How is the rent on my Spanish property taxed if I live in Thailand?

As a non-resident, rental income is taxed in Spain under Non-Resident Income Tax (IRNR), filed through form 210. Since Thailand is outside the EU and the EEA, the rate that applies is 24% and you can't deduct costs like the mortgage, property tax or repairs: it's taxed on the gross income.

Why can't I deduct rental costs as a non-resident?

The deduction of costs and the 60% reduction on rental income from housing are reserved for residents of the EU or the EEA. A resident of Thailand falls outside that group, so you're taxed at 24% on the gross income. It's a difference that changes the decision for many people about whether to keep the property rented or sell it.

Do I also have to declare that rental income in Thailand?

As a Thai tax resident, the income you remit into the country enters its system, but the 1997 Spain-Thailand double taxation treaty stops you from being taxed twice on the same income: the tax already paid in Spain is taken into account. The details depend on your case.

Renting out your Spanish property from Thailand

The change in status

While you're a tax resident in Spain, your rental income goes through personal income tax with the well-known 60% reduction on net housing income and with deductible costs (mortgage, property tax, community fees, repairs, depreciation). As soon as you stop being a tax resident and move to Thailand, you fall under a different tax: the IRNR (Non-Resident Income Tax), filed with form 210.

The 24% that hurts

Here's the detail that changes the decision for a lot of people. The IRNR rate depends on where you live:

Rental tax treatment depending on the owner's residency
Resident in…	Rate	Deducts costs?
Spain (income tax)	Progressive	Yes + 60% reduction
EU / EEA	19%	Yes, on the net amount
Thailand (outside EU/EEA)	24%	No: on the gross amount

Since Thailand is outside the EU and the EEA, you're taxed at 24% on the gross rental income: no deducting the mortgage, property tax, community fees or repairs. A €1,000/month rental means €240 of tax a month, whatever your mortgage looks like. It's the fine print that turns "I'll keep the property rented" into a very different sum.

An example with numbers

Example of tax on a rental income of 12,000 euros a year
Property rented for €12,000/year	Resident in Spain	Resident in Thailand
Taxable base	Net after costs and 60% reduction	€12,000 (gross)
Rate	Marginal income tax rate	24%
Approximate tax	Low (reduced base)	≈ €2,880/year

The figures are illustrative — your marginal rate and your costs drive the real number — but the message is clear: the same property, the same tenant, a very different tax bill depending on where you live.

And in Thailand, again?

You don't pay twice on the same income: the 1997 double taxation treaty means real estate income is taxed where the property is (Spain), and Thailand takes that into account if the income reaches the country. The net result depends on your overall income mix.

Bexpat tip: before you move, run the "rent vs. sell" numbers. At 24% on the gross amount, a property with a high mortgage can yield much less than it looks like — or even run at a loss after tax. We're not saying sell: we're saying do the math with non-resident rules, not with your last tax return.

The practical side of form 210

Form 210 is filed per rental payment; staying on top of it avoids surprises piling up.
If you sell the property as a non-resident, the capital gain is also taxed in Spain, and the buyer withholds an amount on account.
The IRNR has its own deadlines and boxes; a mistake on the filing gets expensive.

Where Bexpat fits in

We give you the map — this — and we run the entire move (visa, flight, arrival and apartment in Thailand). To start, the visa quiz tells you which route fits you.

Frequently asked questions

How is my rental income taxed?

Through the IRNR (form 210). Living in Thailand, outside the EU/EEA, the rate is 24% on the gross income, with no deductions and no 60% reduction.

Why can't I deduct costs?

The cost deduction and the 60% reduction are reserved for EU/EEA residents. A resident of Thailand falls outside that, so you're taxed on the gross amount.

Do I also declare it in Thailand?

The income you remit enters the Thai system, but the 1997 treaty avoids double taxation: what you've paid in Spain is taken into account.