Form 210 for Non-Residents in Spain: Rental, Deemed Income, and Capital Gains—A 360º Guide

1) Who must file Form 210—and when

Form 210 is used by non-residents to declare Spanish-sourced income. The filing cadence depends on the income type:

• Rental income: Quarterly filings for each owner, covering rents collected in the quarter.
  
  

• Deemed income (imputation): Annual filing for a property at your disposal (i.e., not rented for all 365 days).
  
  

• Capital gains: Event-based filing after a sale (real estate, and other assets when Spain has taxing rights). If you sell real estate as a non-resident, remember the buyer’s 3% withholding and your subsequent regularisation via Form 210.
  
  

Each co-owner files their own Form 210 for their share. If a property is jointly owned by a couple or siblings, do not submit a single “group” return—file one per holder.

2) Identity, bank details, and representation

Before touching the form, ensure you have a Spanish NIE/NIF. If you live abroad, appoint a representative address in Spain so you never miss a notice. For refunds, Spanish bank details speed things up, though foreign accounts can work with extra steps. Many non residents sign a power of attorney so a lawyer in Spain can file and deal with the Tax Agency on their behalf.

3) Rental income: how to compute the taxable base

Rental income from Spanish property is taxable in Spain. The big fork in the road is whether you are EU/EEA resident (or otherwise entitled to expense deductions) or non-EU:

• EU/EEA (and aligned cases): You can generally deduct direct, necessary expenses proportionally to the rented days. Typical items: community fees, home insurance, repairs (not capital improvements), local property tax (IBI), utilities paid by you, property manager fees, and mortgage interest linked to the property.
  
  

• Non-EU: Deductions may be restricted; historically, taxation on gross rent has applied. Always have a current analysis—rules evolve.
  
  

Periodisation matters. Only deduct costs for the period the property is actually rented or actively available for rent, and only proportionally to each owner’s share. Keep an occupancy calendar matching platform statements.

VAT interplay. Long-term residential lets are typically VAT-exempt. If you offer hotel-style services in short-term lets (regular cleaning during the stay, reception), VAT may apply—separate from Form 210 but crucial for your model.

4) Deemed income: when a “silent” annual filing is due

If your Spanish property is available for your use (not rented all year), you may need to file an annual imputed income on Form 210. The base is calculated using cadastral values and official coefficients. Practical steps:

• Obtain the cadastral reference.
  
  

• Identify the days the property was not rented.
  
  

• Compute the imputation for those days only (avoid double counting months when rent was already declared).
  This filing catches many non residents out because there is no money changing hands—set a calendar reminder.
  
  

5) Capital gains: selling real estate and other assets

When a non-resident sells Spanish real estate, the buyer must withhold 3% of the sale price and pay it to the Tax Agency. The seller then files Form 210 to compute the real capital gain:

• Gain = Sale price (net of your selling costs) minus Acquisition price plus documented purchase costs and capital improvements.
  
  

• Improvements must be documented (contractor invoices, bank transfers) and add value beyond routine maintenance.
  
  

• If your final tax is less than the 3% withheld, you claim the refund via Form 210. If more, you pay the difference.
  
  

For shares and other assets, Spain’s right to tax depends on domestic rules and double tax treaties. Always identify the correct source and attach evidence.

6) Line-by-line mindset for a clean filing

While each electronic form screen is self-explanatory, these principles save headaches:

• Pick the correct income type and period.
  
  

• Enter your NIE/NIF and current contact data precisely.
  
  

• Apply the appropriate rate and, if eligible, treaty relief—backed by a current tax residence certificate.
  
  

• For refunds, include bank details and attach withholding certificates (e.g., the buyer’s 3% certificate).
  
  

7) Frequent mistakes that cost money

• Declaring annual rents on a quarterly return or vice versa.
  
  

• Deducting a full year of expenses when the property was rented for only a few months.
  
  

• Forgetting deemed income for the months the property was at your disposal.
  
  

• Poor invoice hygiene: Spain is evidence-driven; estimates do not survive audits.
  
  

• Missing the capital improvement evidence—this inflates the gain and your tax.
  
  

• Not filing after a sale because “the buyer already withheld 3%.” That 3% is a payment on account, not the final tax.
  
  

8) Two worked examples

Example A (rental): EU owner receives €12,000 rent in a year, rented for 180 days. Pro-rated expenses for rented days total €3,000. The taxable base is €9,000. Each quarter, declare the rents collected and the corresponding expenses. Keep invoices plus a day-by-day occupancy log.
Example B (sale): Non-resident sells for €420,000; buyer withholds €12,600 (3%). Acquisition cost plus documented improvements and purchase/sale costs total €360,000 → Gain €60,000. Compute tax on €60,000; if tax due is €8,000, request a refund of €4,600.

9) Audit-proofing and e-filing discipline

Create one digital folder per property or asset: deeds, cadastral data, contracts, invoices, platform statements, bank proofs, and—where needed—your tax residence certificate. If you move country, renew the certificate annually. Consider giving a power of attorney to a lawyer in Spain to monitor e-notifications and reply within deadlines.

10) FAQ snapshot

• Do I need one Form 210 per owner? Yes.
  
  

• What exchange rate do I use? The official rate applicable to the transaction/period; keep consistent evidence.
  
  

• What if the buyer never paid the 3%? Escalate immediately; attach alternative proof and consider contractual remedies—get counsel.
  

Want a hands-off Form 210 service from a tax lawyer in Spain for non residents? Book an appointment: https://calendar.app.google/JVoXFG8h3eiu1eGu5