The Spanish Supreme Court has issued two rulings confirming that taxpayers who are non-residents in Spain may also reduce their Wealth Tax liability according to their income, as applies to taxpayers resident in Spain.
In a groundbreaking decision issued on 28 July 2025, Spain’s National Court (Audiencia Nacional) has recognized, for the first time, the right of non-EU and non-EEA taxpayers to deduct expenses directly related to their Spanish-sourced income under the Non-Resident Income Tax (IRNR) regime.
Valencian Community Act number 5/2025, of May 30, 2025, establishes that, as of December 31, 2025 (inclusive), all residents in the Valencian Community who are subject to the Wealth Tax under personal liability will have an exempt minimum of €1,000,000
PSOE, which is the party currently governing Spain, has recently submitted a draft bill to the Spanish Congress containing a series of measures that, according to that party, aim to improve access to housing.
The Constitutional Court (TC) is pending to resolve an appeal of unconstitutionality against the regulatory changes introduced in the Wealth Tax by the Law 11/2020 of the General State Budget for the year 2021 (LPGE 2021).
From January 2023 the reform of the special tax regime for workers posted to Spain came into force. This special tax regime is better known as the “Beckham Law”.
Throughout our experience in advising on international or cross-border Estates, especially those involving individuals living in the United States, we have noticed the great difference that exists both in succession rules and in the documentation needed for the heir to acquire the Spanish assets received by the deceased.
The Covid crisis is increasing the number of workers who travel to other countries to continue their work remotely. They are the so-called digital nomads or remote workers.
Spanish Tax Authority (AEAT) has confirmed its position about the taxation of remote workers in Spain.
Court of Justice of the European Union (CJEU) has ruled that the Spanish sanction regime of the foreign asset declaration (Modelo 720) is contrary to European law.
In a judgement dated on January 27th, 2022, the Court has considered that this sanction regime is null and void since it goes beyond the statute of limitations, and also because the fines imposed on taxpayers who do not declare or declare incorrectly or extemporaneously are disproportionate.
This judgement opens the door to recover all fines imposed in Spain for application of this sanction regime.
According to a recent judgement of the Spanish Constitutional Court dated on October 26th, the way of calculating the Municipal Capital Gains Tax (also known as “Plusvalía Municipal”) is unconstitutional.
