Understanding and planning fiscal residency and Spanish tax is a very important when making the transition to become a resident in Spain. Tax in Spain is very different to the UK, and has become even more complicated since the UK left the EU as the way certain types of income are treated changed.
Here we provide an overview of the tax related requirements and key points that most need to consider when becoming a Spanish resident.
Understanding tax in Spain is essential, not just if you live here, but also if you own a property in Spain.
The Spanish tax year runs from 1st of January to 31st December. Residents have to complete their income tax return, declaracion de la renta, by 30th of June the following year, and non-residents have until 31st December.
Spain has a double taxation treaty with the UK, US and many other countries so if you are a foreign national from one of those countries living in Spain with income from your home country you can avoid getting taxed twice on the same income.
Resident or Non-Resident for Tax in Spain?
You are considered to be tax resident in Spain if any of the following apply: