German · Altea

Spanish taxes for German in Altea

Targeted guidance for German property owners and residents in Altea — Modelo 210, ISD, ITP and residency planning by a licensed colegiado on the Costa Blanca.

Quick answer

A German resident who inherits an Altea villa pays Spanish ISD in the Comunitat Valenciana, with the 99 % bonification of art. 12 bis of Ley 13/1997 for groups I and II, and then German Erbschaftsteuer on the worldwide estate, crediting the Spanish tax under § 21 ErbStG. There is no inheritance treaty between the two countries; the relief is unilateral.

Why German property owners in Altea need a local specialist

German residents in Altea concentrate in Altea Hills, Sierra de Altea and central Altea, often retirees or remote professionals with detached villas worth 500k+ EUR. As EU residents, they benefit from the 19 % modelo 210 rate with full expense deductions on rental income. The Spain-Germany double-tax treaty assigns immovable-property income to Spain, with German credit for Spanish tax paid.

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Specific questions from German clients

German DBA (CDI España-Alemania): does Spain or Germany tax my Altea rental?

Spain, where the property is (situs rule of the Spain-Germany treaty). Since Orden HAC/623/2026 the rental modelo 210 is annual, not quarterly: filed in the first twenty calendar days of April of the year after the income accrued. As a German resident you are resident in an EU Member State, so art. 25.1.a TRLIRNR gives the 19 % rate and art. 24.6 the deduction of expenses directly and inseparably linked to that income. You then report the same income in Germany, which relieves the double taxation under the treaty.

Inheriting from a German parent who owned an Altea villa — CV ISD vs Erbschaftsteuer?

CV ISD applies on the Spanish villa with the 99 % bonification for groups I and II (art. 12 bis of Ley 13/1997, wording of Ley 6/2023, deaths from 28 May 2023 — declared assets, self-assessment filed before any demand). Germany may also tax the worldwide inheritance under Erbschaftsteuer for German tax-resident heirs, with a credit for the Spanish ISD. The two systems coordinate through the EU framework — no formal double-taxation treaty on inheritance exists between Spain and Germany.

I want to apply for the Spanish digital nomad visa from Altea while keeping German residency?

No — the Spanish digital nomad visa requires moving tax residency to Spain (becoming Spanish tax resident with worldwide income subject to Spanish IRPF or the reduced regime under Ley 28/2022). You cannot hold dual EU tax residency simultaneously. We model the German exit + Spanish entry implications before applying.

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