Investment approach
Spain's 100% tax on buyers not resident in the EU: law or proposal?
In January 2025 Spain announced a tax of up to 100% on property buyers who are not resident in the EU. The proposal was registered in Congress in May 2025, but more than a year on it has not even been debated, and it was left out of the housing measures the government announced in January 2026.
Spain has no tax of up to 100% in force on property buyers who are not resident in the EU. The measure sits in a proposición de ley, a bill tabled by the Socialist (PSOE) parliamentary group rather than by the government. It has been registered in Congress but not passed, and purchases by such buyers are taxed under the general rules, with ITP or IVA (VAT) and no additional levy.
What was announced
On 13 January 2025 the Spanish prime minister floated the idea of an additional state tax, of up to 100% of the purchase price, on property buyers who are not resident in the European Union. The measure's official name is Impuesto Complementario Estatal sobre la Transmisión de Bienes Inmuebles a No Residentes en la Unión Europea. The prime minister said the aim was to reduce the effect of foreign investment on housing prices for local residents. France24 reported the details of the announcement.
What happened next
On 22 May 2025 the PSOE parliamentary group registered a proposición de ley on affordable renting in the Congress of Deputies (122/000196), and the tax on buyers not resident in the EU is one of its measures. The text is published in the Official Gazette of the Cortes Generales (BOCG). Since 5 September 2025 the initiative has been waiting for its first plenary debate (toma en consideración). According to the Congress website, as of September 2026 that debate has not taken place. The measure was not included in the housing measures the government announced in January 2026. The proposal formally exists, but it is not law.
Legal obstacles
EU law specialists argue that a tax like this may conflict with EU rules on the free movement of capital and discriminate on the basis of residence. The Court of Justice of the EU has already found similar discrimination unlawful in cases concerning inheritance tax for non-residents.
What this means for investors now
Purchases by buyers resident outside the EU are taxed on the same ITP or IVA scale as any other purchase, with no additional 100% levy. The initiative is worth keeping an eye on, but it is too early to base decisions on an initiative that has not been passed. DNPI Capital is tracking it, and if the measure is adopted in any form, we will update our calculations.
Questions and answers
Should a buyer living in Russia, the US or the UK be worried about this tax right now?
At present the standard regime applies: ITP or IVA on the general scale, with no additional levy. The proposal turns on residence, not nationality: a British citizen living in Spain would not be caught, while an EU citizen living in the US would. Before a large purchase it is still worth checking where the initiative stands, as the political agenda can change.
Has anything similar been adopted, even in part?
No. According to the Congress website, as of September 2026 the initiative had not even passed its first plenary debate, and the housing measures the government announced in January 2026 left the tax out.