Spain Income Tax Guide

Income Tax Rates in Spain

The income tax on residents (IRPF) uses a progressive tax system with rates ranging from 19% to 28% and is levied on income above the non-taxable minimum at a progressive rate scale:

• 19% – up to €12,450;
• 24% – from €12,451 to €20,200;
• 30% – from €20,201 to €35,200;
• 37% – from €35,201 to €66,000;
• 45% – above €66,000.

People with low incomes pay a lower tax rate. For people with higher incomes, the tax rate gradually increases.

There’s a minimum income threshold to file a tax return in Spain. If your income exceeds a certain amount (around €22,000 annually), you’re obligated to submit a tax return.

Deadlines for income tax returns

June 30, 2024, is the deadline for filing and paying income tax in Spain for 2024.

Residents generally use Form 100 (Modelo 100) for their income tax filings.

Non-taxable minimum in Spain

The nontaxable minimum tax is taken when calculating the annual tax base.

If the personal income of a Spanish residents is less than €5,550, it is not subject to income tax.

If their spouse has no income, an additional €2,400 can be added to this amount.

Deductions

Income tax in Spain can be reduced by deducting things like:

• Pension plan contributions (up to limits);
• Work expenses (home office, training) if job-related;
• Charitable donations (with limits);
• Family allowances (children, elderly dependents, disability).

Getting tax number in Spain

Registration procedure for obtaining a tax number in Spain (NIE – Número de Identificación de Extranjero) includes the following steps:

• Register at local police station or Foreigner’s Office.
• Fill out EX-15 form and provide:
  – Valid passport (copy & original);
  – Proof of residency (Certificate of Registration);
  – Resident status document (Tarjeta de Residencia or EU Registration Certificate);
  – Employment/Company registration certificate (if applicable);
  – Fee payment receipt (EUR 9.84).
• Submit application and await appointment to collect NIE.
• Processing times vary (2 weeks to 2 months+).

Procedure for refunding overpayments

In Spain, it is possible to request a refund electronically through the Spanish Tax Agency if there has been an overpayment of income tax. To claim a refund, you will need to prove your identity digitally and provide information about the specific overpayment, including any documents supporting your request.

Penalty

Penalty for late filing of income tax in Spain:

• Up to 3 months late: 5% of tax due;
• 3-6 months late: 10% of tax due;
• 6-12 months late: 15% of tax due;
• Over a year late: 20% of tax due.

Penalty for late zero-tax return filing of income tax:

• voluntary filing after the deadline: fine EUR 100;
• filing at the request of the Tax Administration: fine EUR 200.