Modelo 210 and Rustic Property - Exempt?

Important!.

As we state on our website, we are not tax consultants. Anyone using this page should use the link to the tax agency for updated information or speak with a tax consultant.

In answer to a question by one of our members about a property that was classified as ´urban´ on the IBI invoice, but the land as ´rustico´ – whether exempt or not with regards to  ´imputed rental income´ on the Modelo 210  ´non-resident´s tax´ our tax advisor Philip Carroll wrote the following.

My understanding of the tax legislation is that “Rustic” buildings that are not used for “agriculture, livestock or forestry”, economic activities or generating returns on capital are subject to “imputed income”

“los inmuebles rústicos con construcciones que no resulten indispensables para el desarrollo de explotaciones agrícolas, ganaderas o forestales, no afectos en ambos casos a actividades económicas, ni generadores de rendimientos del capital, excluida la vivienda habitual y el suelo no edificado, tendrá la consideración de renta imputada”

However, as your IBI bill still states that your property is considered  “urban” I would recommend that this is the category to use.

Please note: The information provided is based upon our understanding of current legislation. It is not legal advice but is provided freely to enable you to be properly informed. We recommend that if you are considering taking action, you should seek professional advice.