Investment income from financial assets (rendimientos de capital mobiliario) covers income from equity participations (dividends), income from lending capital to third parties (bank deposit interest, bond coupons) and income from life insurance and capitalisation contracts, as governed by Articles 25 and 26 of the Spanish IRPF Act (Law 35/2006). It forms part of the savings tax base and is taxed at rates of 19 to 28 per cent, with an entitlement to the international double-taxation relief when the income originates abroad.
In practice
What Is Investment Income in Spain
Investment income from financial assets (rendimientos de capital mobiliario) covers the returns a taxpayer earns from holding or transferring financial assets. Article 25 of Law 35/2006 (LIRPF) classifies it into four main categories:
- Income from equity participations: dividends, bonuses for attendance at shareholders’ meetings, profit shares and similar returns.
- Income from lending capital to third parties: interest on bank accounts, term deposits, bonds, debentures and loans.
- Life insurance and capitalisation contract income: the portion of returns from life or disability insurance that is not considered employment income.
- Other financial capital income: intellectual property income (when the author has assigned it), industrial property, sub-leases and technical assistance.
Net Income and Deductible Expenses
Net investment income is calculated by deducting from gross income the administration and custody costs of listed securities. Portfolio management fees for discretionary mandates are not deductible.
Tax Rates in the Savings Base
Net investment income forms part of the savings tax base together with long-term capital gains, and is taxed at the progressive savings rates:
| Band | Rate (2026) |
|---|---|
| Up to EUR 6,000 | 19% |
| EUR 6,000 to EUR 50,000 | 21% |
| EUR 50,000 to EUR 200,000 | 23% |
| EUR 200,000 to EUR 300,000 | 27% |
| Over EUR 300,000 | 28% |
Withholding Tax
Payers are required to withhold 19 per cent at source on Spanish-source investment income paid to residents. This withholding is credited against the annual IRPF liability.
Foreign-Source Income
When dividends or interest come from non-resident entities, the taxpayer may apply the international double-taxation relief under Article 80 LIRPF to avoid the same income being taxed in both the source country and Spain.
Under the Beckham regime (Art. 93 LIRPF), foreign-source financial investment income is generally exempt from Spanish taxation during the years the special impatriate regime is in force.