Updated November 2026
In short: Yes. Spain taxes inheritances through the Inheritance and Gift Tax (Impuesto sobre Sucesiones y Donaciones, ISD), and it is the heir who pays, not the estate. How much you pay depends mostly on the region and on your relationship with the person who died: in several regions children and spouses pay almost nothing, while distant relatives can pay a lot. You must file within 6 months of the death.
Who has to pay
- Spanish tax residents pay on everything they inherit, wherever the assets are.
- Non-residents pay only on assets located in Spain: a property, a Spanish bank account, shares in a Spanish company.
Your tax residence, not your nationality, decides which case applies. See our guide to taxes for expats in Spain.
How the tax is calculated
- Taxable base. The value of what you inherit, minus the debts of the deceased and funeral expenses that can be deducted.
- Reductions by kinship group. The state rules give a fixed reduction depending on your relationship (table below). Regions can set higher ones.
- Tax scale. A progressive scale from 7.65% to 34% under the state rules.
- Multiplier. The result is multiplied by a coefficient from 1 to 2.4, depending on your kinship group and your own wealth before inheriting.
- Regional relief. Many regions then reduce the final tax with their own bonuses, up to 99% for close family.
| Group | Who | State reduction |
|---|---|---|
| I | Children and adopted children under 21 | €15,956.87 plus €3,990.72 for each year under 21, up to €47,858.59 |
| II | Children 21 or older, spouse, parents | €15,956.87 |
| III | Siblings, nephews and nieces, uncles and aunts, in-laws | €7,993.46 |
| IV | Cousins, more distant relatives and non-relatives | None |
The multiplier is 1 for groups I and II when your previous wealth is under €402,678.11, and goes up to 2.4 for group IV heirs with more than €4,020,770.98.
Which region’s rules apply
This is the question that changes the bill the most.
- If the deceased lived in Spain, the rules of the region where they lived apply (the one where they spent most days in the last five years), whether the heirs live in Spain or abroad.
- If the deceased lived abroad, non-resident heirs apply the rules of the region where most of the Spanish assets are.
Until 2021 only heirs from the EU and the EEA could use regional rules. Since Law 11/2021, every non-resident can, including heirs in the United States and the United Kingdom.
| Region | Children and spouse (groups I and II) |
|---|---|
| Madrid | 99% bonus |
| Andalusia | 99% bonus |
| Canary Islands | 99.9% bonus |
| Galicia | 99% bonus |
| Murcia | 99% bonus |
| Catalonia | 99% for the spouse; a lower bonus for children that decreases as the amount grows |
| Valencia | Check the current rules: the region changes them often |
Regional rules change with each budget law. Check them before you plan anything.
Deadlines and paperwork
- Deadline: 6 months from the date of death. You can ask for a 6-month extension within the first 5 months.
- Residents file with the regional tax office of the region whose rules apply.
- Non-residents file form 650 with the Spanish Tax Agency (AEAT), online or at its national office in Madrid.
- Living outside the EU or the EEA? You must appoint a tax representative resident in Spain.
- Foreign documents (death certificate, will, certificate of inheritance) need an apostille and a sworn translation into Spanish.
- In practice, you will usually need an NIE to register an inherited property or to access a Spanish bank account.
Late filing brings surcharges and interest.
Double taxation: the US and the UK
Spain has no inheritance tax treaty with the United States or the United Kingdom. If you are a Spanish resident and inherit assets abroad, Spain lets you deduct the inheritance tax you paid abroad on those assets, up to the Spanish tax on them. For US estates, the IRS allows a credit for Spanish inheritance tax on the estate tax return, but it only matters if the estate is above the US exemption.
Do not forget the plusvalía
If you inherit a home or land in a Spanish town, the town hall also charges the municipal capital gains tax (plusvalía municipal) on the increase in the value of the land. It is a separate tax with its own deadline. If the land has not increased in value, nothing is due.
Plan ahead: a Spanish will
If you own property in Spain, a Spanish will for your Spanish assets makes the process faster for your heirs. Under the EU Succession Regulation, foreigners can choose the law of their nationality to govern their succession. Planning does not avoid the tax, but it avoids months of paperwork.
How we can help
Our tax team works with expats and non-residents. We calculate the tax under the right regional rules, file the return and act as your tax representative in Spain. See our tax advisor service or book a 1-hour tax consultation (€120, VAT included, deducted from our fees if you hire us).
Frequently asked questions
Is there inheritance tax in Spain?
Yes. The heir pays the Inheritance and Gift Tax (ISD). How much depends on the region and on your relationship with the deceased.
Do non-residents pay inheritance tax in Spain?
Yes, but only on assets located in Spain, such as a property or a Spanish bank account.
Can non-residents use the regional reliefs?
Yes. Since 2021 all non-residents can apply the rules of the relevant region, not only EU and EEA residents.
How long do I have to pay?
6 months from the date of death. You can request a 6-month extension within the first 5 months.
Do children pay inheritance tax in Spain?
It depends on the region. In Madrid, Andalusia and the Canary Islands, children and spouses get a bonus of 99% or more, so they pay very little.
Is there a tax treaty between Spain and the US or the UK?
Not for inheritance tax. Double taxation is reduced with credits under each country’s own law.
Sources: Law 29/1987 on Inheritance and Gift Tax (BOE, consolidated text); Spanish Tax Agency, form 650 instructions for non-residents (checked November 2026).
