Modelo 210 for UK Property Owners: What Applies After Brexit

UK tax residents owning property in Spain currently pay 24% Modelo 210 – with no expense deductions. What changed after Brexit, key deadlines, and the most common mistakes.

Modelo 210 for UK Property Owners: The Short Answer

If you are tax resident in the United Kingdom and own property in Spain, you are treated for Spanish IRNR purposes as resident in a third country since 1 January 2021. That means a current tax rate of 24% — and no deduction of expenses on rental income. The Modelo 210 obligation continues regardless of Brexit.

Brexit at a Glance

	Before Brexit	Since 2021
Tax rate	19%	24%
Rental income	Net (expenses deductible)	Gross (no deductions)
Treatment	EU resident	Third country

Which taxes do UK owners pay in Spain?

Nationality does not determine your tax rate — tax residency does. This is one of the most common misconceptions we see at Fiscaro.

Important: A British passport alone tells you nothing about your tax rate. Someone with tax residency in Germany pays 19% — regardless of passport. What matters is exclusively where your tax residency lies.

For owners tax resident in the UK since 2021:

Tax rate: currently 24%
Rental income: gross basis — no expense deductions
EU/EEA tax benefits no longer apply

What Brexit changed — and what it didn't

Until 31 December 2020, UK tax residents were treated like EU residents: 19% tax rate and the right to deduct expenses on rental income.

Since the end of the Brexit transition period on 1 January 2021, the United Kingdom is treated as a third country for Spanish IRNR purposes. In practice:

Tax rate: currently 24% (previously 19%)
Rental income: gross basis — no expense deductions
EU/EEA tax benefits no longer apply

The double taxation treaty between Spain and the United Kingdom does not eliminate the Spanish tax obligation on Spanish property.

Owner-occupied property: Renta imputada

Anyone who uses their Spanish property personally — or leaves it empty — must declare an annual renta imputada (deemed income). The basis is the valor catastral (cadastral value), shown on the annual IBI bill (Impuesto sobre Bienes Inmuebles — Spanish local property tax).

Calculation:

Step	Formula
Taxable base	Valor catastral × 1.1% or 2.0%
Tax	Taxable base × 24%

The factor is 1.1% if the cadastral value was reassessed on or after 1 January 2012 — the Año de revisión on the IBI bill is the deciding factor. If the last reassessment was before 1 January 2012, 2.0% applies (source: DA 55 LIRPF / AEAT Manual Renta 2025 §7.3.4). Without the IBI bill, the correct factor cannot be reliably determined.

Deadline: 31 December of the following year — for 2025, that means by 31 December 2026. From tax year 2026: 1 April – 31 December of the following year (Order HAC/623/2026).

Worked example: Port Andratx

A couple tax resident in the UK jointly own a holiday apartment in Port Andratx. Valor catastral: €180,000. Last reassessment: 2019 — factor 1.1%. Owner-occupied only.

Since the property is owned 50/50, each owner files a separate Modelo 210. There is no joint filing — not even for married couples.

Per owner (50% share):

Item	Amount
Valor catastral (50%)	€90,000
× 1.1%	€990
× 24%	€237.60

Combined: €475.20 per year — for a purely owner-occupied property.

How is Modelo 210 calculated after Brexit?

Rental income is where the difference hits hardest. EU/EEA residents deduct expenses and pay 19% on the net amount. UK tax residents pay 24% on gross rental income — no deductions at all. Platform fees (Airbnb), insurance, repairs: none of it is deductible.

Comparison:

	EU/EEA resident	UK tax resident
Tax rate	19%	24%
Taxable base	Net (after expenses)	Gross
Airbnb fees deductible	✅	❌
Repairs deductible	✅	❌
Insurance deductible	✅	❌

Rental deadline: For income from real property from tax year 2024 onwards, the AEAT provides for an annual filing under the applicable legal conditions — due within the first 20 calendar days of January of the following year (for 2024: January 2025; for 2025: January 2026). From tax year 2026: 1–20 April of the following year (Order HAC/623/2026).

Calculate your Modelo 210 as a UK owner in under 30 seconds → Calculate now

Mixed use: personal and rental in the same year

If you use the property personally for part of the year and rent it out for the rest, two separate tax obligations arise — one for rental income, one for renta imputada on the days not rented. Both are filed separately, with different deadlines. This typically results in multiple filings per year.

What we see in practice

Three mistakes come up repeatedly with UK tax residents on Mallorca:

Still applying 19%. Many owners — especially those who bought before Brexit — are still using the old rate. In the years immediately after 2021, the change was not always applied consistently. Anyone who filed at 19% in 2021 or 2022 should check whether underpayments are outstanding.

Claiming expense deductions on rental income. The net principle no longer applies since 2021. Deducting costs regardless risks reassessments from the AEAT.

Forgetting the Modelo 210 altogether. Particularly with owner-occupied properties — the obligation applies even if the property stands empty all year. The AEAT cross-references cadastral data.

What this means in practice

Modelo 210 obligation continues — Brexit changes nothing here
Currently 24% since 1 January 2021
Rental income: no expenses deductible
Each co-owner files separately
Owner-occupation deadline: 31 December of the following year (until tax year 2025; from tax year 2026: 1 April – 31 December)
Filed at 19% since 2021? Contact your gestor

FAQ

Do I still need to file Modelo 210 as a UK tax resident? Yes. Brexit did not remove the Spanish tax obligation — it only changed the rate and the basis for rental income.

I have a British passport but live in Germany. What rate applies? 19%. What matters is tax residency, not nationality. Anyone tax resident in Germany is treated as an EU resident and pays 19%.

Does the 24% rate apply if I live permanently in Spain? No. Anyone tax resident in Spain is a fiscal resident and does not file Modelo 210.

Can I deduct expenses on rental income as a UK tax resident? No. Since 1 January 2021, the gross basis applies — no operating costs, no platform fees, no repairs.

Can I get a tax refund despite paying 24%? Yes, in certain circumstances. If the 3% withholding (retención) on a property sale exceeds your actual tax liability, or in cases of double payment, a refund claim is possible.

What happens if I don't file Modelo 210? The AEAT identifies missing filings through cadastral data. Late surcharges (recargos) apply under Art. 27 LGT: 1% per month started up to 12 months, then 15% from month 13 — plus interest on late payment.

Does this apply to Scotland, Wales and Northern Ireland too? Yes. The entire United Kingdom has been treated as a third country since 2021.

Is a tax advisor required? No. For straightforward owner-occupied cases, self-filing is entirely manageable. For rental or mixed-use situations, an initial consultation is worth considering.

Sources

AEAT — Impuesto sobre la Renta de no Residentes (IRNR), Ley 5/2004
Ley 11/2021 — Late surcharges (Art. 27 LGT)
Dirección General de Tributos — consultas vinculantes sobre el tratamiento del Reino Unido tras el Brexit
Catastro Inmobiliario — IBI bill as basis for valor catastral and año de revisión

Summary

Currently 24% instead of 19%, no expense deductions on rental income — Brexit left UK tax resident property owners in Spain significantly worse off. Those who don't know this either overpay or underpay. Both are avoidable.

For straightforward owner-occupied cases, Modelo 210 is perfectly manageable without a tax advisor. For rental income, it's worth checking the numbers carefully.

Calculate your Modelo 210 as a UK owner in under 30 seconds: Calculate now — or go straight to the Wizard for full filing from €34.95.

Last reviewed: June 2026. This article is for general information only and does not constitute individual tax advice.