The quarterly IRNR (Tax on the Income of Non-Residents) is paid by a non-resident as per the incomes received in Spain.

In the case of home properties, if they have not been rented, an annual IRNR is paid for this second residence (whether it is used or not).

But, in the event that it is rented, a quarterly IRNR would be paid for the income obtained, other than the annual tax, but proportionally calculated on the basis of the days that it was rented (for instance, a house in a permanent rental does not pay an annual tax, since it is always occupied by the tenant)

The payment period for this tax is during the first 20 days of months of January, April, July and September, and it will be made to the Tax Agency.

In order to calculate the tax base, it's basically needed to subtract the expenses from the income earned. The more the expenses, the less profit obtained, and the lower the tax payable is. For this reason, take into account that any of the items on this list can be considered a related expense:

• Service costs (water, electricity, internet ...), considered that you pay them and not the tenant.

• Taxes and fees regularly charged on the property (IBI, garbage tax...)

• Administration, security, porter and other services related to community costs.

• Property depreciation: 3% on the higher of the following values:

- acquisition cost

- cadastral value (not counting the terrain value)

• Depreciation costs for goods that can be used for more than a year and are available for use (furniture, appliances, etc.): 10% of the purchase value of furniture, 20% of electronic devices.

• Repair and conservation costs (painting, damage repairs, etc.)

• Interest and financing costs of the capital invested in the acquisition and improvement of the property (mortgage interest)

• Interest and financing costs of goods that are available with the house (if the furniture or appliances are financed)

• Costs related to formalise the rental or legal defense of the accommodation or its execution.

• Insurance cost.