Emigrating to Spain has immediate and far-reaching consequences for your tax situation. From the moment you become a tax resident in Spain, you are taxable on your worldwide income and assets.
This article analyses the criteria for tax residency, the difference from non-residents and the impact on your estate planning, inheritance tax and possible return to Belgium.
When are you considered a tax resident in Spain?
You are tax resident in Spain if you spend more than 183 days a year in the country or if the centre of your life interests is in Spain. It is a misconception that only the registration in the municipality (empadronamiento) counts; the Spanish tax authorities look at the actual situation.
According to Article 9 of the Spanish Income Tax Law (LIRPF) and the Double taxation treaty between Belgium and Spain your tax residence is determined using a hierarchy of criteria:
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Enduring residence: Where do you have permanent housing at your disposal (buy or rent)?
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Middle of life concerns: Where are your closest personal and economic ties? (Where does your family live? Where do you receive your income? Where do you manage your assets?)
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Length of stay: Where do you actually stay the longest?
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Nationality: If the above are inconclusive, nationality is the deciding factor.
Expert Insight: "The Spanish tax authorities (Hacienda) are increasingly using big data and utility consumption (electricity, water) to prove that foreigners are effectively staying in Spain for more than 183 days, even if they have not officially registered."
The presumption of residency
There is a legal presumption that you are a resident if your spouse and minor children live in Spain. This is a rebuttable presumption, but the burden of proof is on you.
Difference between Resident and Non-Resident
Tax status determines the extent of your tax liability. The distinction is crucial for your net income.
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Fiscal Resident: You are unlimited tax liability in Spain. This means that you will have to pay personal income tax (IRPF) pays on your global income (including Belgian pensions, dividends and interest) and wealth tax on your global assets.
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Non-Resident: You only pay the Tax for Non-Residents (IRNR) on income derived specifically from Spanish sources (such as rental income from your holiday home or the charged rental benefit for own use).
Comparison table Fiscal Status:
| Criterion | Fiscal Resident (Spain) | Non-Resident (Spain) |
| Basis | Global income & wealth | Spanish income & assets only |
| Declaration | Model 100 (IRPF) | Model 210 (IRNR) |
| Wealth tax | Yes, on global power | Yes, only on Spanish property/assets |
| Duty to inform | Yes, Model 720 (foreign assets) | No |
You can find out more about the non-resident tax in Spain.
Tax implications for your income and assets
As a resident, you face specific Spanish taxes that differ from the Belgian system.
1. Personal income tax (IRPF) on global income
In Spain, tax rates are progressive and can exceed 45% depending on the region (Comunidad Autónoma).
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Added values: Profits on the sale of shares (including Belgian portfolios) or real estate are taxable in Spain.
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Pensions: The double taxation treaty usually allocates the taxing power for private pensions to the state of residence (Spain). Public pensions (civil servants) often remain taxed in Belgium.
Read more about the taxation of your pension and On Spanish taxes on rental income.
2. Wealth tax and Solidarity tax
Spain is unique in Europe because of its Impuesto sobre el Patrimonio (Wealth tax). As a resident, you pay this tax on your net worldwide assets (property in Belgium, bank accounts worldwide, shares).
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There are exemptions (e.g. €700,000 general + €300,000 for owner-occupied housing), but these vary by region (Madrid and Andalusia, for example, have introduced 100% bonuses, although this is sometimes overridden by the national solidarity tax for large wealth).
3. The Lex Beckham: Tax concession scheme for expats
For employees, executives and digital nomads moving to Spain, there is the option to opt for the “Ley Beckham“.
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Advantage: You will be taxed as a non-resident for six years despite living in Spain.
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Rate: Fixed flat tax of 24% on labour income (up to €600,000) and no tax on foreign wealth.
Inheritance and gifting: the risk of double taxation
Emigrating to Spain has a direct impact on your succession planning. The double taxation treaty between Belgium and Spain regulates not inheritance and gift tax. This creates a real risk of double taxation.
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Inheritance tax: Spain levies inheritance tax (Impuesto de Sucesiones) if the heir lives in Spain (regardless of where the assets are) or if the assets are located in Spain (real estate). Belgium also levies inheritance tax if the deceased is considered a Belgian resident or (in certain cases) bequeaths property in Belgium.
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Gift tax: If you receive a gift as a resident in Spain, Spanish gift tax is due. Find more information here.
Note: Since the introduction of the European regulation on succession the inheritance law of your habitual residence (Spain) will apply to your estate, unless you explicitly choose Belgian law in a will (choice of law). Fiscally, however, you will remain subject to Spanish rules.
What to do when returning to Belgium (Remigration)
If you decide to return to Belgium, you will again become a Belgian resident. The Belgian tax authorities apply strict rules to prevent tax evasion via temporary emigration.
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The rebuttable presumption: If you remained registered in the Belgian population register during your stay in Spain, or if your family (partner/children) continued to live in Belgium, the tax authorities suspect that you never left.
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The 2-year rule: Do you return to Belgium within two years? Then the tax authorities may assume that you never intended to leave Belgium permanently ("fictitious residence"). You must then come up with hard evidence (rental contracts Spain, children's school enrolments, consumption bills) to prove that the emigration was real.
Administrative steps for residency
Do you wish to take the plunge? Confianz will guide you through the administrative formalities to become a resident, including the NIE application, registration with the municipality and tax registration (Model 030).
Confianz can assist you with the administrative steps To become a resident in Spain.
Be prepared
Emigrating without tax planning often leads to unnecessary tax burdens. A thorough analysis of your asset structure beforehand can yield significant savings.
Frequently asked questions (FAQ)
1. Do I still have to pay tax in Belgium if I live in Spain?
Yes, in specific cases. Income from property located in Belgium remains taxable in Belgium. Government pensions (civil servants) are also often taxed in Belgium. For most other income (such as private pensions and interest), the taxing jurisdiction shifts to Spain, but you should always verify this in the double taxation treaty.
2. What exactly does the 183-day rule in Spain mean?
The 183-day rule states that if you spend more than 183 days physically in Spain in a calendar year (1 January to 31 December), you are automatically considered a tax resident. Temporary absences (such as holidays to other countries) are counted as time in Spain, unless you can prove you are a tax resident in another country.
3. Does Spanish wealth tax also apply to my property in Belgium?
Yes. As a tax resident in Spain, you are taxable on your worldwide assets. The net value of your Belgian property must be declared in Spanish wealth tax (if you are above the exemption limit) and must be reported via the information form Modelo 720.
4. What happens to my health insurance when I become a resident?
As a resident in Spain and a pensioner, you can join the Spanish public health system (Seguridad Social) through the S1 form you apply for in Belgium. You will then no longer be liable for insurance in Belgium, but will retain the right to care in Belgium during temporary stays.
What about my healthcare in Spain?
About the author: Glenn Janssens is a lawyer specialising in Spanish real estate transactions and tax regulations. Since 2017, he has been helping Belgian and Dutch individuals and entrepreneurs to safely purchase and structure real estate in Spain. He guides files from A to Z: from due diligence, ownership and tax control to estate planning and optimisation for residents and non-residents. Thanks to his years of experience, hundreds of handled files and focus on transparent communication, Glenn makes complex Spanish legislation understandable and practically applicable for every property buyer.
