How Spain’s Rental Registration Number Affects Non-Resident Property Owners
If you own a rental property in Spain but live abroad, understanding the impact of the NRA Number Spain on your responsibilities is crucial. Non-resident property owners face unique challenges and obligations under the new short-term rental regulations, and failing to comply can lead to fines, legal problems, and tax issues.
What Is the Rental Registration Number (NRA)?
The NRA is a unique identifier issued to each short-term rental property in Spain. This number must be obtained and displayed on all rental advertisements. It aims to regulate the booming tourist rental market by ensuring properties meet legal and safety standards while improving transparency and tax compliance.
NRA Requirements for Non-Resident Owners
Just like residents, non-resident owners must register their properties in the Single Tourist Rental Registry and obtain an NRA before legally offering short-term rentals. This means:
Registering the property online via the official portal.
Providing all necessary property information and documentation.
Paying applicable registration fees.
Displaying the NRA on all rental listings.
Tax Implications for Non-Residents
The NRA system also tightens the connection between rental registration and tax compliance. Non-resident owners must fulfill specific tax obligations, including:
1. Rental Income Tax
Non-residents must declare rental income using Form 210 (Modelo 210). The tax rate varies depending on residency:
24% for non-EU residents.
19% for residents of the EU, Norway, or Iceland.
It’s essential to report income accurately to avoid penalties.
2. Imputed Income Tax
If your property is not rented out for the entire year, Spanish law still considers you to have “imputed income” based on the cadastral value of the property. This means you may owe tax even if the property is vacant.
3. Local Property Taxes
Non-resident owners are also liable for municipal taxes like the Impuesto sobre Bienes Inmuebles (IBI), which is based on the property’s value.
Compliance with Regional and Local Regulations
Spain’s autonomous communities have varying rules concerning tourist rentals. Some regions require additional licenses or permits beyond the NRA. For example, in Catalonia or the Balearic Islands, stricter restrictions or additional authorizations may apply.
Non-resident owners should carefully check regional rules to avoid fines or suspension of rental activity.
Obtaining Digital Access for Registration
Since registration requires a digital certificate for online identification, non-residents may face additional hurdles acquiring this electronic ID. Options include:
Applying for a digital certificate through Spain’s official platforms.
Authorizing a legal representative or gestor to handle registration on their behalf.
Consequences of Non-Compliance
Non-resident owners who fail to obtain the NRA or meet tax obligations risk:
Heavy fines and penalties.
Removal of their property listings from major rental platforms.
Potential legal actions or restrictions on their rental activities.
Summary
Non-resident property owners must be as diligent as residents in obtaining the Rental Registration Number and fulfilling their tax and regulatory obligations. Staying informed and, if necessary, seeking professional assistance can ensure your rental property operates legally and profitably.