Residents receive an identification number called a 'Numero de Identificacion de Extranjero' (NIE), which you will need when paying taxes (it also doubles as a social security number).

You will be liable in Spain for income tax on your worldwide income and capital gains, but agreements are in place to prevent you paying tax twice on the same income. Spain also levies a wealth tax ('patromonio') on both residents and non-residents.

Taxes payable on property in Spain include VAT, stamp duty and sometimes a local tax called 'plus valia'. Property owners must also pay a tax called IBI (Impuesto sobre Bienes Inmuebles), which funds local services, education etc.

Inheritance tax - payable on gifts or property you are left when someone dies and benefits the region where you live

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