Tax residency certificate and Spain–Latin America double taxation treaties
Without a tax residency certificate you cannot apply the tax treaty and you pay the general rate. How to request it from DIAN, SAT or AFIP and how long it lasts.
The tax residency certificate is the document that stops you paying twice on the same income. Without it, Spain applies the general non-resident income tax rate, and your home country does not recognise what you have already paid here.
What it is and who issues it
It is issued by the tax authority of the country where you are tax resident. To be valid for treaty purposes it must state expressly that you are resident for the purposes of the double taxation treaty with Spain; a generic residency certificate is not enough.
Colombia: DIAN, tax residency and tax status certificate.
Mexico: SAT, tax residency certificate.
Argentina: AFIP, tax residency certificate.
Spain: AEAT, tax residency certificate for treaty purposes, available through the Electronic Office (sede.agenciatributaria.gob.es).
Validity
Validity varies by issuing country: in Spain, the AEAT issues certificates valid for 12 months. From the perspective of the Spanish payer, the Non-Resident Income Tax Regulation allows its use during the year of issue and the following year if circumstances do not change. Check the exact period with your own tax authority.
Spain's treaties with Latin America
Spain has treaties in force with Colombia, Mexico, Argentina, Peru, Ecuador, Chile, Bolivia, Uruguay, Costa Rica, Panama, El Salvador, the Dominican Republic and Brazil. Each treaty sets its own limits on taxation of dividends, interest, royalties and employment income, so the applicable rate depends on your specific country.
The two methods for eliminating double taxation
Exemption: your country of residence does not tax income already taxed in Spain.
Credit method: your country taxes the income but lets you deduct what you paid in Spain, up to the amount you would owe there. This is the most common method in treaties with Latin America.
Costly mistakes
Filing form 210 without a certificate and applying the treaty rate: the tax authority will correct this and charge the difference.
Using an expired certificate, or one that does not mention the treaty.
Assuming that not living in Spain means you have no filing obligation: if you own property in Spain and do not rent it out, you must still file form 210 for imputed property income (1.1% or 2% of the cadastral value, depending on whether it has been recently reviewed).
Becoming a Spanish tax resident without realising it: spending more than 183 days in Spain in the calendar year, or having your centre of economic interests here, makes you resident and changes the whole picture.
If you are not sure which side you are on
The line between resident and non-resident is where most money is at stake. A 30-minute consultation for €75 + VAT (€90.75) clarifies it for your specific case, and the fee is deducted if you then hire us for the follow-up procedure.
Frequently asked questions
What is a tax residency certificate for?
To prove to the Spanish tax authority that you are tax resident in another country and apply the double taxation treaty, avoiding being taxed twice on the same income.
How long is it valid for?
One year from the date of issue. You must renew it each tax year in which you want to apply the treaty.
Where do I request it?
From your own country's tax authority: DIAN in Colombia, SAT in Mexico, AFIP in Argentina. It must expressly mention the treaty with Spain.
When am I considered tax resident in Spain?
If you spend more than 183 days in the calendar year in Spain, or your centre of economic interests is here. In that case you no longer pay Non-Resident Income Tax but personal income tax (IRPF).