Non-residents who own assets in Spain, such as a holiday home, bank accounts or investments, now benefit from stronger tax protection. The Spanish Supreme Court has ruled that non-residents are entitled to the same combined income and wealth tax limit as Spanish tax residents.
Until now, this tax cap applied only to residents. As a result, non-residents often paid more tax in identical situations. The new ruling marks an important shift in Spanish tax policy.
This article explains what the decision means, how the sixty per cent rule works, and what impact it may have on anyone who owns property or other assets in Spain.