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.

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.

Specific questions from German clients

German DBA (CDI España-Alemania): does Spain or Germany tax my Altea rental?
Spain (situs principle for real estate under the CDI). You file modelo 210 quarterly at 19 % EU rate with expense deductions. You then report the same income in your German Steuererklärung; Germany applies Anrechnungsmethode (credit method) for the Spanish tax paid, avoiding double taxation.
Inheriting from a German parent who owned an Altea villa — CV ISD vs Erbschaftsteuer?
CV ISD applies on the Spanish villa with the 50 % grupo I/II bonification. 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.

See also: the {municipio} municipio overview

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