There is a national law regulating inheritance and gift taxes, each autonomous community may adapt the tax rate to their own needs. Throughout Spain, this tax rate ranges from 7.65% to 34%, depending on the autonomous community and the sum or value of the assets that are donated.
Inheritance tax in Spain applies to everyone, residents and non-residents alike. Also called succession tax (impuesto de sucesiones y donaciones or ISD), the progressive tax becomes payable upon receipt of an inheritance from a friend or relative—whether this is property, money, or an asset of any kind European Union citizens residing in Spain who are subject to inheritance tax will be taxed in the same way as other Spanish citizens, thus eliminating tax discrimination with respect to European residents.
When the heir is resident in the EU, the inheritance regulations of the Autonomous Community of the deceased’s habitual residence may be applied, and under the conditions provided for by law regarding the establishment of the habitual residence and its supporting evidence.
If the assets are all located outside Spain, and the heirs reside here, they are obliged to pay Spanish taxes under the corresponding regional regulations.
The law indicates that they can deduct what they have paid for the same concept in the foreign country Do you need anything else? Let’s have a coffee and we’ll take a look at all the options.