Inheriting in Spain as a Non-Resident:
Complete Guide 2026
Whether you inherited a Canary Islands property, a bank account or other Spanish assets, you have 6 months to settle the inheritance tax. Here's what you need to know, in plain English.
6 months
Deadline to file and pay ISD
99.9%
Canary Islands ISD relief (Groups I, II and III)
Remote
We handle UK/EU cases from abroad
English
Full service in English
Critical deadline: 6 months from date of death
You have 6 months from the date of death to file and pay Inheritance and Gift Tax (Impuesto sobre Sucesiones y Donaciones, ISD) in Spain. An extension of 6 further months is available but must be requested before the first 5 months expire, and interest accrues during the extension. Missing the deadline triggers late-filing surcharges (or penalties, if the tax authority acts first) on top of the tax due.
The Canary Islands 99.9% ISD bonus
The Canary Islands have one of the most generous inheritance tax regimes in Spain. Where the Canary Islands rules apply (see below), direct family members (children, parents and spouses) benefit from a 99.9% reduction on Inheritance and Gift Tax (ISD). In practice, this means direct family pays almost nothing.
The same 99.9% relief also covers siblings, nieces, nephews, uncles and aunts (Group III, art. 24 ter of Decreto Legislativo 1/2009). Only cousins, more distant relatives and non-relatives (Group IV) are left out: they pay the state scale of 7.65% to 34%, multiplied by 2.0 to 2.4 depending on the beneficiary's pre-existing wealth.
Non-resident heirs, whether they live in the EU, the UK or elsewhere, are entitled to regional rules (additional provision 2 of Law 29/1987, as worded by Law 11/2021; it implements the CJEU judgment of 3 September 2014, case C-127/12): those of the Canary Islands if the deceased was resident there or, if the deceased was not resident in Spain, those of the region where most of the Spanish assets by value are located.
ISD rates at a glance
Where the tax is filed when you or the deceased live abroad
Being entitled to the Canary Islands rules does not decide which tax office receives your return. Inheritance tax is ceded to a Spanish region only for taxpayers resident in Spain, and on an inheritance the taxpayer is each heir (art. 32.2 of Law 22/2009 and art. 5 of Law 29/1987). Where the tax is not ceded, it is managed by the State (art. 34.1 of Law 29/1987), which in practice means the Spanish State Tax Agency (Agencia Estatal de Administración Tributaria, AEAT).
You live outside Spain
You file with the AEAT, even if the deceased lived in the Canary Islands and even if you apply the Canary Islands rules. As a non-resident you are taxed only on assets and rights located, exercisable or to be performed in Spain (art. 7 of Law 29/1987).
The deceased lived outside Spain
The link to a region is the deceased's habitual residence (art. 32.2.a of Law 22/2009). If the deceased was not resident in Spain, the tax is not ceded and is filed with the AEAT, also when the heirs live in Spain.
You live in Spain and the deceased lived in the Canaries
Only then is the tax ceded to the Canary Islands. The return is filed with the Canary Islands Tax Agency (Agencia Tributaria Canaria), the only office where it has discharging effect (arts. 32.2.a and 55.3 of Law 22/2009).
Which form?
Before the AEAT, an inheritance is self-assessed on Form 650 (modelo 650, "Adquisiciones mortis causa"). The Spanish Directorate General for Taxation confirmed in binding ruling V1037-20 that a beneficiary not resident in Spain must self-assess with the AEAT on that form. Before filing, check on the AEAT website which version of the form and which filing channel are in force.
Legal basis: Law 22/2009, arts. 32 and 55; Law 29/1987, arts. 5, 7 and 34; Directorate General for Taxation, binding ruling V1037-20 of 24 April 2020. Consolidated text in the Spanish Official Gazette (BOE) checked on 2 November 2026.
How to claim a Spanish inheritance
Six steps from death to assets transferred. We handle all of these for international clients, entirely in English.
Obtain Spanish NIE number
Required for all legal and tax transactions in Spain. Can be obtained at the Spanish consulate in your country or in Spain.
Apostille death certificate + translation
A death certificate issued outside Spain must be apostilled (under the Hague Convention) and translated into Spanish by a certified translator if not already in Spanish. Certificates issued in another EU Member State are exempt from the apostille (Regulation (EU) 2016/1191).
Certificate of Last Will (Actos de Última Voluntad)
Issued by the Spanish Ministry of Justice. Confirms whether the deceased registered a Spanish will. Even if there is no Spanish will, this certificate is required.
Notarial deed of acceptance (or intestate process)
If a Spanish will exists: notarial deed of acceptance of inheritance. If no will: intestate succession rules apply; the law of the country where the deceased was last habitually resident normally determines who inherits what (EU Regulation 650/2012, art. 21).
Pay ISD within 6 months (or request extension)
Inheritance and Gift Tax (Impuesto sobre Sucesiones y Donaciones) must be declared and paid within 6 months. If you live outside Spain, or the deceased did, it is filed with the Spanish State Tax Agency (AEAT) on Form 650, not with the Canary Islands tax office (see "Where the tax is filed" above). Extension of 6 more months possible if requested within the first five months, but interest accrues.
Transfer assets
Register property in the Land Registry (Registro de la Propiedad), transfer bank accounts, update vehicle ownership. Each asset class has its own procedure.
What if there's no Spanish will?
If the deceased left no will and Spanish law applies, intestate succession (sucesión intestada) determines who inherits. The basic rules: children share equally; if no descendants, parents; if no ascendants, the spouse; and only then siblings and their children. A surviving spouse who is not separated and is not the heir has a usufruct (life interest) over part of the estate.
An apostilled foreign will can be used in Spain but adds translation requirements and procedural complexity. Under EU Succession Regulation 650/2012 (art. 22), any person can elect the law of their nationality to govern their succession, but this must typically be expressed in a will.
Practical tip: If you own Spanish assets, it is worth making a Spanish will (testamento abierto) even if you already have a will in your home country. A Spanish will significantly simplifies the process for your heirs and can reduce their legal costs substantially. Cost: approx. €150-€200 at a Spanish notary.
Probate timeline
How long does it take to complete a Spanish inheritance? Typical timeframes by case type.
| Scenario | Typical duration |
|---|---|
| Simple estate (no disputes, no property) | 3-6 months |
| Estate with Canary Islands property | 4-8 months |
| Complex estate or creditor disputes | 6-24 months |
| Registry transfer (additional after deed) | +2-4 months |
* Timeline starts from when complete documentation is available. Gathering documents (NIE, apostilled death certificate, last will certificate) typically takes 4-8 weeks.
Frequently asked questions
I inherited a property in the Canary Islands but I live in the UK. What do I do?
You have 6 months from the date of death to file ISD in Spain. As you are not resident in Spain, you file it with the Spanish State Tax Agency (AEAT), not with the Canary Islands tax office. You'll need a Spanish NIE number, the death certificate (apostilled and translated if not in Spanish), and a Spanish lawyer to handle the deed of acceptance. We handle cases entirely remotely for UK clients: you don't need to travel to Spain. A power of attorney authorises us to act on your behalf throughout the process.
Do I have to pay inheritance tax in both Spain and my home country?
Possibly, but most countries have mechanisms to avoid double taxation. The UK has its own IHT rules which operate separately from Spanish ISD; the two taxes may both apply but credits may be available. We advise on the Spanish side; you should also consult your home country tax adviser for the full picture.
The property is in joint names. Does my partner inherit automatically?
No. In Spain, jointly owned property does not automatically pass to the survivor (unlike some Anglo-Saxon jurisdictions). Succession must follow the will or intestate rules regardless of how title is held. This is a common and important surprise for British, Irish and Northern European clients. Even spouses must go through the formal inheritance process to obtain full title.
How much does a Spanish inheritance lawyer cost?
For straightforward estates (one property, direct family, no disputes), fees range from €800 to €2,500 depending on estate value and complexity. Complex estates (multiple properties, business assets, creditor disputes or court proceedings) vary significantly. Your first consultation fee is deducted from our fees if you instruct us. We provide a full fee estimate before starting any work.
We handle Spanish inheritances for non-residents entirely in English
Your first consultation fee is deducted from our fees if you instruct us. We work remotely with UK, EU and international clients throughout the inheritance process.