Capital Gains Tax Spain: Rates, Property Sales + Worked Examples (2026)

Spain taxes capital gains — the profit from selling an asset — under two different systems depending on whether you are a tax resident or not. The rules differ significantly, and getting them wrong is expensive. Here is exactly how it works, with worked examples for property on the Costa del Sol.

What Counts as a Capital Gain in Spain?

A capital gain (ganancia patrimonial) arises when you sell an asset for more than you paid for it. In Spain, this includes:

• Property (residential, commercial, land)
• Shares and investment funds
• Cryptocurrency
• Business interests
• Valuable personal property (art, antiques, jewellery over €1,500)

The gain is calculated as: Sale price − Purchase price − Allowable costs.

Allowable costs include: purchase taxes paid at acquisition (ITP or VAT), notary fees, registro fees, estate agent fees at both purchase and sale, and costs of improvements to the property (not routine maintenance). Keep every receipt.

CGT Rates for Spanish Tax Residents (2026)

If you are a Spanish tax resident, your capital gains are declared as rentas del ahorro (savings income) in your annual IRPF return (Modelo 100). The progressive rate table for 2026:

Gain Band	Tax Rate
First €6,000	19%
€6,001 – €50,000	21%
€50,001 – €200,000	23%
€200,001 – €300,000	27%
Above €300,000	28%

These rates apply to the net gain after allowable costs. There is no annual CGT allowance in Spain — unlike the UK’s £3,000 exempt amount.

CGT Rates for Non-Residents

Non-residents are taxed under IRNR (Impuesto sobre la Renta de No Residentes), not IRPF. The rate structure is simpler:

• EU and EEA residents (including UK nationals under the bilateral treaty): 19% flat on the total gain
• Non-EU, non-EEA residents: 24% flat on the total gain

Non-residents cannot use the reinvestment exemption for principal residence, because the tax authorities require the new property to also be in Spain and your principal residence there — which contradicts non-resident status.

Worked Example: Selling an Apartment on the Costa del Sol

Scenario A: Spanish Tax Resident Selling a Non-Primary Residence

You bought an apartment in Marbella in 2018 for €200,000. You sell it in 2025 for €300,000. You pay an estate agent €9,000 (3%) and notary/registro costs of €1,200. You paid €16,000 in ITP when you bought it.

Calculation:

• Sale price: €300,000
• Less: purchase price (€200,000) + purchase costs (€16,000 ITP + €1,500 notary at purchase) = €217,500
• Less: sale costs (€9,000 agent + €1,200 notary) = €10,200
• Net gain: €300,000 − €217,500 − €10,200 = €72,300

Tax due (resident, progressive rates):

• €6,000 × 19% = €1,140
• €44,000 × 21% = €9,240 (€6,001 to €50,000)
• €22,300 × 23% = €5,129 (€50,001 to €72,300)
• Total CGT: €15,509

The 3% retention the buyer withholds (3% × €300,000 = €9,000) is deducted from this. You owe an additional €6,509 when you file your Modelo 100 by 30 June 2026.

Scenario B: Non-Resident Selling the Same Apartment

Same facts. Same gain of €72,300.

• €72,300 × 19% = €13,737 total CGT
• 3% retention: €9,000 already paid via Modelo 211
• Balance due: €4,737 — payable via Modelo 210 within 4 months of completion

Or: if the retention exceeds the CGT (which happens when margins are tight), you apply for a refund from the Agencia Tributaria. This refund typically takes 12–18 months.

Scenario C: Resident Selling Principal Residence and Reinvesting

Same apartment, but it has been your primary home. You sell for €300,000 (gain €72,300) and buy another principal residence in Estepona for €350,000 within 18 months.

Because you reinvested 100% of the proceeds: CGT = €0. The exemption is applied proportionally if you reinvest only part. Sell for €300,000 and reinvest €150,000 (50%)? You exempt 50% of the gain — €36,150 is exempt, €36,150 is taxable.

This is the most powerful legal CGT reducer available to residents. See our guide to buying property in Spain for timing strategies.

The 3% Retention Rule (Retención del 3%)

When a non-resident sells property in Spain, the buyer is legally required to withhold 3% of the gross sale price and pay it to the Agencia Tributaria within one month of the sale, using Modelo 211. The buyer receives a receipt (Modelo 211 stamped copy) which they give to the seller.

Key points:

• The 3% is calculated on the sale price, not the gain — it can exceed the actual CGT if the margin is small
• If the buyer fails to withhold, the tax authority can pursue the buyer, not the seller — so buyers always comply
• Residents are not subject to this retention (they declare via IRPF)
• To reclaim excess retention, file Modelo 210 within 4 months and AEAT processes the refund (allow 12–18 months)

Reinvestment Exemption for Principal Residence

Article 38 of the LIRPF provides a full CGT exemption when all three conditions are met:

1. The property sold was your habitual residence (lived in for at least 3 years continuously, with exceptions for job relocation or divorce)
2. You reinvest the proceeds in another habitual residence in Spain
3. The new property becomes your habitual residence within 12 months of purchase (or within 2 years of the sale if you buy first)

The reinvestment window is 2 years — meaning you can sell first, then buy. Or buy first (up to 2 years before the sale), then sell. Both sequences work.

You must declare the intention to reinvest on your Modelo 100, even if you haven’t yet bought the new property. The Agencia Tributaria then monitors whether you follow through.

Over-65 Exemption

Residents aged 65 or older pay zero CGT on gains from selling their habitual residence — no reinvestment required. This is one of the most generous tax exemptions in the Spanish system and frequently overlooked by expat financial advisors.

For residents over 65 selling assets other than their primary home: the gain is exempt if the proceeds are used to purchase a renta vitalicia (lifetime annuity) through a Spanish-regulated insurer within 6 months. Maximum exempt amount: €240,000.

Reporting and Payment Deadlines

Residents (Modelo 100)

Capital gains from property sales completed in 2025 are declared in the 2025 IRPF return, filed between 2 April and 30 June 2026. You can file online via Agencia Tributaria’s Renta Web portal or through a gestoría.

You cannot defer declaring a gain — even if you plan to reinvest, you must disclose it on the return and indicate the reinvestment intention.

Non-Residents (Modelo 210)

File within 4 months of the completion date (fecha de escritura). If you sold on 15 March, your Modelo 210 is due by 15 July. The 3% retention via Modelo 211 is separate and the buyer’s obligation — your obligation is the Modelo 210 for the balance or refund.

Non-residents should appoint a Spanish representante fiscal (tax representative) to handle this — required by law if you don’t have an EU agent. Fees run €200–400.

Beckham Law Holders and CGT

If you are taxed under the Beckham Law (IRNR Special Regime), you pay a flat 24% on worldwide income — but your savings income (including capital gains) is taxed at the savings scale rates starting at 19%. The progressive advantage for large gains doesn’t apply under Beckham; you use the same bands as regular residents.

One critical Beckham note: gains from Spanish property sales are still subject to the 3% retention regardless of your tax regime.

Allowable Cost Deductions: The Full List

Do not underestimate allowable costs — they directly reduce your taxable gain. For a property sale, include:

At purchase: ITP (resale) or VAT+AJD (new build), notary fees, land registry fees, gestoría fees, mortgage arrangement costs (if using the property for investment), any structural improvements with invoices.

At sale: Estate agent commission, notary fees, registro fees, gestoría fees, energy performance certificate cost, any legal fees directly related to the sale.

Not allowable: Routine maintenance and repairs, community fees paid during ownership, IBI property tax paid during ownership, contents/furniture costs.

See the full breakdown of property purchase costs in Spain for what you should have recorded from the original purchase.

Cryptocurrency and Capital Gains in Spain

Since 2021, cryptocurrency is treated as a capital asset under Article 37 LIRPF. You pay CGT on each disposal event — every trade, sale, or exchange, including crypto-to-crypto. The same progressive rates apply (19–28%). You declare on Modelo 100 (residents) or Modelo 210 (non-residents).

Additionally, holdings above €50,000 on foreign exchanges must be reported via Modelo 721 by 31 March annually — the cryptocurrency equivalent of Modelo 720. Failure to report can result in fines of €5,000 per unreported item, though the proportionality of this penalty is still being litigated.

Avoiding Common Mistakes

Not keeping purchase invoices. If you can’t prove what you paid at acquisition (including taxes and fees), AEAT uses the sale price as the gain. Keep every document from day one.

Confusing the retention with the final tax. The 3% retention is a deposit, not the tax bill. If your actual gain is zero (you sold at a loss), you still lose the €9,000 retention until you reclaim it via Modelo 210.

Missing the reinvestment deadline. The 2-year window is strict. Buy on day 731 and the exemption is gone. Plan timing with your gestoría before signing any purchase agreement.

Ignoring IBI increases. Some sellers inflate the declared price to reduce CGT exposure on a previous purchase — but AEAT cross-references IBI valuations. Undervalued sales trigger a comprobación de valores (valuation check) and a supplementary tax bill.

Practical Next Steps on the Costa del Sol

For property sales on the Costa del Sol, work with a gestoría or tax advisor experienced in non-resident sales. Most charge €300–600 to handle the full Modelo 210 process. Marbella-based firms Garrigues and Cuatrecasas handle large transactions; for mid-market, any established gestoría in Fuengirola, Marbella, or Estepona handles this routinely.

If you are a resident and this is your first year filing IRPF with a large capital gain, the Agencia Tributaria’s Renta Web system handles the calculation automatically once you enter the figures — but have a gestoría review the output before submitting.

Related guides: Buying Property in Spain | Property Purchase Costs | Spanish Tax Residency | Beckham Law Spain

Related Guides

• Income Tax in Spain for Expats
• Tax Residency in Spain
• Beckham Law Spain: Complete Guide
• Buying Property in Spain: Complete Guide
• Buying Property on the Costa del Sol
• Spanish Inheritance Tax in Andalucia
• IBI Property Tax in Spain
• Finding a Good Gestor on the Costa del Sol

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