IBI (Impuesto sobre Bienes Inmuebles)
This is a tax charged by local Councils and paid by property owners.
All property within the Council’s area is included on a census and is given an Assessed Value (Valor Catastral). The amount of tax to be paid shall be calculated by applying the tax rate set by the City Council to this Assessed Value.
Company Tax or Corporate Income Tax
Impuesto de Sociedades: This is a national business or corporate income tax in Spain on all types of Spanish companies (as well as nonresident companies in Spain) except the Sole Trader (Autónomo).
CAPITAL GAINS ARISING FROM THE SALE OF BUILDINGS
Capital gains resulting from the sale of property constitute taxable income. This income is deemed as accrued when the property is transferred.
INHERITANCE AND GIFT TAX
Impuesto Sobre Sucesiones. This tax has to be paid whether you live in Spain or not, and there are certain differences in the procedures if you do not live in Spain.
WHO IS RESIDENT?
Individuals are to be considered Spanish Residents if:
- They spend more than 183 days in Spanish territory in a calendar year or,
- Their main base or centre of economic activities or interests are in Spain or,
- Their spouse and/or underage dependant children are permanent residents in Spain (unless the individual is legally separated or can prove tax residence elsewhere)
The social security system is covering all healthcare, including sickness and maternity; unemployment insurance; old age pensions (the retirement age in Spain is 65 for both men and women); industrial injury compensation; invalidity and death benefits. Your social security payments differ according to whether you’re an employee, an employer or self-employed.