News for Non-Residents in Spain
New Tax Measures in the Spanish Real Estate Market
100% Tax on Purchases by Non-Resident Foreigners
The Spanish government has proposed a new 100% tax on home purchases by non-resident non-EU citizens. This measure seeks to curb real estate speculation and facilitate access to housing for residents. However, experts warn that it could have limited effects, as purchases by non-residents represent only 3% of the market and are concentrated in luxury properties.
21% VAT for Tourist Rentals
In addition, a VAT increase to 21% has been proposed for short-term tourist rentals. This measure seeks to regulate the sector and ensure adequate taxation of tourism-related economic activities.
Inheritances and Wills: Tax Aspects for Non-Residents
Inheritance and Gift Tax for Non-Residents
Non-residents who receive an inheritance or gift in Spain must self-assess the Inheritance and Gift Tax. This tax is managed through the Spanish Tax Agency (AEAT) and applies to assets located in Spanish territory.
Obligation to Obtain NIE for Inheritances
It is essential that non-resident heirs obtain a Foreigner Identification Number (NIE) to accept an inheritance in Spain. This document is required to complete all legal and tax procedures related to the succession.
Property Buying and Selling: Trends and Recommendations
Increase in Home Purchases by Non-Resident Foreigners
In the second half of 2024, home sales in Spain by non-resident foreigners increased by 10.3% year-on-year, reaching 69,690 transactions. This trend reflects the continued interest of foreign investors in the Spanish real estate market.
Recommendations for Foreign Buyers
It is essential that foreign buyers obtain a NIE (National Identity Document) before signing the public deed of sale. Furthermore, it is recommended to open a bank account in Spain to facilitate transactions and comply with applicable tax obligations.
Why Choose Tax&Law Almoradí to Manage Your Rentals?
With years of experience advising non-residents, we provide a personalized, multilingual service tailored to the specific needs of foreign owners. Our goal is to maximize the profitability of your real estate investment and ensure that all legal and tax aspects are perfectly managed, giving you the peace of mind and confidence you deserve.
