Non-resident income tax Spain IRNR

What is the IRNR?

The Impuesto sobre la Renta de No Residentes (IRNR) is Spain's income tax for non-residents who have income originating in Spain. For property owners who do not live in Spain, this primarily means two things: a deemed income charge on properties that are not rented out (the property is assumed to generate notional rental income), and actual rental income tax for properties that are let. Both must be declared annually even if no actual income is received.

Deemed Income (Renta Imputada) for Non-Rented Properties

If you own a property in Spain that is not your principal residence and you do not rent it out, Spain taxes a notional "deemed income" equal to a percentage of the property's cadastral value (valor catastral):

  • 1.1% of the cadastral value if the value has been revised by the municipality within the last 10 years.
  • 2% of the cadastral value if it has not been revised within the last 10 years.

This notional income is then taxed at the IRNR flat rate:

  • 19% for EU and EEA (European Economic Area) nationals, including citizens of Iceland, Liechtenstein, and Norway.
  • 24% for all other non-residents, including UK nationals (post-Brexit), US, Canadian, and Australian nationals.

Example: A British national owns an apartment in Mijas with a cadastral value of €80,000 (revised within 10 years). Deemed income = 1.1% × €80,000 = €880. IRNR at 24% = €211.20. Filed annually by 31 December for the previous year.

Rental Income Tax (Ingresos por Arrendamiento)

If you rent out your Spanish property — whether long-term or as a holiday let — the rental income is taxable in Spain as an IRNR income. The tax is due each quarter when income is received.

EU/EEA residents can deduct expenses proportionally to the rental period — mortgage interest, insurance, maintenance, community fees, utilities, depreciation, management fees, etc. This makes the EU/EEA position significantly more advantageous than for non-EU nationals. Non-EU residents (including UK nationals post-Brexit) are taxed on gross rental income with no expense deductions — at 24%. UK nationals who have rented property in Spain since Brexit should be aware that the inability to deduct expenses significantly increases their effective tax rate.

Filing the Modelo 210

IRNR returns for property are filed using Modelo 210. There are two scenarios:

  • Non-rented property (deemed income): Filed once per year. Deadline: 31 December of the year following the tax year (so the 2026 return is due by 31 December 2026 — covering the calendar year 2026). One Modelo 210 per property.
  • Rental income: Filed quarterly within the first 20 days of April, July, October, and January following each quarter in which income is received.

Failure to file results in penalties of 50–150% of the tax owed (depending on whether it is a voluntary late filing or a tax authority inspection), plus daily interest at the legal rate. Many non-resident property owners are unaware of this obligation and face unpleasant surprises when they come to sell or when the tax authority issues a notice.

What Happens If You Have Multiple Spanish Properties?

Each Spanish property requires a separate Modelo 210 filing. If you own two apartments in Mijas — one used personally and one rented out — you file the deemed income return for the personal one and quarterly rental returns for the rented one. A tax advisor or lawyer manages this on your behalf to ensure all filings are timely and accurate.

Frequently Asked Questions

The Spanish Tax Agency typically has 4 years to assess unpaid IRNR. If you have never filed, you potentially have up to 4 years of unpaid tax, penalties, and interest outstanding. The best approach is to make a voluntary regularisation — filing outstanding returns proactively typically results in reduced penalties compared to waiting for the tax authority to find you. Contact our office: we regularly assist property owners in regularising their IRNR position before a sale or after realising the obligation exists.
The cadastral value appears on your annual IBI (property tax) receipt from the local Ayuntamiento. If you do not receive this directly (perhaps because a management company or rental agency handles it), you can look it up online via the Sede Electrónica del Catastro website (catastro.minhap.gob.es) using your property's cadastral reference number, which appears on the nota simple. Your lawyer can also obtain this for you.
No. The IBI (Impuesto sobre Bienes Inmuebles) is a completely separate annual local tax payable to the Ayuntamiento. The IRNR is a national income tax paid to the Spanish Tax Agency. They are calculated differently, have different deadlines, and go to different authorities. As a non-resident property owner, you typically owe both — IBI annually to the town hall, and IRNR annually (or quarterly for rental income) to the Tax Agency.