EnglishEspañolDeutschDeniaDeniaValencia Mon-Fri: 9:30-13:30 | 15:30-17:00 +34 966 421 416 By appointment +34 966 421 416
es   en   de
Firmalex > Latest posts > Tourist rental licence in Spain

If you own a property in Spain and want to rent it out for short stays, you will need to obtain a tourist license, and know all the taxes in Spain for foreigners.  In this article we explain how to obtain a license and all about taxes you will need to pay.  

What is a tourist licence?

The tourist licence in Spain is a compulsory declaration that allows owners to start renting out their property for tourist purposes or for short term rentals (less than 3 months).

Since January 2016, some of the biggest rental websites (Booking.com, HomeAway, Airbnb, etc…) ask for this tourist licence number. If the owner does not provide it, these websites deactivate the ads that they consider illegal in the eyes of the autonomous community where the property is located.

The tourist rental licence is compulsory in almost all Spanish autonomous communities, which have started to require the tourist rental licence in many Spanish cities, such as Alicante, Barcelona, Valencia… and have fined these companies very high amounts of money.

In addition to the tourist licence, in some provinces such as Alicante or Valencia there is a new requirement to obtain the tourist licence, which is the Certificate of Compatibility with Tourist Use, issued by the Town Hall of each city.

Why is it important to apply for a tourist licence?

There are many factors why it is important to legally rent your property in Spain, but the 2 most important reasons are:

1) Fines for tourist rentals.

The main reason is that many cities have started to make inspections and issue fines in the case of properties that do not have a tourist license. When we talk about fines, we are talking about thousands of euros.

2) Problems with insurance companies in tourist rental properties.

In addition, if something happens to your house and the insurance company realises that you were renting illegally, they would not be able to assume the cost of repairs.

The autonomous communities are in charge of regulating the holiday rental market in their region. Each region has different regulations, so it is important to check with them to find out your obligations. In fact, some of them have not yet established a specific decree for holiday rentals that requires the presentation of this licence.

The Autonomous Communities that require the Tourist Licence for all types of holiday rentals are the following: Andalusia, Aragon, Asturias, Catalonia, Balearic Islands, Canary Islands, Basque Country, Galicia, Community of Madrid, Murcia, Community of Valencia, Castile and Leon.

How much does it cost to obtain a tourist licence in Spain?

As we said, the procedure depends on each autonomous community and city, but it usually includes these costs:

  • Compatibility report (€50 – €100).
  • Licence number (40€ – 80€)

How long does it take?

It depends on each city, and can be from 3 months to 1.5 years.

How much is the Rental Tax in Spain?

There are two different ways to pay this tax:

Rental tax as a resident

If you are resident in Spain you have to declare your rental income annually with your annual tax declaration as a resident.

Rental tax as a non-resident

If you are a non-resident in Spain and you want to rent out your property, you must pay tax. This tax is called Impuesto sobre el Alquiler and must be paid every quarter (20th January, April, July and October), but only the quarter in which income is received.

This declaration must be submitted to the tax office in Spain.

Declaring the rental tax has some advantages:

  • You will obviously be renting legally and you will be able to advertise to get bookings safely and securely.
  • You will be able to deduct some of the expenses you have on the property. For non-residents in Spain who are resident in other EU countries (plus Norway and Iceland, and at the moment the UK) this type of income is assessed at 19%. Non-EU residents pay 24%.

Solve your doubts

✅ Our staff speaks perfectly Spanish, Valencian, English and German with what will be able to communicate with us in your own language and thus clearly resolve your queries.

📍 Denia – Plaza del Convento, 6 – Mezzanine floor door B
📍 Valencia – Calle Creu Roja, 1 – Block 6, Floor 1, door 10 (* only by appointment)

✉📞 Contact: info@firmalex.com – Tel. +34 966 421 416 – Whatsapp +34 622 497 615

Follow us: FacebookLinkedIn