Spanish Wealth Tax for Non-Residents: What You Need to Know in 2026

If you’re a non-resident property owner in Spain, it is important to understand the Spanish Wealth Tax (Impuesto sobre el Patrimonio). While many European countries have abolished wealth taxes, Spain continues to apply it, including to non-residents with assets located in Spain.

If you are unsure whether this applies to you, you can read more on our Spanish Wealth Tax service page.

This guide explains who needs to file, how the tax is calculated, regional differences, and how recent rules such as the Solidarity Wealth Tax may affect you.

What Is Spanish Wealth Tax?

Spanish Wealth Tax is an annual tax on the net value of assets located in Spain.

• Non-residents are taxed only on Spanish-based assets

• Residents are taxed on worldwide assets

The tax is partly managed at a regional level, meaning autonomous communities such as Madrid, Catalonia, and the Balearic Islands may apply different exemptions and rates.

For a detailed breakdown of how this applies to your situation, see our Wealth Tax in Spain guide for non-residents.

Who Needs to File Wealth Tax?

As a non-resident, you may need to file if:

• You own assets located in Spain

• Your net assets exceed €700,000 per person (general national threshold)

In some regions, thresholds and effective taxation differ. In certain regions, such as Madrid, a 100% relief applies, meaning no tax is payable, although filing may still be required.

If you are close to the threshold, it is worth reviewing your situation in detail on our wealth tax filing page.

How Wealth Tax Is Calculated

Step 1: Identify Spanish Assets

Taxable assets typically include:

• Real estate (e.g. holiday homes)

• Spanish bank accounts

• Shares in Spanish companies

• Spanish investments

Step 2: Deduct Liabilities

Mortgages and debts linked to Spanish assets can be deducted, provided they are properly documented and directly related.

Step 3: Apply Exemptions

The general exemption is €700,000 per individual. There is no automatic exemption for assets held through companies.

Step 4: Apply Tax Rates

Wealth tax is progressive, generally ranging from 0.2% to 3.5%, depending on the value of the assets.

Regional differences apply. For example:

• Madrid applies a 100% relief (no effective tax)

• Catalonia and the Balearic Islands apply higher effective rates.

When to File Wealth Tax

The filing period is typically between April and June, aligned with the income tax season.

• Form used: Modelo 714

• Filing is individual, even for jointly owned assets

• Filing is done electronically

Even if no tax is payable, a return may still be required in certain cases.

You can find more details about the process on our Modelo 714 filing service page.

Solidarity Wealth Tax (ISGF)

Spain introduced the Solidarity Wealth Tax in 2023 for high-net-worth individuals.

Key points as of 2026:

• Applies to net assets above €3 million

• Applies nationwide, regardless of regional reliefs

• Ensures taxation even in regions with low or zero wealth tax

Non-residents with significant assets in Spain may be affected.

If your assets are above this level, we recommend reviewing your situation via our wealth tax advisory page.

Country-Specific Considerations

UK (post-Brexit)
UK residents are treated as non-EU residents. Wealth tax still applies to Spanish assets.

Netherlands and France
Double taxation treaties may apply, and tax credits may be available depending on the specific treaty.

Sweden and Germany
These countries do not apply wealth tax domestically, but Spanish wealth tax still applies to assets located in Spain.

Documents Needed

To file Modelo 714, you typically need:

• NIE number

• Property details (cadastral value and deeds)

• Spanish bank and investment statements

• Mortgage documentation

• Valuations of relevant assets

Common Mistakes to Avoid

• Assuming wealth tax does not apply to non-residents

• Ignoring regional differences

• Not splitting jointly owned assets per owner

• Missing filing deadlines

• Overlooking the Solidarity Wealth Tax

How Taxadora Helps

Taxadora supports non-residents by:

• Preparing and filing Modelo 714

• Applying correct regional rules and exemptions

• Calculating deductible liabilities

• Coordinating international tax aspects

• Assessing exposure to the Solidarity Wealth Tax

If you need assistance, you can get started directly on our Wealth Tax service page.

Frequently Asked Questions

Do I need to file if I own a property worth €400,000?
Generally no, as you are below the €700,000 threshold, but regional rules should always be considered.

I own €2 million in Spanish property. Will I pay tax?
It depends on the region. In Madrid, the effective tax may be zero due to relief, while in other regions tax may apply.

Is the €700,000 exemption per person?
Yes. Ownership is assessed individually.

Can I avoid wealth tax by owning through a company?
Not necessarily. Authorities may assess the underlying ownership.

Can I deduct my mortgage?
Yes, if it is directly linked to the Spanish asset and properly documented.

Final Thoughts

Spanish Wealth Tax remains an important consideration for non-residents with property or high-value assets in Spain. The rules are region-specific, evolving, and often misunderstood.

With the addition of the Solidarity Wealth Tax, high-value property owners should review their position carefully.

To ensure compliance and avoid overpaying, visit our Wealth Tax page or contact Taxadora for tailored advice.