Non-resident property owners in Spain are subject to Non-Resident Income Tax (IRNR). This tax applies to rental income as well as imputed income when the property is not rented.

The most common way to declare this tax is through the Modelo 210 tax return. Property owners who rent their property must normally file quarterly tax returns, while those who do not rent the property usually file once per year.

At Canary Tax Advisor we assist international clients who own property in Lanzarote and the Canary Islands with their Spanish tax obligations, including calculation and filing of non-resident tax returns.

Who must pay non-resident income tax in Spain?

Any foreign individual who owns property in Spain but is not a tax resident must normally comply with Spanish non-resident income tax rules.

This applies to property owners from the UK, Ireland and other countries who own holiday homes or investment properties in Spain.