The four residence combinations
| Deceased | Heir | Management | Regional-law option |
|---|---|---|---|
| Resident | Resident | Deceased’s autonomous community | That community’s rules |
| Resident | Non-resident | AEAT / State | State or deceased’s community |
| Non-resident | Resident | AEAT / State | Region with highest-value Spanish assets; if none, heir’s region |
| Non-resident | Non-resident | AEAT / State | Region with highest-value Spanish assets |
Residence, not citizenship, drives the route
A Spanish citizen living abroad can be a non-resident heir, while a foreign citizen living in Spain can be resident. The relevant status is tax residence at the date of death. Where the deceased or heir is non-resident, management generally moves to the AEAT’s National Tax Management Office, even when regional legislation can be chosen.
What Spain taxes
A resident heir is generally subject on the inherited assets and rights worldwide, with a possible deduction for a similar tax paid abroad under the statutory limits. A non-resident heir is generally subject on Spanish assets and rights and certain life-insurance proceeds connected with Spain. A double-tax treaty or the location rules for particular assets may still need review.
The applicable region can change the result
Regional kinship allowances and rebates can make the same inherited share produce very different estimates. If the deceased was resident in Spain, their autonomous community is central. If the deceased was non-resident, the highest-value group of assets located in one Spanish region can determine the regional option. The heir’s own region is used in the official matrix only in the specified case where the deceased was non-resident, the heir resident and there are no Spanish assets.
Worked international routes
Madrid parent, UK-resident child
The child generally files with the AEAT and may opt for Madrid’s regional rules instead of the state rules.
UK parent, Spanish-resident child
The AEAT manages the return. If the highest-value Spanish assets are in Andalusia, Andalusian rules are the regional option.
Spanish holiday home
The non-resident heir is within Spanish tax for the Spanish asset and may use the rules of the region containing the highest-value Spanish assets.
How the estimate is built
- Start with each heir’s own inherited share, not the estate’s total value.
- Deduct qualifying kinship and main-home reductions.
- Apply the progressive or foral scale and the prior-wealth coefficient.
- Apply the selected region’s rebate to the resulting liability.
The embedded calculator assumes an adult Group II heir and prior wealth below €402,678. It is intentionally narrower than Form 650: minors, distant relatives, family businesses, life insurance, disability, usufructs and accumulated gifts can materially change the result.
Deadline and documents
The general Form 650 filing period is six months from death or from the date a declaration of death becomes final. A six-month extension can be requested during the first five months; interest can apply. Typical documentation includes the death certificate, wills certificate, will or declaration of heirs, an inventory and valuation of assets and debts, and identification of the heirs. Representation can be compulsory for certain non-resident taxpayers.
Common questions
Do foreigners pay a separate inheritance-tax rate in Spain?
No separate rate applies merely because of nationality. Residence, asset location, relationship, prior wealth and the applicable regional rules determine the calculation.
Can a non-resident use an autonomous community’s tax benefits?
Yes, in the situations shown in the AEAT competence table. The return may still be managed by the State while the taxpayer opts for the specified regional rules.
Which region applies when a non-resident dies?
Where there are Spanish assets, the common-regime matrix points to the autonomous community containing the highest value of those assets. If the heir is resident and there are no Spanish assets, the heir’s region is the available regional option.
Does inheriting a Spanish home create capital-gains tax for the heir?
The inheritance itself is subject to inheritance tax. Later rental or sale can create separate income or capital-gains taxes, and municipal plusvalía may also arise for urban property.
Official sources
- AEAT · State and autonomous-community competence table
- AEAT · Who must file non-resident Form 650
- AEAT · Filing deadline and extension
- BOE · Inheritance and Gift Tax Act
- Project methodology and limitations