Property taxes in Spain for non-residents: annual obligations

IRNR: the tax most non-residents don't know about

The Impuesto sobre la Renta de No Residentes (IRNR) is Spain's income tax for non-residents. What surprises most foreign owners is that you owe this tax even if you do not rent your property out.

For non-rented properties, Spain calculates an 'imputed income' based on the cadastral value (valor catastral) of the property — typically 1.1% or 2% of the cadastral value, depending on when it was last revised. You then pay 19% (EU/EEA residents) or 24% (everyone else) on that imputed income.

IBI: Spain's council tax

The Impuesto sobre Bienes Inmuebles (IBI) is the Spanish equivalent of council tax or property tax. It is charged by your local town hall (ayuntamiento) based on the cadastral value of your property.

Rates vary significantly by municipality — typically between 0.4% and 1.1% of the cadastral value. For a property with a cadastral value of €100,000, expect to pay €400-€1,100 per year. Coastal tourist areas tend to have higher rates.

IBI is due annually, usually between September and November. If you buy mid-year, the seller typically pays the prorated amount up to the sale date.

Wealth tax (Impuesto sobre el Patrimonio)

Spain charges a wealth tax on worldwide assets for residents and on Spanish assets for non-residents. Non-residents have a €700,000 exemption on Spanish assets, so you only pay if your Spanish property (and other Spanish assets) exceeds this threshold.

Rates are progressive, starting at 0.2% and rising to 3.5% in the highest bracket. Some regions (Madrid) have historically bonified this tax to 0%, but non-residents pay the state rate regardless of where the property is located.

Basura and community fees

The tasa de basura (rubbish collection tax) is a small annual charge set by the local council — typically €50-€150 per year.

If your property is in a complex with shared areas (pool, garden, lift, security), you will also pay community fees (cuota de comunidad). These are not a tax but a mandatory charge set by the owners' association, ranging from €50 to €300+ per month depending on the amenities.

How and when to file

IRNR for non-rented properties must be filed annually by 31 December of the following year (e.g., 2026 income is filed by 31 December 2027). If you rent the property, you must file quarterly.

You can file yourself using Spain's electronic tax system (requires a digital certificate) or appoint a fiscal representative (gestor fiscal or tax advisor) to handle it. Most non-residents use a gestor — annual cost is typically €100-€300.

• •Form 210: For IRNR (annual or quarterly depending on rental)
• •Form 714: For wealth tax (if applicable, filed June-July)
• •IBI: Paid directly to the ayuntamiento (can be set up as direct debit)