Non-Resident Property Tax in Spain:
Modelo 210 Explained

ALTEALEX — Non-resident tax advice for foreign property owners

What Is the Modelo 210 and Who Has to File It?

If you own a property in Spain but live abroad, the Spanish tax office treats you as a non-resident taxpayer. That means you have your own set of annual obligations — separate from your taxes at home — and the main one is the Modelo 210, the non-resident income tax return (Impuesto sobre la Renta de no Residentes, IRNR).

The most common misunderstanding we see is this: many owners assume that if they do not rent the property out, they owe nothing. That is not the case. Spain taxes an imputed income on a second home simply for having it available for your own use, and it must be declared every year.

Failing to file is one of the issues that most often surfaces years later — usually when the owner decides to sell, or when heirs deal with an inheritance — with interest and penalties added on top. It is a straightforward obligation to keep on top of once you know it exists. If you do not have one yet, you will also need a NIE number before you can file anything. Our article on non-resident income tax (IRNR) explains the background in more detail.

Which Taxes Do I Pay as a Non-Resident Owner in Spain?

  • If you do not rent the property out. You declare an imputed income calculated on the cadastral value of the property (generally 1.1% of that value, or 2% where the cadastral value has not been revised recently). The tax rate is 19% for residents of the EU, Iceland and Norway, and 24% for everyone else — which, since Brexit, includes UK owners.
  • If you do rent it out. The rental income is declared and taxed. EU/EEA residents may deduct allowable expenses such as community fees, IBI, insurance, repairs and mortgage interest; non-EU residents, including UK owners after Brexit, are taxed on the gross income without those deductions.
  • Other taxes you should not overlook. The annual council property tax (IBI) and, in some cases, wealth tax (Impuesto sobre el Patrimonio). We review your full position rather than the Modelo 210 in isolation. Where the property is inherited rather than bought, the tax position is different and is covered in our inheritance service. We file for owners across the Costa Blanca — Altea, Calpe, Benidorm, Jávea, Dénia and Alfaz del Pi — and for properties anywhere else in Spain.

When a non-resident sells a property in Spain, the buyer is legally obliged to withhold 3% of the sale price and pay it directly to the tax office on account of your capital gains tax. You then declare the actual gain and either pay the difference or claim a refund if the 3% exceeds what you really owe — which is often the case.

You will also face plusvalía municipal, a local tax on the increase in the land value, payable to the town hall. Both need to be handled within strict deadlines, and a refund claim that is filed late is a refund lost.

Rates, cadastral coefficients and deadlines are those applicable at the time of writing and can change with each Spanish budget. We confirm the figures that apply to your specific property and country of residence before you file.

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Our Non-Resident Tax Service Is All-Inclusive

  • Filing your annual Modelo 210 non-resident income tax return.
  • Calculating imputed income from the cadastral value of your property.
  • Declaring rental income, quarter by quarter, if you let the property.
  • Applying the correct tax rate for your country of residence (19% or 24%).
  • Claiming allowable expenses where EU/EEA rules permit them.
  • Reviewing previous years and regularising unfiled returns before they become a problem.
  • Claiming back overpaid withholding tax from the Spanish tax office.
  • Calculating and settling plusvalía municipal with the town hall.
  • Coordinating your Spanish tax position with your adviser at home.

Frequently Asked Questions About Non-Resident Tax in Spain

The Modelo 210 is the Spanish non-resident income tax return (IRNR). Any non-resident who owns property in Spain must file it, whether or not the property produces any income.

Yes. Spain taxes an imputed income simply for having a property available for your own use. It is calculated on the cadastral value of the property, generally 1.1% of that value, or 2% where the cadastral value has not been revised recently.

19% for residents of the EU, Iceland and Norway, and 24% for everyone else. Since Brexit, UK owners fall into the 24% band and can no longer deduct expenses from rental income.

For imputed income, the return for one calendar year is filed during the following year, with 31 December as the final date. If the property is rented out, returns are filed on a quarterly basis.

Unfiled years can be regularised voluntarily, which normally means paying the tax plus a surcharge, but avoids the far heavier penalties that apply once the tax office opens an inspection. This most often comes to light when the property is sold or inherited.

The buyer must withhold 3% of the sale price and pay it to the tax office on account of your capital gains tax. You then declare the real gain and either pay the difference or reclaim the excess. You will also owe plusvalía municipal to the town hall.