Planning Lawyers.