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V1043-21 21 April 2021 · SG de Impuestos Patrimoniales, Tasas y Precios Públicos Criterion in force
IP · obligación real

Non-resident in Spain taxed on Spanish real property

A Japanese resident planning to retire in Spain asks whether they must pay Spain's Wealth Tax on savings held in a Madrid account. The DGT responds that as long as they are not a fiscal resident in Spain, they will be subject to real property tax on Spanish assets.

The question raised

Whether they must pay Wealth Tax in Spain on the money obtained in Japan and deposited in Madrid.

The DGT's ruling

As long as the taxpayer does not have tax residence in Spain, they shall be taxed under the real obligation regime for assets and rights located in, which may be exercised in, or must be fulfilled in Spanish territory, including current accounts in Spain. Upon obtaining tax residence, they shall be taxed under the personal obligation regime for their entire net worth, regardless of its location.

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