Spain · Tax regime
Solidarity Tax on Large Fortunes (Impuesto de Solidaridad de las Grandes Fortunas)
Open
Last verified July 2026
Made permanent in 2025 after being introduced as a temporary measure for 2023–2024. This is now a structural feature of Spanish wealth taxation, not a transitional one.
This tax exists for one reason: to undo the regional planning that once made Madrid attractive. Any Patrimonio paid at the regional level is credited against it. So when Madrid or Andalucia rebate their wealth tax down to zero, the credit is zero too, and the state simply collects the full amount itself. Any adviser still recommending Madrid to a UHNW client for wealth-tax reasons is working from a playbook that stopped working before 2023.
Qualifying routes
€3M
Band 1: EUR 3m to roughly EUR 5.35m
1.7%
€5.35M
Band 2: roughly EUR 5.35m to EUR 10.7m
2.1%
€10.7M
Band 3: above roughly EUR 10.7m
3.5%
The facts
- Minimum
- €3M
- Total landed cost
- for a Spanish tax resident with EUR 20m of net assets, a mid-six-figure annual liability is realistic once the Patrimonio credit is exhausted
- Route type
- Tax regime, not a visa
- Physical presence
- Spanish tax residents are assessed on worldwide net wealth. Non-residents are assessed only on Spanish-situs assets.
- Family
- Assessed individually, not per household. Spouses are assessed separately
- Permanent residency
- Not applicable
- Citizenship
- Not applicable
- Language test
- Not applicable
- Dual citizenship
- Not permitted. You would have to renounce.
What can go wrong
- It is permanent. The word temporary, from the original name ITSGF, still circulates and still leads clients to treat it as something that will eventually expire.
- Residents get a EUR 700k exemption, which puts the practical threshold at around EUR 3.7m. There is also a primary-residence relief of EUR 300k under Patrimonio, and how it interacts with this tax should be confirmed for the specific case.
- The tax is assessed individually. That means a couple holding EUR 6m jointly can each fall below the threshold on their own. It is one of the few structuring points that still works, and one of the most often missed.
- There is a joint cap covering Patrimonio, IRPF and the Solidarity tax together, known as the limite conjunto. For residents, it limits total liability to 60% of taxable income. This is the main relief valve for anyone holding low-yield assets, and it is worth modelling before assuming the headline rate applies.
- Non-residents are still taxed on Spanish-situs assets. For an investor who leaves under the Golden Visa but keeps a Spanish villa, that property stays firmly in scope.
- Holding Spanish real estate through a foreign company will not reliably shield it from this charge. Spain looks through these structures for both Patrimonio and ITSGF.