Navigating New Holiday Let Regulations

We’ve all heard the horror stories involving Spanish holiday rentals. These properties are often unregistered or fail to meet local rules. Now, this is changing. Local and national authorities are actively tightening controls on holiday lettings.

Why the Crackdown?

The government has two key goals. In short, they want to make housing more affordable for Spanish residents. They also need to ensure all holiday rentals are properly registered for tourist tax.

Therefore, if you own and rent out a property in Spain, you need to be aware of the following four key requirements:

1. Mandatory Registration

Your property must have a tourist licence from the relevant local authority. Crucially, this licence number is often required to be displayed on advertising platforms.

2. Tourist Tax Collection

In addition, in many regions, you are legally required to collect a tourist tax from your guests. You must then remit this tax to the tax authorities.

3. High Visibility = High Risk

Advertising on websites like Airbnb or Booking.com makes your property easy for authorities to find. Consequently, if you are not compliant, you become an easy target.

4. Significant Penalties

Furthermore, the penalties for not registering or failing to pay the correct taxes can be severe. This includes substantial fines, which may run into thousands of Euros.

Are You Compliant?

Operating outside these rules is a significant financial risk.

As a UK accounting firm specialising in Spanish tax matters for non-residents, we can help you navigate these requirements. If you aren’t registered for tourist tax or are unsure of your obligations, contact us today.

We’ll help ensure your Spanish property remains a fantastic investment, not a financial liability.