Non Resident Tax Spain 2022?
- Víctormanuel Paz
TAXES TO RENT A PROPERTY IN SPAIN – Wether you are resident or non-resident of Spain, renting your property is legal. However, you must remember that you must report your rental income to the tax authorities. You are actually required to report the income within 30 days of receiving it , but you can request to do so on a quarterly basis to simplify the paperwork.
- It is true that almost all landlords who rent their properties do not declare this income to the Spanish tax authorities and the chances of being caught are slim;
- However, Spanish Income Tax takes into account the benefits arising in Spain;
If you are a non-resident, you must pay 24. 75% for rental income. You cannot reduce 50% as in the case of resident owners. If you are a resident, you must include your rental income with your other income when making your annual Spanish tax return. If you register your property as a tourist rental, you can charge the cost of maintaining your property as a business expense and offset it against the property taxes.
How much is non residents tax in Spain?
How much is non resident tax in Spain? – Non-resident taxpayers in Spain are taxed at the rate of 19-24 % on income earned in Spanish territory or income that arises from Spanish sources such as property. Specific rates apply to other kinds of income.
How do I pay my Spanish tax?
Pay tax as a resident – Paying taxes in Spain can be done via the tax agency’s website, mobile app, telephone, or in person. Since most people do it online , here’s how you can file your electronic tax return:
- Select the relevant form (modelo) to file your tax return. To file your income tax return , you need Modelo 100.
- Click on Renta Web to file your electronic tax return. This is a secure system introduced by Agencia Tributaria to file a draft tax return, submit tax returns, make modifications, or view the status of your current and previous tax returns. Note- this is only accessible from April to June.
- To access Renta Web, identify yourself with your NIE number , which serves as your Spanish tax ID number. Or use one of the following digital identification methods – [email protected], TOKEN, Número de referencia, or Certificado y DNI electrónico.
- Simply follow the instructions on screen or use the video instructions (in Spanish) to file your draft tax return. You can save this and submit it when it’s complete.
Expats often hire a gestor (accountant) to help file their tax returns as it can be a complex process, especially as the online system is not in English.
How do I register to pay tax in Spain?
Register to pay Spanish tax: residents and non-residents – You will need to register to pay tax in Spain with the Spanish tax authority, whether you are a resident or non-resident. First, you’ll need your Foreigner’s Identity Card (NIE) number, which you can get through the local Foreigner’s Office ( Oficina de Extranjeros ) or police station within 30 days of arrival in Spain.
How much tax do I pay in Spain?
Personal income tax (PIT) rates – Savings taxable income is taxed at the following rates:
- 19% for the first EUR 6,000 of taxable income.
- 21% for the following EUR 6,000 to EUR 50,000 of taxable income.
- 23% for the following EUR 50,000 to EUR 200,000 of taxable income.
- 26% for any amounts over EUR 200,000.
For general taxable income, progressive tax rates are applied (which are the sum of the applicable rate approved by the state and the applicable rate approved by each autonomous community of Spain in their progressive tax rate scales). Tax liability may therefore differ from one autonomous community to another. The following tables show the tax scale for withholdings approved by the state. This scale can be used as a guideline of the progressive tax rates applicable for the general taxable base. Tax scale for withholdings applicable in 2021:
|Taxable base (up to EUR)||Tax liability (EUR)||Excess of taxable base(up to EUR)||Tax rate (%)|