The changes to Spain's income tax declaration in 2025
Personal income tax is known as IRPF in Spain (Impuesto sobre la Renta de las Personas Físicas) and is commonly shortened to la renta. Unlike in some other countries, the Spanish tax year runs from January 1st to December 31st, meaning that during the 2025 tax campaign this year you will present your taxes from last year - that is, from January 1st to December 31st 2024.
First things first. You need to present a tax return in Spain if:
You are employed and have an annual income over €22,000 from a single employer.
You have earned over €15,876 from multiple employers, as long as the amount from the second or third employer exceeds €2,500 per year.
You are self-employed or have your own business – known as autónomo in Spain.
Your income from yearly dividends, interest and capital gains exceeds €1,600.
You receive rental income over €1,000 per year.
It is the first year that you are filing a tax return in Spain.
For a full breakdown of the key dates for this year's campaign, read our guide below.
Tax changes for 2025
Digital platforms
For this year's campaign, the Spanish tax authorities will increase its monitoring of income earned on digital and online platforms. This not only requires self-reporting on income, but requires these platforms (think Wallapop or Ebay) to report data on the sale of new and second-hand services and items.
Spain's state broadcaster RTVE states that someone could be chased up by the treasury if they have sold more than 30 second-hand products on the same platform, or if any of these transactions or the total exceeds €2,000 without declaring them.
Limits for people with more than one income stream
Last year, taxpayers with incomes under €22,000 per year and more than one employer or income source were exempt from personal income tax, provided that the income from the second or remaining payers did not exceed €1,500.
The total amount of gross income earned from the second or third employers or sources has now been raised to €2,500. This means that more taxpayers will be exempt from filing their income tax returns, as the threshold for not filing taxes has been increased by €1,000.
Unemployment benefits
This year it will be mandatory for those receiving unemployment benefits regardless of the amount, the number of days they have received it, or whether or not they meet the minimum requirements for filing. Failure to include the benefit in your tax return could result in it being stopped.
Donations
Taxpayers will be able to deduct 80 percent of the first €250 they have donated to official organisations or charities. Until now, it was only on the first €150.
For amounts above that figure, the deduction will be 40 percent, instead of the 35 percent in force until now, and if donations have been made to the same organisation in the previous two years, it increases to 45 percent.
Tax compensation for the Valencia floods
As part of the aid plan launched by the Spanish government and Valencian authorities, this year will also see several tax benefits that directly benefit people affected by the Valencia floods. These include the exemption from the Property Tax (IBI) in 2024 and the reduction in the tax on Economic Activities (IAE).
It will also be possible to deduct 100 percent of the repair costs for damage to main residences caused by the flash flooding.
New payment methods
Tax can now be paid via Bizum or bank card.
Penalty for failure to file
If you owe tax and for any reason you haven't filed your return, you must pay the amount due along with a fine that can range from 50 to 150 percent of the total.
Changes in deductions for housing rental
Until now, having a home and putting it up for rent on the market as a primary residence brought deductions of up to 60 percent.
This year, in most regions there will be a generic deduction of 50 percent, but in the regions where the rental market has been declared as 'stressed' (Catalonia), special deductions will apply:
Up to 90 percent if the rental price has been reduced by at least 5 percent.
70 percent if it has been rented to young people under 35.
60 percent if the property has been refurbished.
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