IRNR Tax Obligation (Form 210) When Renting Out a Property in Spain

1. Tax Form: The owner must file Form 210 (Modelo 210) to declare rental income.
2. Filing Frequency:

   • Important Notice: Change from Quarterly to Annual Grouping for Rental Income Declarations

     For rental income accrued from 2024 onwards, the Spanish tax authorities have changed the grouping period for filing Form 210 from quarterly to annual.

     New Filing and Payment Deadlines

   • Annual Grouping (New Standard Option)
     • If the owner opts for annual grouping, they must submit Form 210 and make the tax payment within the first 20 calendar days of January of the following year.
     • Example:
       • For rental income accrued in 2024, Form 210 must be filed by January 20, 2025.
       • If opting for direct debit payment, the electronic submission must be done between January 1 and January 15, 2025.
3. Tax Rate (EU Resident )
   • Since the owner is a resident of the EU, they benefit from a lower tax rate and deductible expenses.
   • The applicable tax rate for EU residents is 19% (compared to 24% for non-EU residents).
   • Deductible expenses: As an EU resident, the owner can deduct expenses such as mortgage interest, property maintenance, community fees, insurance, and local taxes—provided that the rental income is declared.

Additional Notes:

• If the property is not rented out, the owner still needs to submit Form 210 annually for the deemed income tax (attributed income tax on second homes).
• The deadline for non-rented properties is December 31 of the following year.

Thank you for reading this post, if you think we have been able to help you or if you still have any questions, you can always contact me via WhattsApp (+49 1520 8381499) or e-mail (erica@taxandlawspain.com).

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