Non-resident tax in Teguise

Three very different places share the name Teguise. The Villa de Teguise, Lanzarote's former capital, is a town of whitewashed mansions known for its Sunday market. Costa Teguise, on the coast below, is a planned resort designed with César Manrique's involvement: low-rise apartments, a golf course, the windsurfing beach of Las Cucharas and the quieter Playa Bastián. Famara, on the north coast, is a surf village beneath the Risco cliffs, and La Graciosa, the car-free island across the strait, is also part of the municipality. Foreign owners are concentrated in Costa Teguise, La Graciosa, Famara, with 24,027 residents registered in the whole municipality.

The housing stock explains Teguise's relatively high cadastral values: many detached villas with pools in Costa Teguise and in the countryside around Nazaret and Tahíche, alongside apartment complexes. In the province of Las Palmas, foreign owners come above all from Italy, Germany, United Kingdom, Poland. Foreign buyers represent around 21.7% of purchases in the province. Asking prices currently average €3,523/m² (September 2026); the tax below uses the cadastral value, which is lower.

A non-resident who owns a home in Spain for personal use pays tax on an imputed income, declared annually on the Modelo 210. The income is a percentage of the cadastral value shown on the IBI receipt. Teguise's last general cadastral revision took effect in 2006; for tax years 2023 to 2026 the reduced coefficient of 1.1% applies only to municipalities revised with effect from 2012 onwards, so Teguise uses 2%, like the rest of Lanzarote.

With the average residential cadastral value in the municipality, €92,800 (Catastro statistics 2026), the imputed income is €92,800 × 2%. Taxed at 19%, the EU and EEA rate, that gives €352.64 per year for a sole owner; at 24%, the rate for UK, Swiss and US residents, €445.44. Villas in Costa Teguise are typically above this average and apartments below it, so the figure on your own receipt is the one that counts. Joint owners each declare their share.

The imputed income accrues for every day the home was at your disposal, including the months it was closed up. The return for income year 2025 may be filed throughout the following calendar year; from the 2026 income year, the filing window becomes 1 April – 31 December of the following year (Orden HAC/623/2026). No deductions or allowances apply. UK owners have paid 24% without deductions since Brexit and, if the villa is let, normally also declare that income on the foreign pages of their Self Assessment with credit relief for the Spanish tax; Irish owners remain at the EU rate.

Teguise's IBI is collected by Red Tributaria Lanzarote (Cabildo de Lanzarote) - delegated collection. The voluntary payment period normally runs 20 July – 21 September. For a villa visited twice a year, a direct debit is the only reliable way to avoid the surcharges of the enforcement stage.

The receipt also gives you the valor catastral and the referencia catastral, both needed for the Modelo 210. A non-resident with a NIE and digital certificate can download receipts from the collector's sede electrónica; without a certificate, Fiscasa retrieves the cadastral data from the address or reference and prepares the return from there.

If you let the home, the imputed income shrinks to the days it was not let, and the rent is declared on a Modelo 210 for rental income, annually since 2024 and, from the 2026 income year, between 1 and 20 April of the following year. EU and EEA residents pay 19% after deducting expenses pro rata; others pay 24% on the gross rent.

Lanzarote applies the Canarian rules on holiday homes: registration of the vivienda vacacional with the Cabildo and display of the number, under Decreto 113/2015. The regional law on the sustainable tourist use of homes approved in 2025 lets each municipality zone and cap tourist homes, with acquired rights for already registered homes under conditions. Costa Teguise is a tourist zone and La Graciosa a protected island, so the rules may differ within the same municipality; check the current island rules before advertising. Since 1 July 2025, adverts must also carry the national rental register number.

• Villas with a pool tend to carry higher cadastral values; check the receipt rather than assuming the municipal average.
• Purchase year: the imputed income starts the day after the deed, pro rata.
• Co-ownership: one Modelo 210 per owner, each with a NIE.
• Missed years: Spain can claim four years. A voluntary late filing costs 1% plus 1% per full month of delay (15% plus interest after twelve months), reduced by 25% when paid within the deadline given.
• No representative is required for EU or EEA residents; payment by transfer from a foreign account is accepted.
• US owners: 24% rate and possible FBAR or Form 8938 reporting for a Spanish account.
• Access: Lanzarote (ACE) is about twenty minutes from Costa Teguise.