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Capital Gains Tax Spain 2026

Pellicer & Heredia helps you to reduce your capital gains tax payment

Capital gains tax in Spain applies when a resident or non-resident sells Spanish property, shares or another asset for a profit. In 2026, non-resident sellers of Spanish real estate are generally taxed at 19% on the net gain and the buyer must withhold 3% of the sale price using form 211. Residents declare gains in form 100 and are taxed through the savings scale from 19% to 30%.

Pellicer & Heredia helps non-residents, expats, and foreign investors understand and reduce capital gains tax in Spain when selling property or other assets. Our legal tax advisors identify available deductions, exemptions, and tax-saving strategies to minimize your liability.

Reviewed by Pedro Heredia Ortiz, International Tax Lawyer at Pellicer & Heredia firm

  • Bar Association no. 5954
  • Languages: English and Spanish
  • Last updated: July 2026.

Specialist legal assistance in Spain to reduce your tax liability and ensure compliance

We provide expert legal support for capital gains tax matters in Spain. We help you calculate your tax correctly, identify deductions and exemptions, manage filings, and ensure full compliance with Spanish tax regulations while minimizing your financial burden.

In which country do you currently reside?

Key facts about the Spanish Capital Gains Taxation

Concept
2026 quick answer

Main tax

Capital gains tax on the net profit obtained from selling an asset

Non-resident property sale rate

19% on the taxable gain from Spanish real estate

3% retention

The buyer withholds 3% of the sale price and pays it to the Tax Agency using 211 form

Non-resident seller form

210 form, normally filed after the sale to settle the final tax or request a refund

Resident tax rates

Savings income scale from 19% to 30%, depending on the amount of the gain

Resident form

100 annual income tax return form

Taxable gain formula

Transfer value minus acquisition value, deductible acquisition/sale costs and qualifying improvements

Local tax

Plusvalía municipal may also apply to urban land value increase, depending on the town hall

Key documents

Purchase deed, sale deed, invoices, proof of taxes, agency fees, improvement invoices and 211 receipt form

Best moment to get advice

Before signing deposit contracts, completion date or sale deed

What is capital gains tax in Spain?

Capital gains tax in Spain is the tax paid on the profit made when an asset is sold for more than its acquisition value. For foreign owners, the most common situation is the sale of a Spanish property, although capital gains may also arise from shares, investment assets, business participations or inherited assets that are later sold.

The key point is that Spain taxes the net gain, not the full sale price. A correct calculation must start from the purchase deed, sale deed, acquisition costs, sale costs, qualifying improvements and any previous tax values. For non-residents, the 3% retention made by the buyer is only an advance payment, not necessarily the final tax due.

Capital gains tax when selling property in Spain

Selling a property is the scenario where most foreign clients need legal and tax assistance. The transaction combines several elements: the capital gain itself, the 3% non-resident retention when applicable, the seller filing obligation, potential plusvalía municipal and the documentation required by the notary, buyer and Spanish Tax Agency.

Non-resident sellers

A non-resident who sells real estate located in Spain must declare the capital gain in Spain. The taxable gain is calculated by comparing the transfer value with the acquisition value, after applying the deductible expenses and improvements that Spanish tax law allows. In 2026, the applicable tax rate for this type of capital gain is generally 19%.
The buyer must withhold 3% of the agreed purchase price and pay it to the Spanish Tax Agency through 211 form. The non-resident seller then files 210 form to declare the actual gain. If the 3% withheld is higher than the final tax liability, the seller may request a refund. If it is lower, the seller must pay the difference.

Spanish tax residents

Spanish tax residents declare capital gains in the annual income tax return, 100 form. For residents, gains are usually taxed in the savings tax base, with progressive rates. Since 2025, the savings scale reaches 30% for the highest band above EUR 300,000.
Residents may have access to exemptions that are not always available to non-residents, especially when selling a habitual residence. The two most relevant planning routes are reinvestment in a new main residence and the exemption for sellers over 65 when the property is their habitual residence.

Buyers and the 3% retention

The 3% retention is one of the most misunderstood parts of a non-resident property sale in Spain. It is not a surcharge, a penalty or an additional tax. It is an advance payment on the seller's capital gains tax. The buyer is legally required to pay the amount to the Tax Agency and give the seller proof of the payment.
The retention can create cash-flow issues because it is calculated on the sale price, not on the gain. A seller with a low or non-existent gain may still suffer the retention at completion and must file the correct paperwork to recover the excess.

How to calculate Spanish capital gains tax

The basic formula is: Taxable gain = transfer value – acquisition value. The legal work lies in determining which expenses, taxes and improvements can be added to the acquisition value or deducted from the transfer value.

For property transactions, this review should be done before completion. Once the sale is signed, invoices may be missing, the buyer may have already filed the retention and the seller may lose time when trying to recover an overpayment.

Acquisition value

The acquisition value normally starts with the amount paid for the property when it was purchased. It may also include taxes and expenses linked to the acquisition, such as notary fees, Land Registry fees, transfer tax, VAT or documented legal acts tax, legal fees and other costs directly connected to the purchase.
If the property was inherited or received by gift, the calculation must be reviewed against the value used for inheritance or gift tax purposes. This is a common area of error for foreign families who inherit property in Spain and later decide to sell it.

Transfer value

The transfer value usually starts with the sale price. From that amount, the seller may deduct sale-related costs that are properly documented, such as estate agency fees, legal fees, notary costs paid by the seller and other expenses directly connected to the transfer.
The sale deed alone is not enough to optimise the calculation. The seller should keep invoices, bank statements, tax receipts and evidence of payment. Without evidence, the Tax Agency may reject deductions even when the cost was real.

Improvements and renovation costs

Capital improvements may reduce the taxable gain, but regular maintenance normally does not. A structural renovation, extension, installation or improvement that increases the value or useful life of the property should be reviewed differently from painting, minor repairs or replacement work that only preserves the property.
The distinction matters because many foreign owners renovate Spanish homes over several years and assume that every invoice can be deducted. Pellicer & Heredia reviews the invoices and classifies each cost before filing the tax return.

Capital gains tax rates in Spain in 2026

The correct rate depends on whether the seller is a Spanish tax resident or a non-resident and on the nature of the gain.

Non-resident rate

The acquisition value normally starts with the amount paid for the property when it was purchased. It may also include taxes and expenses linked to the acquisition, such as notary fees, Land Registry fees, transfer tax, VAT or documented legal acts tax, legal fees and other costs directly connected to the purchase.
If the property was inherited or received by gift, the calculation must be reviewed against the value used for inheritance or gift tax purposes. This is a common area of error for foreign families who inherit property in Spain and later decide to sell it.

Resident savings tax rates

Spanish tax residents are taxed on capital gains through the savings tax scale. In 2026, the applicable rates are progressive: 19% up to EUR 6,000, 21% from EUR 6,000 to EUR 50,000, 23% from EUR 50,000 to EUR 200,000, 27% from EUR 200,000 to EUR 300,000 and 30% above EUR 300,000. The final tax position may change if an exemption applies, if capital losses can offset the gain or if the seller is under a special tax regime. This is particularly relevant when the gain is significant, the property has been inherited, the seller is over 65, the property has been the main home or the seller has recently become Spanish tax resident.

Resident vs non-resident capital gains tax in Spain

Criteria
Spanish tax resident
Non-resident seller

Applicable tax

Personal Income Tax (IRPF)

Non-Resident Income Tax (IRNR)

Capital gains tax rate

Progressive savings scale: 19%–30%

Generally flat 19% on the capital gain

Taxable scope

Worldwide capital gains

Capital gains from Spanish assets, such as Spanish real estate

Main tax form

100 form, annual income tax return

210 form

Filing deadline

Annual Spanish income tax campaign

For real estate transfers, within 3 months after the first month from the sale date

3% withholding on property sales

Not applicable

Buyer withholds and pays 3% using 211 form

Deductions and exemptions

Broader access to exemptions, offsets and reliefs

More limited, although some EU/EEA reinvestment relief may apply

Double tax treaty impact

May affect taxation in the other country

Real estate gains located in Spain are generally taxable in Spain

The 3% withholding is not the final capital gains tax. It is an advance payment made by the buyer on behalf of the non-resident seller and later offset in 210 form. If the final tax is lower than the amount withheld, the seller may request a refund.

Plusvalía municipal and other sale costs

Capital gains tax is not the only tax to consider when selling a Spanish property. Urban property sales may also trigger plusvalía municipal, a local tax on the increase in the value of urban land. This tax is managed by the relevant town hall and depends on cadastral values, ownership period and local rules.

The national capital gains tax and plusvalía municipal are different taxes. A seller can have a capital gains tax filing obligation even when plusvalía municipal is low, and vice versa. For this reason, the sale should be reviewed with both national and local tax exposure in mind.

Exemptions and reductions

Spanish capital gains tax planning should always be done before the sale is completed. Some exemptions depend on the seller’s residence status, age, use of the property and timing of reinvestment. Once the deed is signed, the options may be more limited.

Reinvestment in a main residence

Spanish tax residents may be able to exempt the gain obtained from selling their habitual residence when the proceeds are reinvested in a new habitual residence under the legal conditions and time limits. This exemption requires careful documentation and must be declared correctly in the income tax return.
EU and EEA non-residents may also have specific reinvestment rules in certain cases when selling what was their habitual residence in Spain and reinvesting in a new habitual residence. This point should be reviewed before assuming that the full gain is taxable.

Sellers over 65

Spanish tax residents over 65 may be exempt on the gain from selling their habitual residence. The exemption can also apply when bare ownership is transferred and lifetime usufruct is reserved, provided the legal requirements are met.
For other assets, taxpayers over 65 may access a separate exemption when the proceeds are reinvested in a qualifying life annuity, subject to legal limits and conditions. This is a planning route that should be analysed before the sale.

Properties acquired before 31 December 1994

Older properties may require a transitional regime analysis. In certain cases, part of the capital gain generated before 20 January 2006 may be reduced under the Spanish abatement coefficients regime, subject to the EUR 400,000 transfer value limit and other legal conditions. This calculation is technical and depends on the acquisition date, sale value, asset type, ownership history and whether the seller has previously used this transitional regime.

Which tax form do I need to declare capital gains in Spain?

The tax form used to declare capital gains in Spain depends on the seller’s tax residence status and on the type of asset being sold. Understanding the correct form is essential before completing the sale, because mistakes can delay refunds, create unnecessary tax exposure or make it harder to prove that the capital gains tax position has been properly settled.

100 form for Spanish tax residents

If you are a Spanish tax resident, capital gains are generally declared through 100 form, the annual Spanish Personal Income Tax return. This return includes your worldwide income and capital gains for the tax year, including gains from the sale of Spanish or foreign assets.
The income tax return is normally filed during the annual Spanish tax campaign, usually between April and June of the year following the tax year in which the gain arose. For example, if a Spanish tax resident sells a property in 2026, the gain would normally be declared in the 2026 income tax return, filed in 2027.

210 form for non-resident sellers

If you are not tax resident in Spain and you sell a property, shares or another asset located in Spain, you may need to declare the gain through 210 form, the Non-Resident Income Tax return. In real estate transactions, 210 form is filed after completion of the sale. The filing period for property transfers is three months once the first month from the date of transfer has passed. In practice, this means the seller normally files 210 form after the buyer has submitted 211 form and provided proof of the 3% withholding.
210 form is also the form used to offset the 3% withholding already paid by the buyer. If the final capital gains tax is higher than the withholding, the seller must pay the difference. If the withholding is higher than the final tax due, the seller may request a refund from the Spanish Tax Agency.

211 form and the 3% withholding

When a non-resident sells Spanish real estate, the buyer is generally required to withhold 3% of the agreed sale price and pay it to the Spanish Tax Agency using 211 form.
The 3% withholding is calculated on the sale price, not on the gain. This is why the amount withheld can be higher or lower than the final capital gains tax due. If the seller made a small gain, no gain or even a loss, it may be possible to request a refund through 210 form.

Municipal plusvalía tax

In addition to capital gains tax, the sale of urban property in Spain may also trigger municipal plusvalía tax. This is a local tax charged by the town hall on the increase in the value of the urban land during the period of ownership.
Municipal plusvalía is separate from capital gains tax and is not declared through 100 form, 210 form or 211 form. The applicable procedure, deadline and calculation method depend on the municipality where the property is located.

Summary of tax forms for capital gains in Spain

Situation
Tax form
Who files it
What it is used for

Spanish tax resident sells a property or other asset

100

Seller

To declare the capital gain in the annual Spanish income tax return

Non-resident sells Spanish real estate

210

Seller

To declare the actual capital gain, offset the 3% withholding and pay tax or request a refund

Buyer purchases Spanish property from a non-resident seller

211

Buyer

To pay the 3% withholding to the Spanish Tax Agency

Sale of urban property or urban land

Municipal plusvalía tax return

Usually the seller, depending on the case and local rules

To declare the local tax on the increase in urban land value

Capital gains tax for US, UK, Canadian and Dutch owners

Foreign owners often need to coordinate Spanish advice with tax advice in their country of residence. Spain may tax the gain because the property is located in Spain, while the home country may also require reporting or give credit for Spanish tax paid. The sequence of filings, exchange rates, dates and documentary evidence matters.

US citizens selling Spanish property

US citizens and green-card holders may have US reporting obligations even when the property is located in Spain. The Spanish tax calculation should be coordinated with a US tax adviser so that foreign tax credits, currency conversion, basis and timing are handled consistently.

UK residents selling Spanish property after Brexit

UK residents selling property in Spain should review the Spanish non-resident capital gains tax calculation, the 3% retention and the UK tax treatment of the gain. Brexit has made it especially important to avoid assuming that EU/EEA reliefs apply automatically.

Dutch and EU residents

Dutch and other EU residents should review whether EU/EEA reinvestment provisions, treaty treatment or local tax reporting affect the final result. Even where Spain taxes the gain, the foreign reporting position should be coordinated before filing.

Canadian residents

Canadian residents selling Spanish property should review Spanish capital gains tax, the 3% retention, foreign exchange issues and Canadian reporting. The sale date, deed value, acquisition history and proof of Spanish tax paid may all be relevant for the Canadian calculation.

How to declare capital gains tax in Spain after selling property?

Our role is to make the tax position clear before the client signs the final deed. We review the documents, calculate the expected gain, identify deductible costs, confirm whether exemptions apply, coordinate with the notary or buyer when needed and prepare the tax filing after completion.

Step 1 - Pre-sale tax review

We analyse your residence status, ownership structure, acquisition date, purchase value, expected sale price, mortgage position, invoices and potential exemptions before the sale is completed.

Step 2 - Document collection

We request the purchase deed, sale draft, invoices, tax receipts, improvement evidence, inheritance or gift documents when applicable and any previous declarations that affect the calculation.

Step 3 - Capital gain calculation

We calculate the taxable gain, expected 19% non-resident tax or resident savings tax, the 3% retention and the possible refund or additional payment after completion.

Step 4 - Notary and completion coordination

For non-resident sellers, we check that the buyer understands the 3% retention and that the correct documentation will be available for the seller to file 210 form or claim a refund.

Step 5 - Tax filing and refund management

After the sale, we prepare and file the relevant tax return, monitor the refund where the 3% retention exceeds the final tax and respond to any Tax Agency request for additional information

Common mistakes to avoid when declaring capital gains tax in Spain

Capital gains tax should be reviewed before completion, especially if the seller is non-resident, the property has been inherited, deductible costs are involved or the 3% withholding may lead to a refund. These are the main mistakes to avoid when selling Spanish property.

  • Calculating tax on the sale price. The tax is generally calculated on the net gain, not on the full sale price. Purchase value, sale value and eligible costs must be reviewed together.
  • Confusing the 3% withholding with the final tax. The 3% withheld by the buyer is an advance payment. The seller still needs to calculate the final tax through 210 form.
  • Filing without the 211-receipt form. This receipt proves that the buyer paid the withholding. It is needed to offset the amount or request a refund.
  • Forgetting municipal plusvalía tax. This local tax is separate from capital gains tax and may apply when selling urban property in Spain.
  • Including non-deductible expenses. Maintenance, decoration or minor repairs are not always deductible. Invoices must be checked before using them in the calculation.
  • Losing supporting documents. Notary fees, registry fees, agency fees, legal fees and improvement invoices may affect the taxable gain if they are properly documented.
  • Using the wrong residence status. Residents and non-residents use different tax forms, rates, deadlines and exemptions.
  • Assuming a tax treaty removes Spanish tax. Tax treaties may affect taxation abroad, but gains from Spanish real estate are generally taxable in Spain.
  • Asking for advice after completion. Once the deed is signed, some planning options may no longer be available. The safest approach is to calculate the tax before completion.

Why choose Pellicer & Heredia for Spanish capital gains tax?

We are a law firm advising international clients on Spanish tax, real estate and immigration matters. Our team works with non-resident property owners, expats and foreign families who need clear legal guidance before selling, inheriting or restructuring assets in Spain.

We combine real estate transaction support with tax filing experience, so the client receives one coordinated service: sale review, tax calculation, notary support, 210/211 coordination, refund management and international tax planning where required.

Frequently Asked Questions

Yes. Spain taxes capital gains when a resident or non-resident sells an asset for a profit. For foreign owners, the most common case is the sale of Spanish real estate. The tax is calculated on the net gain, not on the full sale price. The correct treatment depends on residence status, asset type, deductible costs, exemptions and any tax treaty coordination with the seller’s country of residence.

In 2026, non-residents selling Spanish real estate are generally taxed at 19% on the net capital gain. Spanish tax residents are taxed under the savings tax scale, which runs from 19% to 30% depending on the amount of the gain. The final tax can change if deductions, exemptions, losses, reinvestment relief or special rules apply.

Capital gains tax is paid on the taxable profit, not on the full sale price. The gain is generally calculated by subtracting the acquisition value and allowable costs from the transfer value. However, non-resident property sellers suffer a 3% retention on the sale price at completion. That retention is an advance payment and must be reconciled through the correct tax filing.

The simplified formula is: taxable gain equals transfer value minus acquisition value. The acquisition value may include purchase price, acquisition taxes, notary and registry fees, legal fees and qualifying improvements. The transfer value may be reduced by documented sale costs such as estate agency fees or seller legal fees. The calculation must be supported by invoices and deeds.

When a non-resident sells Spanish real estate, the buyer must withhold 3% of the agreed purchase price and pay it to the Spanish Tax Agency using 211 form. This is not the final tax. It is an advance payment on the seller’s capital gains tax. The seller later files 210 form to calculate the real liability and request a refund if too much was withheld.

Yes, a non-resident seller can request a refund when the 3% retention is higher than the actual capital gains tax due. This often happens when the gain is small, the seller made no gain or deductible costs and improvements significantly reduce the taxable base. The refund requires a correct 210 filing form, the 211-receipt form and supporting documents.

For non-resident property sales, the buyer files 211 form to pay the 3% retention. The seller then files 210 form to declare the capital gain and settle the tax position. If the retention is higher than the final liability, the seller can request a refund. If it is lower, the seller pays the difference.

For capital gains arising from the transfer of Spanish property or other assets, the relevant non-resident rate is generally 19%. The 24% rate belongs to other categories of non-resident income and should not be presented as the normal rate for property capital gains. This distinction is important because many foreign owners receive confusing information before selling.

Yes. A US citizen who is non-resident in Spain must normally declare the gain in Spain when selling Spanish real estate. The buyer withholds 3% of the price, and the seller files 210 form. The US tax position should be coordinated with a US adviser because US citizens may also have reporting obligations and may need to claim foreign tax credits.

Yes. UK residents selling Spanish property must normally declare the capital gain in Spain because the property is located in Spanish territory. The buyer must withhold 3% of the sale price if the seller is non-resident. The UK tax consequences should be reviewed separately, especially after Brexit and where currency conversion or previous residence in Spain is relevant.

Spanish tax residents may be able to exempt the gain from selling their habitual residence if the proceeds are reinvested in a new habitual residence under the legal conditions and deadlines. EU and EEA non-residents may also have specific reinvestment rules in certain cases. This should be analysed before the sale, because timing and documentation are essential.

Spanish tax residents over 65 may be exempt from capital gains tax when selling their habitual residence, provided the legal requirements are met. There is also a separate exemption for certain asset sales when the proceeds are reinvested in a qualifying life annuity, subject to limits and conditions. Non-residents should not assume that these resident exemptions apply automatically.

Some renovation or improvement costs can reduce the taxable gain if they qualify as capital improvements and are properly documented. Regular maintenance and repairs usually do not qualify in the same way. The Tax Agency may request invoices, proof of payment and evidence that the works increased the value or useful life of the property.

If the property was inherited, the acquisition value usually depends on the value used for Spanish inheritance tax purposes, subject to legal limits and supporting documentation. This value then becomes part of the later capital gains tax calculation when the property is sold. Inherited property sales should be reviewed carefully because errors in the previous inheritance file can affect the final tax.

Plusvalía municipal is a local tax on the increase in value of urban land. It is different from national capital gains tax. The town hall manages plusvalía municipal, while the Spanish Tax Agency manages income tax or non-resident income tax. A property seller may need to consider both taxes before completion.

The best moment is before signing the deposit contract or confirming the completion structure. A pre-sale review allows the seller to check deductions, exemptions, ownership structure, plusvalía municipal exposure and the expected refund or additional payment after the 3% retention. Waiting until after completion can reduce planning options and delay refunds.

You normally need the purchase deed, sale deed or draft completion figures, notary and registry invoices, tax receipts, estate agency invoices, legal fee invoices, improvement invoices, inheritance or gift documents where relevant, cadastral information and the 211 form receipt if a 3% retention was made. Bank proof of payment may also be needed.

A non-resident seller may still suffer the 3% retention at completion even if there is no real capital gain. In that case, the seller should file the correct tax return and request a refund, supported by the purchase deed, sale deed, expenses and evidence showing that the final tax is lower than the amount withheld.