Inheritance and Gift Tax in Catalonia for Foreigners

How does inheritance and gift tax work in Catalonia?

The Impost sobre successions i donacions is a single tax on receiving assets free of charge. It covers inheritances and legacies, gifts and other free transfers between living persons, and life insurance payouts where the policyholder and the beneficiary are different people [1]. The common framework is national: Ley 29/1987. In Catalonia the tax is administered by the ATC, and the regional scales and reductions are set in its own legislation (the ATC guide refers to Decret legislatiu 1/2024) [1][4].

The recipient pays. Article 5 Ley 29/1987 names as taxpayers heirs and legatees, donees and life insurance beneficiaries. The taxpayer files a self-assessment (autoliquidación), and the tax is calculated for each recipient separately [1][4].

Filing uses ATC forms: 660 (inheritance declaration), 650 (tax calculation for each heir), 651 (gift), 652 (life insurance), 653 (consolidation of ownership) [1]. ATC forms are not the same as the national ones used by the AEAT.

Which administration and which rules apply to a foreigner?

Nationality does not affect the tax. The law distinguishes between those who pay under personal liability (residents: tax on all assets worldwide) and under real liability (non-residents: tax on assets located, or that can be exercised, in Spain) [4]. Residence is determined under IRPF rules, and the region within Spain for ISD is the one where the person spent the most days in the five years before the date the tax falls due [4][5].

For a non-resident this means: an owner of a flat in Barcelona who received it by inheritance or as a gift files the return with the AEAT, but may calculate the tax under Catalan rules. Additional provision 2 of Ley 29/1987, as worded by Ley 11/2021, sets out these rules explicitly and does not limit them to EU citizens [4]. How this fits with AEAT practice only becomes clear in a specific case.

Which kinship reductions apply to an inheritance?

The tax base is reduced by a kinship reduction (reducció per parentiu) depending on the degree of relationship to the deceased. The ATC divides relatives into four groups [2].

Besides kinship, there are reductions for circumstances. Disability from 33% to 65% gives €275,000, above 65% €650,000. For spouses, descendants and ascendants aged 75 or over the reduction is €275,000. For the home where the deceased lived permanently, you can get a reduction of 95% of its value up to €500,000, provided the heir keeps it for five years. These amounts and conditions are given on the ATC page [2]. Whether the conditions are met in your case is shown by the documents.

How inheritance tax is calculated: steps and scale

The calculation has five steps. First the base: the value of the deceased’s assets (property is taken at the Cadastre’s valor de referencia if the declared price is not higher), plus added assets and insurance, plus gifts and agreements in the four years before death, minus debts and expenses. Then the reductions are applied, giving the taxable base (base liquidable), and the tax is calculated on the scale [1].

ATC example: a taxable base of €120,000 gives €3,500 plus 11% of €70,000, that is €7,700. Total tax on the scale €11,200, an average rate of 9.33% [1].

The tax is then multiplied by a coefficient based on the size of the heir’s own wealth and the kinship group:

Finally, a tax credit (bonificació) may apply. Spouses may apply 99%. Other relatives in groups I and II get a credit on a progressive table: for group I from 99% on the first €100,000 of the base down to 20% on the part above €3,000,000, for the rest of group II from 60% down to zero. If the heir chooses conditional reductions for a business, shareholdings, forest, agricultural property, cultural or natural heritage, the table credit does not apply to them (article 633-4 Decret legislatiu 1/2024); the reduction for the deceased’s home does not affect this choice [1]. A resident may deduct tax paid abroad under a similar tax, up to the lower of two amounts [1].

How are gifts taxed in Catalonia?

A gift is taxed at the time of the transaction, and the donee pays. Besides a classic gift, this includes debt forgiveness, waiving a right in favour of a specific person, assuming someone else’s debt to release them, and insurance payouts in certain cases [1].

For gifts between living persons to relatives in groups I and II, the ATC applies a reduced scale: 5% on the first €200,000, 7% on the next €600,000 and 9% on the remainder. Condition: the transaction is formalised before a notary or by a court decision; if notarial form is not required for validity, the contract must be notarised within one month [1]. For everyone else the general 7-32% scale applies, the same as for inheritance, plus the coefficient based on the recipient’s wealth and kinship group [1].

There are some nuances. Gifts to one person from the same donor over three years are added together to determine the average rate. If a flat with a mortgage is given and the donee takes on the debt, gift tax is calculated on the difference between the value and the debt, and the amount of the debt is taxed as the paid part under transfer tax (ITP). In the ATC example, a flat worth €500,000 with a €150,000 debt gives a gift base of €350,000 and €150,000 under ITP [1].

There are separate reductions on gifts for descendants’ first home, transfer of a business, company shares and contributions to protected assets. They have their own conditions on age, income and time limits; the list is on the ATC page [3]. It is best to check the conditions with a gestor before the transaction.

When to file the return and which documents you need

Deadline for inheritance: six months from the date of death. Deadline for gifts: one month from the date of the deed or contract. The inheritance deadline can be extended by six months (12 in total from the date of death): the request must be filed within the first five months, and late-payment interest is charged for the days of the extension [1].

After the deadline, the ATC charges a late-filing surcharge and interest. For how the surcharge and interest are calculated, see the ATC document; we do not reproduce it here [1].

1. Get the death certificate from the local civil registry.
2. Request a certificate from the Registry of Last Wills (certificado de últimas voluntades) at the Ministry of Justice. It shows whether there is a will and with which notary.
3. Get a certified copy of the last will. If there is no will, you need a declaration of intestate heirs (acta de notoriedad), drawn up by a notary.
4. Accept the inheritance by notarial escritura or by a private document with an inventory and valuation of the assets.
5. File forms 660 and 650 (one 650 for each heir) and pay the tax [1].

Electronic filing is mandatory for legal entities, representatives and tax intermediaries; everyone else may also file in person [1]. Death and kinship documents issued abroad usually need an apostille and a sworn translation: apostille and legalisation, sworn translation. Check the requirements with the authority.

Common mistakes

• Assuming the tax depends on nationality. It depends on the residence of the deceased and of the recipient, and on where the property is [4].
• Missing the six months without requesting an extension in the first five. After the deadline, a surcharge and interest are added [1].
• Declaring property below the Cadastre’s valor de referencia. If the declared value is lower, the Cadastre value is used as the base [1].
• Making a gift of money or a flat by private contract and losing the reduced 5-9% scale, which requires notarial form [1].
• Choosing a conditional reduction (for example, for a company shareholding) and losing the progressive table credit for groups I and II [1].
• Not taking into account gifts in the three years before a new transaction and in the four years before death: they affect the average rate and the base [1].
• Assuming that a gift of a mortgaged flat is fully taxed under ISD. The part equal to the debt goes under ITP [1].

Inheritance tax on estates from Russia, Ukraine, Belarus or Kazakhstan

Spanish inheritance and gift tax makes no exceptions for citizens of these countries. If you are resident in Spain and receive assets abroad, the tax is charged on all the assets, and a similar tax paid abroad is deducted up to the lower of two amounts [1][4]. If you are non-resident and receive a Spanish flat, the tax is charged on the property and filed with the AEAT [4].

The tax is only part of the question. Which law applies to the inheritance and how a will made abroad is recognised are decided separately. That is a lawyer’s job; here we only cover the tax. Check in advance which rules to use for the calculation: within one inheritance, residents and non-residents may be treated differently.

Tax on assets received does not replace wealth tax or tax on gains from a sale. What a Catalan resident pays for owning assets is described in wealth tax in Catalonia, and the tax differences between residents and non-residents in taxes for residents and non-residents.

How we can help

ReloVictory helps you put together the document file for the tax specialist and the lawyer, translate and legalise papers from abroad, and find out which authority to file with and by when. The tax is calculated by the team’s tax and administrative specialist (graduada social), and inheritance law questions are handled by the team’s lawyer.

The first 15 minutes of a consultation are free, a full 45-minute consultation costs €121, and case handling is priced by quote. Fees and translations are paid separately. You can book through the consultation form. We are not responsible for how long authorities take to respond. Preparing and translating documents from abroad is described on the “Documents” service page, and the overall residence permit scheme in the city is in the residence permit in Barcelona section.

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ReloVictory · Sources reviewed 02.10.2026 · Not a substitute for individual legal advice.