NON-RESIDENT INCOME TAX – Mod 210

The Non-Resident Income Tax (IRNR) is the tax with which the Treasury taxes the income obtained in the Spanish territory from those natural persons or entities not resident in Spain.

Model 210: Non Residents with Real Estate

All those individuals who do not reside in Spanish territory but have obtained property incomes in Spain will be required to file Model 210. We must file the Income Tax return for non-residents using form 210, declaring the allocation of the property in the year following the year we are declaring. That is, during 2014 we will declare the imputation of our property from 2013.

It is a different thing to have rented a home. Then the declaration becomes quarterly instead of annual, and is declared in the non-resident income model (form 210) in the same year of its accrual. Regarding the amount of economic profitability that comes from a rental home, it is different depending on the country of residence we are in. That is, we will have to differentiate whether we are residing in Europe or not. We may agree to deduct a series of expenses depending on the country in which we are located.

However, if the yield is negative, once the legally established expenses have been deducted, the return becomes annual again.

Form 210 submission. Non-resident income tax

As we have already mentioned previously, the deadline for submitting form 210 varies depending on the type of income in question. In this way, the deadlines would be the following:

● Derived income from the sale of real estate. Within a maximum period of three months once the period of one month has elapsed from the date of transfer of the property, Form 210 must be submitted.

● Imputed income from urban properties (not rented): if the property has been empty at any time during the year, a Form 210 must be submitted for said period. The declaration must be made during the calendar year following the accrual date.

● Income from rental of real estate. Income must be declared using form 210 during the first twenty calendar days of the months of January, April, July and October, in relation to income whose accrual date falls within the previous calendar quarter.

In summary

Foreigners Non-resident who have a property in Spain, must make annually the declaration of non-residents MODEL 210. This declaration is normally made on the month of June / July of each year, varying according to the type of income.

Are you a Non-Resident Prosecutor?

To know if you are a Fiscal Resident in Spain or not, you have to meet a series of requirements established by the Personal Income Tax Law. In his article number 9 makes clear that Spanish residents will be those who:
● Stay more than 183 days a year in the country.
● Have the core of their economic activities in Spanish territory, directly or indirectly.
● Are the spouse not legally separated with minor children who habitually reside in Spain and depend on that person.