🇪🇸 Inheriting Property or Assets in Spain? Start Here
If you’re a foreigner inheriting property, money, or assets in Spain, you’re likely subject to Spanish inheritance tax (Impuesto sobre Sucesiones y Donaciones) — even if you don’t live in Spain.
Spain does not apply automatic exemptions for spouses or children like some other countries. Instead, each beneficiary must pay tax, and the rules vary dramatically depending on:
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Where the property is located
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Your relationship to the deceased
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Whether you are a tax resident in Spain or not
⚠️ Who Pays Inheritance Tax in Spain?
| Scenario | Do You Pay Tax? |
|---|---|
| You live abroad but inherit a home in Spain | ✅ Yes (non-resident heir) |
| You’re an expat inheriting from another expat | ✅ Yes |
| You inherit Spanish bank accounts or shares | ✅ Yes |
| You’re a spouse or child of the deceased | ✅ Yes — but possible reductions |
📊 Inheritance Tax Rates in Spain
Inheritance tax is progressive and depends on:
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Value of the inheritance
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Relationship between deceased and heir
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The regional allowances where the property is located
| Inherited Amount (€) | Typical Rate Range |
|---|---|
| Up to €7,993 | 7.65% |
| €7,993 – €31,956 | 7.65% – 10.2% |
| €31,956 – €79,881 | 10.2% – 15.3% |
| €79,881 – €239,389 | 15.3% – 21.25% |
| Over €239,389 | Up to 34% (with multipliers) |
🔹 Multipliers apply for distant relatives or unrelated beneficiaries.
🌍 Non-Residents: What to Know
If you are not a Spanish tax resident, but inherit property or money in Spain:
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You must file Spanish inheritance tax (Modelo 650 or 652)
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You may also owe tax in your home country, depending on its laws
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You may need to prove tax residency status to avoid double taxation
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EU/EEA citizens have equal rights to Spanish residents (thanks to EU Court rulings)
💡 Non-resident heirs often make the mistake of not filing at all — resulting in penalties, interest, and title-transfer issues.
🌐 Regional Differences in Spain
Spain’s 17 regions (autonomous communities) each set their own reductions and exemptions.
| Region | Foreign Heirs Allowed Reductions? | Notes |
|---|---|---|
| Andalucía | ✅ Yes – large exemptions | Often no tax for children, spouses |
| Madrid | ✅ Yes – 99% reduction for heirs | One of the most tax-friendly regions |
| Catalonia | 🔶 Yes – partial reductions | Depends on class of heir |
| Valencia | ✅ Improved deductions since reform | May require residency proof |
| Balearic Islands | ✅ With conditions | Requires careful planning |
📄 Deadlines & Filing Requirements
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Tax must be filed within 6 months of the date of death
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One-time extension possible (3 additional months), but must be requested within 5 months
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Forms to file:
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Modelo 650 (standard inheritance declaration)
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Modelo 652 (when inheritance includes real estate or large assets)
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⚠️ Not filing in time may block title transfer at the Spanish Land Registry and incur penalties.
⚖️ How a Lawyer Can Help
Our English-speaking inheritance lawyers help with:
✅ Calculating tax and reductions
✅ Filing all required forms and extensions
✅ Coordinating with Spanish notaries
✅ Transferring property titles
✅ Avoiding double taxation and overpayment
✅ Representing heirs who live abroad
🗝️ Key Takeaways for Foreigners
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You’re likely liable for Spanish inheritance tax, even as a non-resident
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Reductions exist — but depend on your relationship and the region
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Filing deadlines are strict and affect property rights
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You may also face inheritance obligations in your home country
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Legal support is critical to avoid penalties and delays
📞 Speak to a Spanish Inheritance Tax Lawyer Today
Whether you’ve inherited a holiday home, family assets, or a local bank account, our legal team can handle the filings, taxes, and transfer process — all in English.
👉 Contact us today to book a consultation with a Spanish inheritance tax lawyer.