Inheritance in Marbella, Andalucía: Complete Guide for Non-Residents
Marbella, in the heart of Andalucía, is a dream location for property investors. Thousands of international families own villas, apartments, or holiday homes along the Costa del Sol. But when the owner of such real estate passes away, their heirs face the legal and tax maze of Spanish inheritance law. The process involves notarial deeds, registration before the Land Registry, and the payment of two main taxes: the municipal plusvalía tax and the Inheritance Tax. For non-resident heirs, this process is often more complicated. They may not speak Spanish, may live far away, and may be unaware of strict tax deadlines. That is why hiring an international tax lawyer in Marbella or an inheritance tax lawyer in Marbella is essential. With professional support, heirs avoid costly mistakes, claim all applicable reductions, and ensure the property is smoothly transferred to their name.
Jacob Salama
8/27/20255 min read
Understanding Connection Factors and Non-Resident Tax in Marbella
The first step in handling non-resident tax in Marbella is to determine the correct connecting factors. Spanish inheritance law applies differently depending on where the property is located, where the deceased lived, and where the heirs live.
Location of the property: All real estate located in Marbella or anywhere in Andalucía is always taxed in Spain.
Residence of the deceased: If the deceased was a Spanish tax resident, their worldwide estate is taxed. If the deceased was a non-resident, only assets in Spain are subject to tax.
Residence of the heirs: Since 2015, heirs living in the EU or EEA can benefit from the regional reductions in Andalucía. Thanks to European Court rulings, even heirs outside the EU/EEA (for example in the UK, USA or Canada) may also benefit, but the process is more technical.
An international tax lawyer in Marbella will analyze these connection factors to confirm whether the inheritance is taxed under Andalucía’s rules, and how to maximize the reductions.
Municipal Plusvalía Tax in Marbella: How It Works
The plusvalía municipal (Impuesto sobre el Incremento del Valor de los Terrenos de Naturaleza Urbana) is the municipal capital gains tax on land. It is paid to Marbella Town Hall when a property is inherited.
It is important to note that this tax applies to the increase in the land value, not the building. The calculation is based on:
The cadastral land value (as shown on the annual IBI receipt).
The number of years the deceased owned the property.
The coefficient and tax rate set by Marbella Town Hall (rates usually range between 18% and 25%).
Example: A villa in Marbella has a land cadastral value of €120,000 and was owned for 10 years. With a coefficient of 0.15, the taxable base is €18,000. At a tax rate of 20%, the plusvalía payable is €3,600.
Recent Constitutional Court rulings allow heirs to challenge plusvalía when there has been no real increase in value. But this must be claimed quickly and requires legal expertise. An inheritance tax lawyer in Marbella will calculate both the “objective method” and the “real method” and ensure the heir pays the lower amount, or even appeals the tax if there was no gain.
Inheritance Tax in Marbella and Andalucía: Rules for Non-Residents
The second and often most significant cost in inheritance in Marbella is the regional Inheritance Tax. While Spain has a national progressive tariff of 7.65% to 34%, Andalucía offers some of the most generous reductions in the country.
Andalucía Reductions for Heirs
Children, parents, and spouses (Group I and II heirs) each enjoy a €1,000,000 allowance. In practice, this means most direct heirs pay nothing.
Amounts above €1,000,000 are taxed, but with a 99% reduction, so the final tax is symbolic.
Distant relatives (siblings, cousins, nephews, friends) do not enjoy this allowance, and their tax bills can be very high.
Simulation A: Direct Heir (Child or Spouse) – Property Worth €800,000
Taxable value: €800,000. Reduction: €1,000,000.
Result: No Inheritance Tax is due.
Simulation B: Direct Heir – Property Worth €1,500,000
Taxable value: €1,500,000. Reduction: €1,000,000. Taxable base: €500,000.
Effective tax: around €100,000, but with Andalucía’s 99% bonus the final tax is about €1,000 only.
Simulation C: Indirect Heir – Property Worth €900,000
A nephew inherits a Marbella apartment worth €900,000. Reduction: €7,993 only. Taxable base: €892,007.
Tax at 20% effective rate: around €178,000.
Here the difference is striking: direct heirs pay nothing, while distant relatives face high bills.
This is why working with an inheritance tax lawyer in Marbella is essential: they make sure heirs benefit from all allowances and prepare strategies in cases where the heir is not a direct relative.
Non-Resident Inheritance Tax in Marbella: Deadlines and Penalties
Spanish law is strict on deadlines. Inheritance Tax must be declared within six months of the date of death. Heirs may request an additional six-month extension, but only if they apply within the first five months. The plusvalía municipal must also be declared within the same six-month period.
If deadlines are missed, penalties and interest apply. For non-residents living abroad, this can be a real risk, as they may not even be aware of the inheritance procedures. Hiring an international tax lawyer in Marbella ensures these deadlines are respected and penalties are avoided.
Other Costs When Inheriting Property in Marbella
In addition to taxes, heirs face notarial, registry, and administrative costs.
Notarial deed of acceptance of inheritance: between €600 and €1,200.
Land Registry inscription: between €400 and €800.
Translations, apostilles, and certificates: between €500 and €1,000 depending on complexity.
An inheritance tax lawyer in Marbella provides an upfront estimate of all these costs, so heirs can budget accurately.
Why an International Tax Lawyer in Marbella is Indispensable
The combination of civil law, tax law, and municipal rules makes non-resident inheritance in Marbella complex. Heirs face challenges such as:
Apostille and sworn translation of foreign documents.
Determining whether Spanish law or foreign law applies.
Navigating forced heirship rules versus chosen law.
Understanding whether the deceased’s country has a double taxation treaty with Spain.
An international tax lawyer in Marbella handles all of these issues: drafting and signing inheritance deeds, filing taxes, registering the property, and appealing incorrect assessments. They also act under power of attorney for heirs who cannot travel to Spain, ensuring the process is managed from start to finish.
Detailed Simulations of Non-Resident Inheritance Tax in Marbella
Example 1: Non-Resident Child Inheriting a Marbella Apartment Worth €500,000
Inheritance tax: fully exempt under Andalucía’s €1M allowance.
Plusvalía: around €3,500 depending on cadastral values.
Other costs: around €2,000.
Final cost: less than 1% of property value.
Example 2: Non-Resident Spouse Inheriting a Marbella Villa Worth €2,000,000
Inheritance tax: €1M exempt, remaining €1M taxable. Progressive rate gives ~€200,000, but with Andalucía’s 99% reduction, final payment ≈ €2,000.
Plusvalía: ~€10,000 depending on land value.
Other costs: €3,000.
Final cost: extremely favorable compared to other regions in Spain.
Example 3: Non-Resident Nephew Inheriting a Marbella Flat Worth €600,000
Inheritance tax: Reduction only €7,993. Taxable base €592,007. Effective rate 18% ≈ €106,000.
Plusvalía: ~€2,500.
Other costs: €2,000.
Final cost: close to €110,000 – a major difference compared to heirs in direct line.
These examples show why it is crucial to consult an inheritance tax lawyer in Marbella as soon as the process begins.
Conclusion: How an Inheritance Tax Lawyer in Marbella Protects Your Rights
For heirs inheriting property in Marbella, especially non-residents, the process is both a challenge and an opportunity. Andalucía’s tax rules are among the most generous in Spain, but only if applied correctly and within the deadlines. Direct heirs (children, spouses, parents) often pay no inheritance tax at all, while distant relatives face high costs. Municipal plusvalía must also be calculated carefully, and notarial and registry steps must be completed.
With the guidance of an international tax lawyer in Marbella, heirs can safely navigate this process, minimize their tax exposure, and ensure legal ownership is properly transferred.
Speak with an International Tax Lawyer in Marbella Today
If you have lost a relative who owned real estate in Marbella, or if you are planning your estate to protect your heirs, do not wait. Deadlines are strict, and penalties can be severe. Contact an inheritance tax lawyer in Marbella or an international tax lawyer in Marbella now. They will handle your non-resident tax in Marbella, prepare all documents, deal with the notary and Land Registry, and secure the allowances that reduce your tax bill close to zero.
Whether you are inheriting a luxury villa overlooking the Mediterranean, an apartment in Marbella’s city center, or a holiday home on the Costa del Sol, the key is clear: consult a qualified international tax lawyer in Marbella and protect both your inheritance and your peace of mind.