Inheritance and probate in Spain: what happens to a foreign owner's home.

Which country's law decides who inherits property in Spain?

The EU Succession Regulation applies to deaths from 17 August 2015. By default the whole estate follows the law of the country where the person lived (was habitually resident) at death. A will can instead choose the law of a country whose nationality the person holds (Article 22), which lets a British or American owner pick British or US law.

The Regulation applies whatever law it points to, EU or not (Article 20). One trap for owners who live outside the EU: that country's own rules can refer the question back to the law of an EU state (Article 34, renvoi). That does not happen when the will makes the Article 22 choice, which is why a choice of law in the will matters for property in Spain.

Is my UK or US will valid in Spain?

Spain is a party to the 1961 Hague Convention on the form of wills, so a will that is valid in form where it was made is valid in form there too.

Valid in form is not the same as fast: the heirs still need certified, translated copies, and a European Certificate of Succession can be used to prove their status across the EU. None of the official sources we read requires a separate Spain will; whether one suits your estate is a question for your lawyer.

Is there forced heirship in Spain?

When Spanish common civil law applies, yes: children and descendants are reserved two-thirds of the estate, one of those thirds can be used to favour some of them (the mejora), and the last third is free. With no descendants, parents are reserved half, or a third alongside a spouse.

The surviving spouse receives a life interest (usufruct), not ownership: over the mejora third with children, half with parents, two-thirds alone. Some regions keep their own civil law, so the reserved shares can differ there (Civil Code article 13.2).

How much inheritance tax does a non-resident heir pay in Spain?

Spanish inheritance tax is charged on each heir, and a non-resident heir is taxed on what is located in Spain. The state scale runs from 7.65% to 34%, and the result is multiplied by 1.0 to 2.4 depending on the relationship and the heir's existing wealth.

Since the 2021 amendment, non-resident heirs may apply the rules of the region where the property (or the most valuable Spanish property) is, or the deceased's region if the deceased was resident. The text has no EU limit, so it covers British and American heirs. Regional allowances and reliefs replace the state figures below when applied; check the region before you budget.

The town hall also charges its plusvalia tax on the rise in urban land value when property passes on death. Running costs while you hold it: Spain property tax for foreigners.

How does the Spanish inheritance process work, and how long does it take?

The tax return is due within six months of death, and a further six months can be requested within the first five. Non-residents file Modelo 650 with the national tax agency; heirs resident outside the EU and EEA must appoint a representative in Spain.

• Without a will, a notary declares the heirs, using the death certificate and a certificate from the central register of wills.
• The Land Registry accepts the will, the notarial declaration of heirs or a European Certificate of Succession as the heirs' title, and the properties are allotted in a public deed.
• No official source gives a typical total length; the six-month tax deadline is the fixed point.

Foreigners have the same civil rights as Spaniards (Civil Code article 27), so there is no extra restriction on a foreign heir.

Header photo: Gerda Arendt, CC0, via Wikimedia Commons. All credits: image credits.