Paying Spanish inheritance tax from abroad

The deadline, precisely

Six months from the date of death — not from when you found out, not from when you obtained the certificates, not from when the deed was signed.

An extension of a further six months is available, but only if it is requested within the first five. Miss that window and the extension is gone.

After the deadline, surcharges apply on a sliding scale depending on how late the filing is. If the tax office issues a formal demand before you file, penalties apply on top. Filing late of your own accord is always cheaper than being found.

You need a Spanish tax number first

A non-resident heir cannot file without an NIE. It can be applied for at the Spanish consulate in your country of residence, or in Spain through a representative holding a power of attorney.

This is where people lose weeks. The NIE application depends on consular appointment availability, which varies enormously, and the six-month clock does not pause while you wait for one. Starting it early is the single most useful thing a non-resident heir can do.

Which region’s rules apply

Inheritance tax is a national tax devolved to Spain’s seventeen autonomous regions, and the reliefs differ dramatically between them. In some, inheritances between parents and children are almost entirely relieved. In others they are not.

For a resident deceased, the applicable region is generally where they were habitually resident. Where the deceased was not resident in Spain, the rules point to where the assets are located.

This is why figures found online are close to useless until you know which region applies to your case.

Non-residents are no longer treated worse

For years, non-resident heirs were denied regional reliefs and taxed under less favourable national rules. The Court of Justice of the European Union held that this discriminated against EU residents, Spain amended its legislation, and Spanish case law has since extended equal treatment to residents of third countries.

There is a practical consequence worth checking: if you inherited before that change and paid under the national rules, you may have overpaid. Refund claims have succeeded. Limitation periods apply, so the dates matter.

How to actually pay it from abroad

The return is filed with the tax authority of the relevant region, or with the national tax agency where the rules point there. Filing is generally electronic, which in practice means a Spanish digital certificate — another reason most non-resident heirs act through a representative rather than directly.

Payment can be made from abroad by international transfer to the relevant account, or by a representative in Spain on your behalf. You do not need a Spanish bank account of your own for this, although you will need one eventually if you inherit a Spanish property and intend to keep it.

The second tax people forget

Where the estate includes urban property, a separate municipal tax on the increase in land value is payable to the town hall. Different authority, different deadline, different calculation. It regularly catches people out after they have already budgeted for inheritance tax and think they are finished.

Both have to be settled before the property can be registered in your name.

Related: Spanish probate for non-residents · Spanish inheritance service · Article: what you actually pay