20 January: Last day for non-residents to declare rental income in Spain

We would like to remind you that next 20 January is the deadline for non-resident taxpayers, both individuals and entities, with property in Spain to declare their rental income through the Non-Resident Income Tax (IRNR) using form 210.

In accordance with current regulations, the tax regime varies depending on the landlord’s residence:

Landlords residing in the EU or the European Economic Area (EEA). Residents of the EU or the European Economic Area are taxed at a rate of 19% on net rental income and may deduct expenses directly related to the rental, provided they are properly documented.
Landlords residing outside the EU or EEA

For taxpayers residing in countries outside the EU or EEA, the regulations establish a tax rate of 24% applied to gross rental income. Current legislation does not allow for the deduction of expenses associated with obtaining such income.

On 28 July 2025, the National Court issued a ruling questioning the prohibition on deducting expenses from rental income for landlords residing outside the European Union or the European Economic Area. The ruling considers that this prohibition could violate the principle of free movement of capital. However, this ruling is not final, as it has been appealed before the Supreme Court.

Although this scenario creates uncertainty, it opens up a way for affected taxpayers to request a refund of undue payments by rectifying the self-assessments filed in the financial years not subject to limitation, with the aim of preserving their right to a possible refund pending the final ruling of the Supreme Court.

At ESCURA, we can assist you in filing your tax return before 20 January, ensuring that your interests are protected and that current regulations are complied with.