Which costs you can deductfrom Spanish rental income.
Updated 12 November 2026 · 2 minute read
The short answer
EU and EEA residents can deduct the costs of renting out their Spanish home, for the days it was let. Residents of other countries cannot deduct anything.
Which costs are deductible?
- Costs only for renting: cleaning, laundry, platform commission, key holder or agency fees. These count in full.
- Running costs: electricity, water, gas, internet, community fees, home insurance.
- Local taxes: IBI and rubbish tax.
- Repairs and maintenance: fixing or replacing what was there. Improvements that add value are not a repair.
- Mortgage interest: the interest, not the repayment.
- Depreciation: 3% a year of the building’s value, without the land, and usually 10% a year of furniture and appliances.
How are shared costs split?
Costs that run all year are split by days. If the home was let for 146 days out of 365, 40% of the yearly cost is deductible.
An example
Utilities, insurance, IBI and community fees add up to €3,000 a year. The home was let for 146 days. Deductible: 40% of €3,000, so €1,200.
What is not deductible?
- Anything for days you used the home yourself or it stood empty
- The purchase price, apart from yearly depreciation
- Improvements such as an extension or a new pool, which are depreciated instead
- Costs without an invoice or receipt in your name
What proof do you need?
An invoice or receipt for every cost, and a certificate of tax residence showing you live in the EU or EEA.
Questions
Can I deduct my flights to Spain?
Generally no. Travel to your own holiday home is hard to defend as a rental cost.
Can costs be higher than the rent?
Yes. You then have nothing to pay on rental income, but you still file the return.
I live in the UK. Can I deduct anything?
No. Since Brexit, UK residents pay 24% on the full rent.
Every cost, with its receipt,ready for your return.
Casatax keeps your income, costs and bookings in one place, and prepares your Spanish return. Your gestor files it.
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This is general information, not tax advice. Rules and dates change, so check your own situation with your gestor.