- Buying a resale: transfer tax (ITP) of 6% to 13%, set by the region.
- Buying a new build: 10% IVA plus 0.75% to 1.5% stamp duty (AJD).
- Owning: IBI council tax every year, plus non-resident income tax if you live abroad (19% or 24% on an imputed or actual income).
- Wealth: wealth tax above €700,000 of net assets, with big regional differences, and the solidarity tax (ITSGF) above €3 million.
- Selling: capital gains tax (19% for non-residents), the 3% retention for non-resident sellers, and the municipal plusvalía.
Spanish property taxes at a glance
Spain splits property taxes between the state, the 17 regions (comunidades autónomas) and the town hall. That is why the same flat can cost thousands of euros more in tax in Barcelona than in Madrid. The table below gives the main taxes and who sets them. Rates are the general ones; many regions have reduced rates for young buyers, large families or main homes.
| Stage | Tax | Typical rate | Set by |
|---|---|---|---|
| Buying (resale) | ITP (transfer tax) | 6% to 13% of the price | Region |
| Buying (new build) | IVA (VAT) | 10% of the price | State |
| Buying (new build) | AJD (stamp duty) | 0.75% to 1.5% | Region |
| Owning | IBI (council tax) | A percentage of the valor catastral | Town hall |
| Owning | Non-resident income tax (Form 210) | 19% EU/EEA, 24% others | State |
| Owning | Wealth tax / ITSGF | Progressive, above €700,000 net | Region / State |
| Owning | Rubbish collection fee | Flat or tiered annual fee | Town hall |
| Selling | Capital gains tax | 19% non-residents; 19% to 30% residents | State |
| Selling | Plusvalía municipal | Up to 30% of a calculated land gain | Town hall |
Taxes when you buy
Resale homes: ITP
If you buy from a private seller, you pay Impuesto sobre Transmisiones Patrimoniales (ITP). Each region sets its own rate. According to the Ministry of Finance's summary of regional measures for 2025:
- Madrid: 6%
- Canary Islands: 6.5%
- Andalucía and La Rioja: 7%
- Murcia: 7.75%
- Galicia: 8%
- Valencia region: 9% from 1 June 2026 (10% before), and 11% above €1 million
- Catalonia: a scale from 10% to 13% depending on value
- Balearic Islands: a scale from 8% to 13%
ITP is paid on the price in the deed or the tax reference value (valor de referencia) set by the Catastro, whichever is higher. You normally have about a month from completion to pay, but check the deadline with your region's tax agency.
New builds: IVA and AJD
A new home bought from a developer carries IVA (Spanish VAT) at 10%. You also pay stamp duty (Actos Jurídicos Documentados, AJD) on the deed. In 2025 AJD was 0.75% in Madrid and the Canary Islands, 1.2% in Andalucía and 1.5% in most other regions, including Catalonia, Murcia and the Balearics. The Valencia region cut it to 1.4% from 1 June 2026. In the Canary Islands, IGIC replaces IVA.
For a full breakdown including notary, registry and lawyer fees, see our guide to the cost of buying property in Spain.
Taxes while you own
IBI (council tax)
Every owner pays Impuesto sobre Bienes Inmuebles (IBI) to the town hall once a year. It is a percentage of the property's valor catastral. Unpaid IBI stays attached to the property, so a buyer can inherit a seller's debt. Read more in our IBI guide.
Non-resident income tax
If you are not tax resident in Spain, you pay Spanish income tax on your property even if you never rent it out. For a home kept for your own use, the tax is based on an imputed income of 1.1% or 2% of the valor catastral. If you rent it out, you pay on the rent. The rate is 19% for residents of the EU, Iceland and Norway, and 24% for everyone else, including UK residents since Brexit. It is filed on Form 210. See non-resident tax in Spain.
Wealth tax and the solidarity tax
Wealth tax (Impuesto sobre el Patrimonio) applies to net assets above €700,000 in most regions, plus up to €300,000 for a resident's main home. Non-residents are taxed only on their Spanish assets. Several regions, including Madrid and Andalucía, give a 100% relief, but the state's solidarity tax on large fortunes (ITSGF) still applies above €3 million and is still in force in 2026. See our wealth tax guide.
Rubbish collection
Town halls also charge for rubbish collection (tasa de basuras). Under Spain's 2022 waste law, councils must now charge a fee that covers the real cost of the service, so bills have risen in many towns. Amounts and billing differ by council. Some add it to the IBI bill, others to the water bill.
Taxes when you sell
Capital gains tax
Your profit (sale price minus purchase price, buying costs and improvements) is taxed. Non-residents pay 19%. Residents pay the savings scale, from 19% to 30%. Residents can get relief when they reinvest in a new main home, or when they are over 65 and sell their main home.
The 3% retention for non-resident sellers
If the seller is not tax resident in Spain, the buyer must hold back 3% of the price and pay it to the Agencia Tributaria on Form 211 within a month. The seller then files Form 210 to settle the real tax or reclaim any excess. As a buyer, getting this wrong makes you liable for the 3%.
Plusvalía municipal
The town hall taxes the rise in land value on sale. Since the 2021 reform, it can be calculated two ways and the seller can choose the lower one; there is no tax if there was no gain. The seller normally pays, but if the seller is non-resident the law makes the buyer liable. See plusvalía tax in Spain.
Inheritance tax
Inheritance and gift tax (ISD) is set mainly by the regions. Andalucía, Madrid, Murcia and Valencia give children and spouses a 99% relief, while other regions tax more heavily. Since 2015, non-residents can use the regional rules too. See our inheritance tax guide.
Check the property before you pay any of this
Tax is only part of the risk. Debts, charges and the true legal owner show up in the land registry, and the valor catastral drives several of the taxes above. You can find it using the referencia catastral and a nota simple. If you'd like a hand, enter the address or referencia catastral on our free property check and we'll get back to you by email.
Rates change often, especially regional ones. Check the current figure with the regional tax agency or your lawyer before you budget.
Questions
What taxes do I pay when buying a resale property in Spain?
You pay transfer tax (ITP) set by the region, which in 2025 ranged from 6% in Madrid to 13% at the top of the scales in Catalonia and the Balearics. Notary, land registry and lawyer fees come on top.
What taxes do I pay when buying a new build in Spain?
New homes carry 10% IVA (VAT) plus stamp duty (AJD) on the deed, which ranges from 0.75% to 1.5% depending on the region. The Canary Islands use IGIC instead of IVA.
Do non-residents pay tax on a Spanish holiday home they don't rent out?
Yes. Non-residents pay annual non-resident income tax on an imputed income of 1.1% or 2% of the valor catastral, at 19% for EU/EEA residents and 24% for others, plus IBI to the town hall.
What taxes do I pay when selling property in Spain?
Capital gains tax on your profit (19% for non-residents), plus the municipal plusvalía tax on the land value. If you are non-resident, the buyer withholds 3% of the price as a payment on account.