Spanish Council Tax is applicable to resident and non-resident property owners.
Calculated on the rateable value of the property (valor catastral), Council Tax is applicable to resident and non-resident property owners alike.
It is a municipal tax payable to the local Town Hall (in a number of areas it is referred to as SUMA as this is the name of the tax collecting agency, authorised and contracted by Town Halls).
Why is Council Tax charged?
Spanish council tax is levied to cover expenses such as maintenance of local facilities, parks and leisure areas and all kinds of infrastructure provided by the Town Hall.
Is this tax separate from my community fee?
Yes. Your community fee goes towards the maintenance of the communal elements of the development, e.g. the swimming pool, green areas, stairways, lifts etc.
Are there any other taxes to be paid to the Council?
The Council or local Town Hall also charges each property owner for rubbish collection in Spain. As this is a service charge and not a tax, it is not usually included in the annual Council Tax bill.
In some areas the rubbish collection charge is included in the water utility bill and in other areas it is charged in a completely separate bill issued directly by the Town Hall or via the organization SUMA.
When do I have to pay?
In Spain Council Tax is payable once a year and the period for voluntary payments varies from area to area.
For more information, check the Spanish Taxes Calendar.
What are the consequences if I don’t pay?
Once the voluntary period is over unpaid bills will be subject to a surcharge and they will accrue interest for late payment and any corresponding expenses.
What should I do if I haven’t received a Council Tax bill?
Bills are sent to the known address of the property owner in Spain, never abroad, and non-receipt of a bill does not exempt the taxpayer from the responsibility of payment within the set period. The onus is on the property owner to be aware of when their Council Tax is due and to pay it on time and not just wait for a reminder.
We are able to receive your Council Tax invoice direct to our offices.
Don’t ignore your taxes… help is at hand. By appointing a tax representative to act on your behalf, keep you up to date, as well as receive and deal with your tax notifications directly you will avoid the stress and headaches of administrative nightmares – and you can relax!
As Tax Consultants we include the control and payment of Council Tax and we are one of only a few tax representatives registered with SUMA who are able to receive the annual Council Tax invoices for our clients direct to our offices.