Renting out a home generates income, and that income is taxed. The tax and the form depend on who the owner is: a person resident in Spain includes it in their IRPF; a non-resident files Modelo 210 for non-resident income tax; and a company folds it into its corporate income tax.
In all three cases the starting point is the same: gross rental income minus deductible expenses and depreciation. What changes are the rates, the reductions and the deadlines.
The three scenarios
Resident in Spain — IRPF (Modelo 100)
Rent is real-estate investment income, declared in the annual tax return campaign. If the tenant has their primary residence there, the reduction set by law applies to the positive net yield.
Non-resident — IRNR (Modelo 210)
19% for EU/EEA residents (entitled to deduct expenses) and 24% for the rest (on gross income, no expenses deducted). Filing is usually quarterly.
Company — corporate income tax
Rent is part of the company's accounting result, with full double-entry bookkeeping and Modelo 200 filing. Keyio provides a simplified estimate for planning.
General rules subject to legislative change. Source: IRPF, IRNR and corporate-tax legislation and the Spanish tax agency.
What Keyio does
- A dual tax engine: an IRPF report for individuals and an IS report for companies, chosen per property.
- Income, deductible expenses and depreciation of the property and furniture computed per property, per owner and per year, split by ownership percentage.
- Primary-residence reduction and imputed income for the days available applied automatically.
- Figures exportable as PDF for you or your advisor to review before filing. Keyio does not submit returns.
This is not tax advice
This page explains general rules that change over time and does not account for your specific situation. Always check the figures with a qualified advisor and the official guidance before filing. Spanish tax agency (AEAT) website.
Frequently asked questions
How is the money I earn from renting a home taxed?
It depends on your situation. If you are a Spanish tax resident, rent is investment income from real estate and goes on your income tax return (IRPF). If you are a non-resident, you are taxed under non-resident income tax (IRNR) via Modelo 210. If the owner is a company, it is taxed under corporate income tax.
Which rental expenses can I deduct?
In general: loan interest, property tax (IBI) and local rates, homeowners' association fees, insurance, utilities you pay, management and formalisation costs, repairs and upkeep, and depreciation of the building and furniture. Expenses are deducted in proportion to the time rented. Always check the specific conditions with your advisor.
Is there a reduction for renting out a primary residence?
Yes. When the property is the tenant's primary residence, the positive net yield is reduced by a percentage set by law (the general reference reduction has been 60%, with different percentages in certain cases after Law 12/2023). It does not apply to holiday or seasonal lets. Check the percentage that applies to your case with an advisor.
Does Keyio file my taxes for me?
No. Keyio computes and organises the figures —income, deductible expenses, depreciation, reduction, result per property and per owner— and gets them ready for you or your advisor to review and file. Keyio is not a tax advisor and does not submit returns.