Spanish tax glossary

Key Spanish tax terms explained in plain English.

3% retention

Amount the buyer withholds on a non-resident's property sale as a tax advance.

AEAT

The Spanish Tax Agency (Agencia Estatal de Administración Tributaria).

Cadastral value (valor catastral)

Administrative value of a property used to calculate imputed income and local taxes.

Cl@ve

Spanish government electronic identification system.

Deductible expenses

Rental costs EU/EEA residents may subtract from rental income.

Domiciliación

Direct debit — the Tax Agency collects the tax from your bank account.

IBI

Annual local property tax paid to the town hall.

IRNR

Non-Resident Income Tax (Impuesto sobre la Renta de No Residentes).

Modelo 030

Form to request a Spanish tax identification number.

Modelo 210

The form non-residents use to declare imputed income, rental income or capital gains.

Modelo 211

Form for the buyer's 3% retention when a non-resident sells property.

NIE / NIF

Foreigner identity number / tax identification number.

NRC

Complete reference number proving a tax payment made through a bank.

Plusvalía municipal

Local tax on the increase in land value when a property is sold.