The English speaking Spanish lawyers and tax advisers of our law firm in Marbella, Málaga, Spain are highly skilled at providing you with additional information on Donations in Spain, “donación in España.”
The Spanish donation is regulated in our Civil Code, in Article 618, which states that the donation is an act of liberality whereby a person gives something free of charge to another person, who accepts it.
What is an Donation in Spain.
This means that it is a generous act; an asset is given without waiting for a reward, is free of charge, and must be accepted by the recipient.
The effects of the donation in Spain start at the time of acceptance, so it does not compel the donor until it has been accepted by the recipient.
Donation of a house in Spain
When donating a property in Spain, in order for the donation to be valid, it must be made in a Public Deed before a Notary, and the Deed must specify the assets that are donated and possible charges regarding the such as pending mortgage, tax charges amoung others. The acceptance can be made in the same Spanish Deed of Donation or in a separate one. If it is done in a separate document, the donor must be notified of the acceptance.
The goods that may be subject to donation are the donor’s current goods but not future assets, i.e. those not available at the time of the donation.
When the donation is made to several persons jointly, it is made in equal parts.
Can a donation in Spain be revoked?
In Spain, the donation made by a person who has no children or descendants may be revoked in the following cases:
- When the donor has children after the donation, even if they are posthumous;
- When the child of the donor, who was said to be dead when the donation was made, is alive.
In such cases, once the donation has been rescinded, the donated goods or their value, when the assets have been sold, are to be returned to the donor.
Donation Tax in Spain
With reference to Spanish taxation in the case of donation, the taxable amount on inheritance and donations, among others, is constituted by the acquisition of properties and rights for donation free of charge, “inter vivos:” the person favoured by the donation must settle the donation tax in Spain.
The applicable rate to calculate the donation tax in Spain depends on the value of the assets. In the event that there is no other approved donation tax scale at the Regional Government, the rates for the donation tax in Spain are the following:
Value of asset Up to Euros Tax Euros Rest value of asset Up to Euros Rate Percentage 0,00 7 993,46 7,65 7 993,46 611,50 7 987,45 8,50 15 980,91 1 290,43 7 987,45 9,35 23 968,36 2 037,26 7 987,45 10,20 31 955,81 2 851,98 7 987,45 11,05 39 943,26 3 734,59 7 987,46 11,90 47 930,72 4 685,10 7 987,45 12,75 55 918,17 5 703,50 7 987,45 13,60 63 905,62 6 789,79 7 987,45 14,45 71 893,07 7 943,98 7 987,45 15,30 79 880,52 9 166,06 39 877,15 16,15 119 757,67 15 606,22 39 877,16 18,70 159 634,83 23 063,25 79 754,30 21,25 239 389,13 40 011,04 159 388,41 25,50 398 777,54 80 655,08 398 777,54 29,75 797 555,08 199 291,40 Hereinafter 34,00
If you wish to obtain further information concerning the tax payable on a donation in Spain or carry out the same, we will advise you throughout the process and, the tax lawyers of our law and accountancy firm, Arcos & Lamers Asociados, will be pleased to assist you at the signing of the Public Spanish Deed of Donation, payment of taxes and registration of the property in the name of its new owner. Do not hesitate to contact us now!
See here previous blogs published under the subject “Taxes in Spain”.
Lawyer in Marbella, María Teresa Arcos
Economist (accountant) in Spain, Wim Lamers
- Accountant in Spain, Accountant Marbella, Spanish tax, Tax advisers,