Spain has taken a significant step towards removing Gibraltar from its list of non-cooperative tax jurisdictions, historically referred to as the Spanish “tax haven” list. The Spanish Ministry of Finance has published a draft ministerial order proposing Gibraltar’s removal from the list established by Order HFP/115/2023. The draft also removes several other jurisdictions while adding … Read more
The deductibility of vehicle-related expenses is one of the most controversial issues within the Spanish tax system. Both self-employed individuals and companies face a demanding regulatory framework, in which the Spanish Tax Office pays particular attention due to the frequent mixed use of vehicles both professional and personal. Understanding when and to what extent these … Read more
Spain has officially joined the “no more paper (or dodgy PDFs)” club. Royal Decree 238/2026, approved on 25 March, introduces mandatory electronic invoicing for businesses and professionals (B2B), in line with the “Crea y Crece” Law and the EU’s grand plan to modernise VAT systems. The aim? A noble trio: boost digitalisation, improve traceability, and … Read more
Spain’s tax authority, the Agencia Tributaria, is sharpening its focus on a new generation of income sources. From social media influencers and cryptocurrency investors to landlords receiving digital payments, the message from Hacienda is becoming increasingly clear: the digital economy is no longer flying under the radar. As Spain’s financial landscape evolves, so too does … Read more
Temporary and lifetime annuities are common financial products in Spain, typically structured through life insurance contracts or capitalisation schemes. The Spanish Tax Office (AEAT) provides a detailed set of rules that determine how much of each payment is taxable and how these annuities must be included in the Personal Income Tax return (IRPF). What is … Read more
If you were unfortunate enough to experience theft or fraud during the previous year, it is important to know that certain losses may be included in your income tax declaration as capital losses, potentially reducing your overall tax liability. Cash losses If your wallet was stolen, funds were taken from your bank account, or your … Read more
Spanish public administrations have taken another step in coordinating their databases to strengthen oversight of benefits, contributions, and tax situations affecting millions of taxpayers — especially self-employed. Agreement Extended Until 2030 The State Tax Administration Office and the National Social Security Institute have extended their collaboration agreement until 2030. This agreement, originally in force since … Read more
In 2026, Spain updates the rules for VAT pro-rata, a system used to calculate the deductible portion of VAT when a business carries out both taxable and exempt operations. For small and medium companies and self-employed professionals, understanding these changes is essential to optimize tax deductions and comply with the Tax Office. This article explains … Read more
The way Spain’s Social Security system manages its annual updates to contribution bases, the Minimum Interprofessional Wage (SMI), and contribution bases has become a clear example of how a lack of planning gradually turns into an accepted feature of the system. The issue is not that these changes are wrong, in fact, they are necessary … Read more
Under Spain’s new system of contributions based on real income, many self-employed workers are now receiving notifications from the Social Security authorities confirming a regularisation of their contributions. In some cases, this means an additional payment must be made. In others, a refund may be issued. While most attention is usually placed on the cash … Read more
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The Income Tax and Wealth Tax Declaration campaign is now underway. All tax residents of Spain are reminded that Income and Wealth Tax Declarations must be filed no later than 30 June.
In addition, Great Fortunes Tax Declarations must be submitted by 31 July.
Please contact us if you would like assistance, as we can prepare and file the declarations on your behalf.
