When a loved one passes away in Spain, dealing with the inheritance process can feel overwhelming — especially from abroad. At Interteam Consulting, we manage the entire inheritance procedure on your behalf, ensuring that your assets and property in Spain are transferred smoothly and legally to the rightful heirs.
Inheritance law in Spain
Under Spanish inheritance law, a portion of your estate must be passed on to your spouse and children. The Law of Obligatory Heirs (Ley de Herederos Forzosos) reserves 50% of all jointly owned assets for the surviving spouse.
The remaining estate is divided into three equal parts. The first third is shared equally among surviving children — whether natural or adopted. The second third also goes to the children, but may be distributed equally or unequally according to the instructions in the will. The surviving spouse retains a life interest (usufruct) over this portion, meaning the children do not inherit it until the spouse also passes away. The final third may be freely distributed to whoever the deceased chooses.
Making a Spanish will is strongly recommended, particularly if you have remarried, have stepchildren, or wish to include family members who would otherwise receive less protection under Spanish succession law.
A practical example: a British couple in the Costa Blanca
John and Margaret, a retired British couple, moved to Orihuela Costa in the Valencian Community and purchased a property together valued at 280,000€. They also held a joint Spanish bank account with savings of 40,000€.
When John passed away, Margaret was understandably distressed and unsure of what steps to take. Our team at Interteam Consulting guided her through the entire process:
- Obtaining the official death certificate and its apostille from the UK
- Locating and presenting John’s Spanish will, previously drafted at a Spanish notary
- Calculating and filing the inheritance tax (Impuesto de Sucesiones) within the legal 6-month deadline — in the Valencian Community, surviving spouses benefit from significant tax reductions
- Transferring the property title into Margaret’s name at the Land Registry
- Updating the Spanish bank account and other assets
The entire process was completed within 1 month, giving Margaret full legal ownership of her home and peace of mind during a very difficult time.
Do you find yourself in a similar situation? Contact us today, we are here to help.
British nationals and inheritance in Spain: your right to choose
As a British national with assets in Spain, you have an important legal advantage that many people are unaware of. Under EU Succession Regulation 650/2012 — commonly known as Brussels IV — British citizens are entitled to elect that the law of their nationality governs their entire estate, including assets held in Spain. This means that, in most cases, English, Scottish or Northern Irish succession law will apply to your inheritance, rather than Spanish law.
This is particularly significant because Spanish forced heirship rules — which require a fixed portion of the estate to pass to certain family members — will generally not apply to British nationals who have made this election. You are therefore free to leave your Spanish assets to whoever you wish, in the same way you would in the United Kingdom.
Why you should make a Spanish will
Whilst your English will may technically cover your assets in Spain, we strongly advise all British clients to make a separate Spanish will. Here is why:
Having a will drafted and signed before a Spanish Notary makes the inheritance process significantly faster, simpler and less costly for your family. Without a Spanish will, your heirs will need to have your English will officially translated, legalised with an Apostille stamp, and recognised by the Spanish authorities — a process that can take many months and involves considerable expense.
A Spanish will, by contrast, is immediately recognised by Spanish courts, notaries and the Land Registry. It allows us to begin processing your inheritance straight away, avoiding unnecessary delays at what is already a very difficult time for your loved ones.
Our recommendation
We recommend that every British national owning property or holding assets in Spain takes two straightforward steps:
First, make a Spanish will before a local Notary, clearly stating that you elect British law to govern your succession. This document should be consistent with your English will and updated whenever your personal or financial circumstances change.
Second, keep your family informed of where your documents are held — including your Spanish will, property deeds, NIE number and any bank accounts in Spain.
At Interteam Consulting, we can draft your Spanish will, advise you on the most tax-efficient way to structure your estate, and ensure that when the time comes, your family is protected and the process runs as smoothly as possible.
Contact us today for a free initial consultation — we are here to help you plan ahead with confidence.
Inheritance tax in the Valencian Community for British nationals
One of the most common concerns among British nationals owning property in Spain is the question of inheritance tax (Impuesto sobre Sucesiones y Donaciones). The good news is that the Valencian Community offers some of the most generous tax relief in the whole of Spain for close family members.
Who pays inheritance tax in Spain?
In Spain, it is the beneficiary — not the estate — who pays inheritance tax. Each heir is taxed individually based on the value of what they receive. The tax must be declared and paid within six months of the date of death, although a six-month extension can be requested if needed.
Tax relief for spouses and children in the Valencian Community
If you live in the Valencian Community — which includes Alicante, Valencia and Castellón provinces — your spouse and children benefit from a 99% reduction on their inheritance tax bill. This means that in practice, a surviving spouse inheriting a property worth 300,000€ would pay virtually nothing in inheritance tax.
This relief applies to:
- Surviving spouses
- Children and adopted children
- Parents and grandparents inheriting from a child
A practical example
Peter and Susan are a British couple living in Orihuela Costa. Their Spanish property is valued at 350,000€ and they have savings of 50,000€ in a Spanish bank account — a total estate of 400,000€.
When Peter passes away, Susan inherits the entire estate. Thanks to the 99% spousal relief available in the Valencian Community, her inheritance tax liability is reduced to just a few hundred euros — a fraction of what she might have expected to pay.
Their two adult children, who are named as secondary beneficiaries, would also benefit from the same 99% relief should they inherit in the future.
What about British nationals who are non-residents?
If you own property in Spain but live in the United Kingdom, you are still liable for Spanish inheritance tax on your Spanish assets. However, following a landmark ruling by the European Court of Justice, non-residents are now entitled to apply the same regional tax relief as residents. This means that heirs of non-resident British property owners can also benefit from the Valencian Community’s generous 99% reduction.
Important deadlines
Inheritance tax in Spain must be settled within 6 months of the date of death. Missing this deadline results in automatic surcharges and interest penalties. At Interteam Consulting, we monitor all deadlines on your behalf and ensure that everything is filed correctly and on time.
How we can help
At Interteam Consulting we handle the entire inheritance tax process for you, including:
- Calculating the taxable value of the estate
- Applying all available exemptions and reductions
- Preparing and filing the inheritance tax declaration
- Liaising directly with the Spanish Tax Agency on your behalf
- Ensuring full compliance within the legal deadlines
Do not wait until it is too late. Contact us today and let us help you protect your family’s future.
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