Form 210: The tax every non-resident property owner must know

Buying a property in Spain as a non-resident foreigner is a common situation. However, when we are not tax resident in the country, our tax obligations change. Even if we do not live in the property or rent it out, the Spanish Tax Agency (Agencia Tributaria) may require us to file a specific return.

At Fotocasa, we explain what Form 210 is, how it relates to IRNR (Impuesto sobre la Renta de No Residentes – Non-Resident Income Tax), who must file it, the applicable deadlines and what may happen if this obligation is not fulfilled.

Taxes for Foreigners Buying Property in Spain

What is Form 210 and what is IRNR?

IRNR (Impuesto sobre la Renta de No Residentes – Non-Resident Income Tax) is the tax that must be paid by individuals who do not live in Spain but earn income within Spanish territory.

Within this tax, Form 210 is the official form used to declare this income to the Spanish Tax Agency (Agencia Tributaria).

The Agencia Tributaria is the public body responsible for managing and collecting taxes in Spain.

Who must file Form 210?

Form 210 must be filed by anyone who:

• Is not a tax resident in Spain.

• Owns a home or other real estate property in Spanish territory.

• Earns income in Spain, such as rental income or capital gains from a sale.

This obligation applies both to those who rent out their property and to those who simply own it without renting it out.

If the property is rented out

When a non-resident owner rents out their property in Spain, they must declare the income obtained through Form 210.

If the property is not rented out

Even if the property is not rented out, there is still an obligation to file Form 210 due to what is known as imputed real estate income, which is a theoretical income that the Spanish Tax Agency considers the property generates.

If the property is sold

In the event of a sale, Form 210 is also used to declare the capital gain obtained.

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What is Form 210 used for?

Form 210 is used to declare and pay IRNR (Impuesto sobre la Renta de No Residentes – Non-Resident Income Tax) in different situations:

• Rental income.

• Imputed income when the property is not rented out.

• Capital gains obtained from the sale of the property.

It is therefore the mechanism that allows a non-resident property owner to regularise their tax situation in Spain.

How to file and pay Form 210 (IRNR)?

Form 210 is filed with the Agencia Tributaria (Spanish Tax Agency). It can be submitted:

• On paper (without an electronic certificate).

• Online (with an electronic certificate or electronic ID – DNI electrónico).

The payment method varies depending on the option chosen.

Filing Form 210 on paper (without electronic certificate): how it works and how to pay

First, you must complete an online form on the Agencia Tributaria website, in the “Predeclaration” section. At the end, a PDF is generated for printing.

This PDF includes copies and filing instructions. After printing it, the Agencia Tributaria states that you must write the NIF (tax identification number) on all copies of the payment or refund document and sign them manually.

How to pay from Spain

If the result is payable, the payment must be made by deposit at a bank in Spain that collaborates with the Agencia Tributaria.

In the predeclaration, you may optionally indicate an IBAN from which the payment will be made. However, this field must be left blank if you are requesting a deferral or paying in cash.

How to pay from abroad by bank transfer

In this case, when formalising the payment you must choose the option “Payment by transfer from abroad”, indicate the first 8 characters of the IBAN from which the payment will be made and accept the conditions. The predeclaration is then generated.

The system provides:

• The bank account details of the AEAT (Agencia Estatal de Administración Tributaria) to which the transfer must be made.

• A payment identifier that must be included in the “reference” field of the transfer.

This identifier expires after 30 calendar days from the date it is obtained. The Agencia Tributaria emphasises that the “reference” field must contain only and exclusively this identifier; otherwise, the transfer may be returned and will have no effect before the AEAT.

Filing Form 210 online (with certificate): how it works and how to pay

If filing online, you must first complete the form in the “Filing” section of the Agencia Tributaria website and then sign and submit it electronically.

For online filings, the Agencia Tributaria describes several payment methods.

Payment using NRC (if filing online and the result is payable)

If the result is payable and direct debit is not selected, in order for the Agencia Tributaria to correctly receive the self-assessment, a NRC (Número de Referencia Completo – Complete Reference Number) is generally required, which identifies the payment made.

The NRC can be obtained:

• By contacting a collaborating bank (online or in branch) to make the payment and obtain the NRC.

• Or through the online payment gateway on the electronic headquarters, using the button “Make payment (Obtain NRC)” (for example, by direct debit from an account, card or Bizum).

To make the payment via this method, the Agencia Tributaria states that you must have an electronic certificate or electronic ID (DNI electrónico).

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Payment by direct debit

The Agencia Tributaria also allows you to set up direct debit for Form 210 debts when filing online, with one exception: it does not apply to self-assessments relating to income derived from transfers of real estate assets.

In addition, it specifies concrete deadlines during which payment may be set up by direct debit depending on the type of income (for example, general date ranges and a specific deadline for imputed income).

Direct debit if the bank account is in Spain

Direct debit may be set up on an account opened in Spain following the online filing process.

Direct debit from a foreign account (EU/SEPA)

Since 1 February 2024, the Agencia Tributaria allows direct debit payments from accounts opened with non-collaborating entities within the SEPA area. The website lists the countries included in SEPA.

During online filing, the electronic signature of the direct debit mandate is required, authorising the AEAT to order the charge and the bank to execute it.

The Agencia Tributaria also indicates that bank fees and charges may be passed on to the taxpayer, and that the commission will be disclosed.

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What is the deadline for filing Form 210 depending on the type of income?

The deadline for filing Form 210 under the IRNR (Impuesto sobre la Renta de No Residentes – Non-Resident Income Tax) is not the same in all cases. It depends on the type of income being declared.

The Agencia Tributaria distinguishes several scenarios.

• Form 210 for rental income: When a non-resident owner rents out their property in Spain, they must declare the income obtained. In this case, Form 210 is filed periodically, within the deadlines established by the Agencia Tributaria for this type of income.
• Form 210 for a non-rented property (imputed income): If the property is not rented out, the Spanish Tax Agency considers that it generates imputed income. In this case, the return is filed annually.
• Form 210 after the sale of a property: When a property in Spain is sold by a non-resident, Form 210 is also used to declare the capital gain obtained. In this case, the deadline is linked to the date of the transfer.

What is the deadline to request a refund of withheld amounts using Form 210?

In addition to being used to declare and pay the tax, Form 210 also allows you to request a refund of withheld amounts.

In certain transactions, such as the sale of a property, part of the amount may be automatically withheld as an advance payment of the tax.

That withheld amount may be higher than the tax ultimately due. In that case, the owner may request a refund using Form 210.

The deadline depends on the type of income:

If the refund is related to the sale of a property

• You must wait one month from the date of the transfer.
• From that point, you have three months to file Form 210 requesting the refund.

If it relates to other types of income

In all other cases:

• You may request the refund from 1 February of the year following the year in which the income was obtained.
• The maximum deadline is four years from the end of the period established to declare and pay those withholdings.

This deadline applies to all self-assessments, whether the refund derives from Spanish domestic legislation or is related to a Double Taxation Treaty.

Even if a treaty establishes a shorter period, the deadline for filing the self-assessment is considered to end on the date it is submitted.

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What happens if Form 210 is not filed?

Failure to file Form 210 when there is an obligation to do so may result in:

• Surcharges.
• Penalties.
• A requirement to pay the outstanding amount plus interest.

The Agencia Tributaria may initiate proceedings to claim the unpaid tax if it detects non-compliance.

Why is it important to understand Form 210 if you are a foreign property owner?

Many foreign property owners are unaware that owning a home in Spain entails tax obligations, even if they do not reside in the country.

Understanding how Form 210 and IRNR (Impuesto sobre la Renta de No Residentes – Non-Resident Income Tax) work helps to avoid issues with the Agencia Tributaria and keep your tax situation regularised.

At Fotocasa, we remind you that before buying, selling or renting out a property in Spain as a non-resident, it is important to be aware of all associated obligations, including this tax.