Taxes in Spain
for expats
Everything you need to know about IRPF, the Beckham Law, double taxation treaties, Article 7p and your obligations as a foreign resident in Spain.
Tax residence in Spain
You are a tax resident in Spain if you spend more than 183 days per year in the country, or if your main economic interests are based here. Once you are a resident, you pay IRPF on your worldwide income.
The year of arrival is particularly complex — you may be resident in two countries simultaneously for part of the year. Always consult a specialist for your arrival year.
Tax residence does not change automatically with your visa. You must formally notify the AEAT using Modelo 030. Failing to do so can create double taxation issues.
IRPF — Income tax brackets 2026
Spain operates a progressive tax system. The rates shown are the combined rates (state + regional) for the Community of Madrid, which has the lowest rates in Spain for higher incomes.
| Taxable base | Rate | Visual | Tax in this bracket |
|---|---|---|---|
| Up to €12,450 | 19% | Up to €2,365 | |
| €12,450 – €20,200 | 24% | 1.860 € | |
| €20,200 – €35,200 | 30% | 4.500 € | |
| €35,200 – €60,000 | 37% | 9.176 € | |
| €60,000 – €300,000 | 45% | Up to €108,000 | |
| Over €300,000 | 47% | 47% on the excess |
The brackets above apply to the Community of Madrid. Catalonia and other regions have higher rates. Madrid is generally the most tax-efficient region for higher incomes.
IRPF Calculator — Estimate your net salary
This calculator gives you an estimate of your net income in Spain. It uses the 2026 brackets for the Community of Madrid and includes employee Social Security contributions.
Net salary calculator
2026 bracketsCalibrated against verified professional payroll calculations for the Community of Madrid (2026). Figures between calibration points are interpolated and figures well outside typical salary ranges are extrapolated, so treat this as a close estimate, not a legal document. Always confirm your exact figure with a gestor or tax adviser.
The Beckham Law — Special expat tax regime
Officially known as the Special Regime for Workers Relocated to Spanish Territory, it allows qualifying expats to pay a flat rate of 24% on Spanish income up to €600,000, instead of the progressive rates that reach 47%.
You qualify if: you have not been a tax resident in Spain in the last 5 years · you have moved to Spain under a work contract or corporate relocation · you submit the application within 6 months of your first working day in Spain. The regime lasts 5 years.
For a salary of €80,000, the Beckham Law saves approximately €8,000–€12,000 per year compared to standard IRPF. The higher the salary, the greater the saving.
The application (Modelo 149) must be submitted within 6 months of your first working day in Spain. Missing this deadline means losing the benefit for your entire stay. Do not leave it until later.
Double taxation treaties (CDI)
Spain has signed Double Taxation Agreements (CDI) with over 90 countries. They determine which country has the right to tax each type of income and how to avoid paying tax twice on the same income.
Countries with a CDI with Spain — click to read the full treaty text in the BOE:
Article 7p — Exemption for work abroad
If you are tax resident in Spain and travel abroad for work purposes for your Spanish employer, the income earned during those days may be exempt from IRPF up to €60,100 per year. This is one of the most valuable and underused tax benefits available to Spain-based professionals who travel internationally.
1. You must be a tax resident in Spain (183-day rule). This exemption is not compatible with the Beckham Law.
2. The work must be performed physically outside Spain — remote work from Spain does not count. You must actually travel.
3. The territory where you work must have an income tax (or a CDI with Spain) — tax havens are excluded.
4. The income must come from a Spanish employer (or a permanent establishment in Spain).
You earn €80,000/year. You travel abroad for work 60 days per year. The exempt portion = (60/365) × €80,000 = €13,150 exempt from IRPF, saving approximately €5,200 at the 40% marginal rate — up to the annual cap of €60,100.
| Aspect | Detail |
|---|---|
| Maximum annual exemption | €60,100/year — income above this is taxed normally |
| Compatible with Beckham Law | No — they are mutually exclusive |
| Day calculation | Days actually worked abroad, normally including travel days |
| Documentation required | Boarding passes, hotel receipts, expense reports and employer certificate |
| Where to declare | Box 0006 of the annual Renta declaration |
| Audit risk | Medium-high — AEAT scrutinises 7p claims closely. Documentation must be solid. |
| Who benefits most | Executives, consultants and engineers who travel frequently under a Spanish employment contract |
If you travel abroad for work more than 15-20 days per year under a Spanish employment contract, discuss Article 7p with your tax adviser. The potential saving is very significant and the exemption is completely legal — it is simply underused because many employees are unaware of it.
Annual tax return (Renta)
As a tax resident in Spain, you must file an annual tax return (Declaración de la Renta) with the AEAT. The filing period typically runs from April to June for the previous year's income.
You are generally required to file if you earn more than €22,000 from a single payer, more than €15,000 from multiple payers, or if you have significant income or assets abroad (Modelo 720).
Your arrival year is complex — you may need to file in two countries. The AEAT provides Renta Web to file online. Many expats use a gestor (tax adviser) for their first year. Estimated cost: €150–€400.