How to calculate the days for being a tax resident in Spain
In Spain, counting days to determine tax residence is an important and relevant issue. Being a tax resident in Spain is based on the number of days a person spends in the country during a given tax year. The tax authorities consider a person to be non-resident for tax purposes in Spain when, during a calendar year, i.e. from 1 January to 31 December, they have spent less than 183 days in Spain. See this article on how to calculate the number of days of residence to verify this circumstance.
Tax residence in Spain
The Spanish tax authorities consider an individual to have been resident for tax purposes in Spain in a given year – and therefore liable to pay personal income tax in respect of that year on all income received worldwide – if any of the following circumstances apply:
Who is a tax resident in Spain?
If you have stayed in Spain for more than 183 days of the calendar year.- If your minor children and your spouse are resident in Spain, unless there is proof to the contrary.
- Or if your main economic interests are in our country. In other words, if Spain is the place where most of your investments or business are concentrated, where you administer your assets or where you obtain most of your income.
Calculation of days of tax residence in Spain
When determining whether a person is considered to be resident for tax purposes in Spain, it is essential to understand how days are calculated for this purpose. The calculation of days plays a fundamental role in determining tax residence and can have significant implications in terms of tax obligations.
In order to calculate the number of days required to be considered a non tax resident in Spain, certain criteria established by Spanish law must be taken into account.
However, calculating the number of days is not as simple as counting every day spent in Spain. There are certain rules and exceptions that must be taken into account when calculating days of non-tax residence.
- Days of certified presence. First of all, calculate the days when presence in Spain is attested by indisputable evidence. Note: these are days of certified presence. For example: a fine for a traffic offence, a stay in a hotel, an operation, credit card payments, an appearance before a notary or a public body.
- Presumed days. The Spanish tax authorities will also count as days of residence in Spain those that elapse between two days of certified presence.
For example, if it is proven that you were in Spain on 14 March and 20 May (on these dates you paid Spanish road tolls with your card), the days between these two dates will be considered as days of residence (unless there is proof to the contrary).
Sporadic days. The Spanish tax office will also take into account days of sporadic absence. These are considered to be temporary absences during which the person has travelled to another country, unless they can prove that they are resident for tax purposes in another territory.
Very important: travelling days.
- Travelling days are counted in their entirety as days of residence, with no minimum number of hours required. This means that days spent travelling from Spain to another country, or returning, must be counted as full days spent in Spain.
To calculate the days spent in Spain, the tax authorities add together the days of certified presence, the days of presumed presence (the period between two days of certified presence) and the days of sporadic absence.
Example of how days are calculated
A person considers that he does not have to pay personal income tax in 2023 because he has a certificate of tax residence in country 1 and can prove that he only resided in Spain for 160 days of that year (between the certified days of presence and the presumed days).
However, it turns out that during the year he spent 30 days on holiday in country 2 and the tax authorities intend to count these as sporadic days :
- Defend that, in this case, the certificate of tax residence prevails, or that the holiday was taken when you had already started to reside in country 1.
- If Spain and country 1 claim residence in the same year, remember that double taxation treaties lay down the rules for resolving this conflict.
Important
In general, these conflict resolution rules establish, in order of priority
- residence in the country where the taxpayer has a residence ;
- then in the country where the centre of vital interests is located ;
- the country where the taxpayer ordinarily lives
- then the country of nationality;
- finally, an amicable dispute resolution procedure is put in place.
Conclusion
It is important to note that these rules may vary depending on the legislation in force and individual circumstances. Therefore, it is always advisable to seek specialist professional advice to ensure that you comply with the appropriate tax obligations and to avoid any legal problems.
In summary, calculating the days of non-tax residence in Spain is a key factor in determining tax residency. It is essential to understand the applicable rules and exceptions in order to calculate the days correctly and comply with the corresponding tax obligations. Do not hesitate to consult a professional tax advisor to ensure that you are complying with the regulations in force.
