Answers for property owners
The 3% Withholding on Non-Residents When Selling in Spain
It is not an extra tax, it is an advance payment. But it has deadlines, and the one who pays it in is the buyer, not you.
SHORT ANSWER
If you are a non-resident for tax purposes and you sell a home in Spain, the buyer must withhold 3% of the agreed price and pay it to the Spanish Tax Agency (Hacienda) within one month (modelo 211). It is a payment on account of your tax: you then file modelo 210, and you recover any excess or pay any shortfall.
IN THIS ARTICLE
Many foreign owners find out about it at the notary. It is worth knowing in advance, because it affects the money you receive on the day of signing.
Why does the withholding exist?
Every seller in Spain pays tax on the profit they make. If you are a tax resident, you declare it in your income tax return in June of the following year, and you prove it to the notary with a certificate from the Spanish Tax Agency (Agencia Tributaria). If you are not, the Agency considers the tax hard to collect once the deal is closed and the seller is already out of the country. That is why it requires the buyer to withhold 3% and pay it in within one month of signing. The responsibility for that payment lies with the buyer.
If the withholding is more than your tax
You file modelo 210 reporting the gain, or the loss if there is one. Once the Spanish Tax Agency checks the return and confirms there are no other taxes outstanding, it refunds the difference between what was paid in and the real tax. In our experience, these refunds take between six months and a year.
If the withholding does not cover the tax
You still file modelo 210 within the same deadline and pay the additional amount that is missing. With a rate of 19% (EU and EEA) or 24% (rest of the world), and 3% withheld, in sales with a gain it is normal to have to top up the payment.
| Item | Example (price €800,000, gain €230,000, EU) |
|---|---|
| 3% withholding on the price | €24,000 |
| Real tax at 19% | €43,700 |
| To pay on modelo 210 | €19,700 |
Illustrative example. If the gain were smaller, or there were a loss, the withholding would be refunded in full or in part.
What to have ready
- Your NIE and the tax details of your country of residence
- The purchase deeds and the invoices for improvements, to prove the real gain
- A tax adviser who files modelo 210 on time
- Expect to receive 97% of the price at signing, before other costs
- Review the deposit contract (arras) so that it covers the withholding
For the full calculation, see what taxes you pay when selling and resident or non-resident.
Frequently asked questions
Who pays the withholding to the Spanish Tax Agency?
The buyer, using modelo 211, within one month of the transfer.
What happens if I sell at a loss as a non-resident?
You file modelo 210 and apply for a refund of what was withheld.
When is the difference refunded?
Once the return has been checked. In our experience, between six months and a year.
Is it the same as the final tax?
No. It is a payment on account. The final tax is calculated on your real gain and declared on modelo 210.
About the author
Alfonso Lacruz
Naval engineer and market analyst. Over 25 years advising owners in Marbella and Benahavís. Publishes a monthly market analysis with Land Registry data.
Every case is different: before you sign or decide, confirm your situation with your own lawyer, notary or tax adviser.
Sources: Spanish Tax Agency (Agencia Tributaria: modelos 211 and 210); Non-Resident Income Tax Law (Ley del Impuesto sobre la Renta de no Residentes). Last updated: 24 October 2026.
Thinking of selling your home on the Costa del Sol?
Start by knowing where your home stands in today’s market.