Inheritance Tax Planning in Spain


Inheritance Tax varies from region to region in but can be anywhere between 6.75% and 82%.

This tax is paid by the heirs of an estate on any asset located in Spain or if the heir is a resident in Spain.

Inheritance Tax is a complicated business in Spain and the rate paid can depend on many things such as the relationship to the deceased as well as the amount bequeathed. For instance, some tax-free allowances are given to certain beneficiaries, with close relatives receiving higher allowances.

The standard allowance is approximately €16,000, unless minor children are inheriting and then the allowance is greater.

As even this brief overview shows, Inheritance Tax in Spain is a complicated business and small details can have a massive effect on your legacy.

We offer a free, no obligation, half-hour consultation to help you discover your situation and what the best legacy solutions could be. Please call Helen Brasington on +34 951 319 814 or email with your preferred time.

Recent Changes in Andalucia – March 2015

Until 2015 the reduced rate granted by the Andalucía Region could only be claimed by the spouse and descendents who are resident in Andalucia. But now, since the sentence of the European Court of Justice ruling that the Spanish authorities cannot charge differing rates to Spanish and European residents, the extra exemptions can also be claimed by non-resident children and the spouse inheriting in Andalucia.

If you have paid inheritance tax over the last four years you could be entitled to a refund – please call Helen Brasington on +34 951 319 814.


Inheritance Tax (2015 rates)

From (euro) To (euro) Inheritance Tax IHT payable (euro)
€0,00 €7.993,46 7.65% €611,50
€7.993,46 €15.980,91 8.50% €1.290,43
€15.980,91 €23.986,36 9.35% €2.037,26
€23.968,36 €31.955,81 10.20% €2.851,98
€31.955,81 €39.943,26 11.05% €3.734,59
€39.943,26 €47.930,26 11.90% €4.685,10
€47.930,72 €55.918,17 12.75% €5.703,50
€55.918,17 €63.905,62 13.60% €6.789,79
€63.905,62 €71.893,07 14.45% €7.943,98
€71.893,07 €79.880,52 15.30% €9.166,06
€79.880,52 €119.757,67 16.15% €15.606,22
€119.757,67 €159.634,83 18.70% €23.063,25
€159.634,83 €239.389,13 21.25% €40.011,04
€239.389,13 €398.777,54 25.50% €80.655,08
€398.777,54 €797.555,08 29.75% €199.291,40
€797.555,08 plus 34%

As a general rule bequests to friends are taxed at a higher rate than bequests to families – this is important to consider if you are an unmarried couple. Even though you may have been living together for many years you may still be taxed at a higher rate unless you register the relationship with the appropriate authorities.