Individual - Foreign tax relief and tax treaties

Last reviewed - 31 August 2022

Foreign tax relief

A deduction for the avoidance of double taxation is allowed for foreign-source income and capital gains taxed by Spanish PIT, calculated as the lesser of:

  • The actual foreign tax paid on the foreign-source income, by reason of a tax identical or analogous in its nature to Spanish PIT or NRIT.
  • The result of applying the average effective PIT rate to the foreign-source income taxed abroad.

Any foreign tax withheld (or paid) may be eligible for this deduction; however, if a DTT is applicable, its terms should be taken into account when determining the method to calculate the deduction and making the calculation.

Double taxation treaties (DTTs)

Countries with which Spain currently has DTTs:

Albania Former States of USSR Pakistan
Algeria France Panama
Andorra Georgia Philippines
Argentina Germany Poland
Armenia Greece Portugal
Australia Hong Kong Qatar
Austria Hungary Romania
Azerbaijan Iceland Russian Federation
Barbados India Saudi Arabia
Belarus Indonesia Senegal
Belgium Iran Serbia
Bolivia Ireland Singapore
Bosnia and Herzegovina Israel Slovak Republic
Brazil Italy Slovenia
Bulgaria Jamaica South Africa
Canada Japan South Korea, Republic of
Cape Verde Kazakhstan Sweden
Chile Kuwait Switzerland
China, People's Republic of Latvia Thailand
Colombia Lithuania Trinidad and Tobago
Costa Rica Luxembourg Tunisia
Croatia Macedonia Turkey
Cuba Malaysia United Arab Emirates
Cyprus Malta United Kingdom
Czech Republic Mexico United States
Dominican Republic Moldova Uruguay
East Timor Morocco Uzbekistan
Ecuador Netherlands Venezuela
Egypt New Zealand Vietnam
El Salvador Nigeria Vietnam
Estonia Norway
Finland Oman