If you own property in Spain as a non-resident, you have ongoing tax responsibilities — especially if you rent it out.

The good news is that…

Once you understand the key rules and forms (‘Modelos’), the process becomes predictable and manageable.

On the Costa del Sol Real Estate market, we work closely with non-tax residents buying homes on a daily basis

This guide breaks everything down simply, providing real insights from real practice on the Costa del Sol.

Who Is Considered a Non-Resident?

You are a non-resident for tax purposes if:

• You stay in Spain for fewer than 183 days per year; or
• Your main economic activity is outside Spain

This applies to most international property owners.

Main Taxes for Non-Resident Property Owners

There are 2 key scenarios:

1. You DO NOT rent the property

You still pay tax.

• Called Imputed Income Tax
• Based on a theoretical rental value
• Paid once per year

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2. You RENT the property

You pay tax on actual rental income

• Filed quarterly
• Based on income received

Key Tax Form: Modelo 210

This is the most important form for non-residents.

What is Modelo 210?

It is used to declare:

– Rental income

– Imputed income (if not rented)

– Filed by non-resident individuals

Download or complete the Modelo 210 online here.

How Often Do You File?

Not Rented Property

• Once per year
• Deadline: 31 December (following year)

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Rented Property

Quarterly filing deadlines:

• Q1 → April
• Q2 → July
• Q3 → October
• Q4 → January

Tax Rates: EU vs Non-EU

This is where many owners make mistakes.

EU/EEA residents

• Tax rate: 19%
• Expenses that can be deducted

– Mortgage interest

– Maintenance

– Insurance

– Community fees

Much more favourable

Non-EU residents

• Tax rate: 24%
• No expense deductions allowed
• Tax is calculated on gross income

Do You Need a Spanish Bank Account?

Yes — highly recommended!

Required for:

– Paying taxes

– Receiving rental income

– Making filings easier

If you obtain a mortgage, you will automatically have one.

Final Thoughts & Practical Advice

From experience, the biggest upgrade you can make is to get a Spanish digital certificate. It transforms a slow, paperwork-heavy process into something that can be done online in minutes, including filing Modelo 210, checking records and avoiding unnecessary appointments. Pair that with a good gestor — especially if you rent out your property or have multiple income streams — and everything becomes much smoother. They will handle filings, ensure you are compliant and help optimise your taxes, saving you time and hassle.

Bear in mind that Modelo 210 is only one part of the picture. You’ll still have other obligations, such as IBI, wealth tax (if applicable) and capital gains tax when selling.

Most of the issues I see arise from simple mistakes, such as missing deadlines, using the wrong tax rate or not declaring income properly. Once you set things up properly from the outset, the system is actually straightforward — and then it just runs.