Inheriting a house in Mallorca: Balearic inheritance tax, steps and deadlines

If you inherit a house in Mallorca from your parents, spouse or children, Balearic inheritance tax carries a 100% relief – in practice, nothing is paid. You still have to file a return within six months, pay the municipal plusvalía and accept the inheritance before a notary. Siblings, nieces, nephews and other relatives do pay, though some get partial relief. This guide explains how it works, including when the deceased or the heirs live outside Spain.

We see this often with families who bought in Portocolom decades ago: the children inherit the house from abroad and don’t know where to start. The most important thing is not to miss the deadlines.

How much inheritance tax is paid in the Balearics?

The tax depends on your relationship to the deceased. The Balearics use four groups:

The 100% relief for groups I and II has applied since 2023, and the relief for group III was reformed in 2025. Note that unmarried partners only qualify for group II if they are registered in the Balearic register of stable partnerships.

What if the deceased or the heirs don’t live in Spain?

This is the key question for overseas owners:

• If the deceased lived in the Balearics (for most of the last five years), Balearic law applies and the return goes to the Balearic tax agency (ATIB).
• If the deceased was not resident in Spain, the heirs can apply the rules of the region where most of the Spanish assets are located – for a house in Mallorca, the Balearic rules and their relief. The return is then filed with the Spanish Tax Agency.
• Non-resident heirs get the same benefits as residents, but need an NIE for every step.

Tax in your home country

Your country of residence may also tax the inheritance. Spain has very few double taxation treaties covering inheritance (none with Germany, for example), so tax at home may apply on top; Spanish tax can sometimes be credited. Check with your adviser at home before accepting the inheritance.

Deadlines you shouldn’t miss

Without the return filed, the property can’t be registered in the heirs’ names at the Land Registry, nor sold in the normal way.

Plusvalía on inheritance

Inheriting a home also triggers the municipal plusvalía, a tax on the increase in land value since the deceased acquired it. It’s calculated as on a sale – objectively or on the actual gain, whichever is more favourable – and nothing is due if the land hasn’t gained value. Some town halls offer reductions when the home was the deceased’s main residence and is inherited by children or a spouse; ask the town hall, as you have to apply for them.

Step by step: inheriting a house in Mallorca

1. Death certificate. If the death occurred abroad, apostilled or in international format, translated if needed.
2. Certificate of last wills (certificado de últimas voluntades), available in Spain from 15 working days after the death; it shows whether there is a Spanish will.
3. The will or, if there isn’t one, a declaration of heirs. If the deceased lived abroad, a European Certificate of Succession or documents from their home country may be needed.
4. NIE for every heir.
5. Deed of acceptance and distribution of the inheritance before a notary in Spain (in person or by power of attorney).
6. Inheritance tax and plusvalía returns, on time.
7. Registration at the Land Registry and change of owner for the Cadastre, IBI and utilities.

Wills and the EU Succession Regulation

Since 2015, the EU Succession Regulation applies the law of the country where the deceased was habitually resident, unless they chose the law of their nationality in their will. For overseas owners with a house in Mallorca, having a separate Spanish will for Spanish assets usually makes things much simpler for the heirs. Ask a notary or lawyer how to coordinate it with your will at home.

What if the heirs want to sell?

Many heirs decide to sell. To do so, the inheritance must be accepted and registered. On sale, the gain is calculated from the value declared in the inheritance, so declaring a correct value pays off. See selling a house in Mallorca, and while the house is still yours, remember the annual Modelo 210 if you’re non-resident.

If you don’t yet know what the inherited property is worth, you can request a free valuation, online or with a viewing. The online valuation is useful if any of the heirs live outside Spain.

How we can help

If you inherit a property in Portocolom or south-east Mallorca, we help you value it, review the paperwork and, if you decide to sell, handle the sale calmly and in your language. We work with local notaries, lawyers and gestorías used to inheritances with overseas heirs.

Frequently asked questions

Is there inheritance tax in Mallorca when inheriting from parents?

In practice, no: children, spouses and parents get 100% relief in the Balearics. But the return must be filed on time.

What is the deadline to declare an inheritance in the Balearics?

Six months from the death, extendable by another six if requested within the first five.

My parents were foreign non-residents. Does the Balearic relief apply?

Yes. Heirs can apply Balearic rules if most of the Spanish assets are in the Balearics. The return is filed with the Spanish Tax Agency.

Will I also pay tax in my home country?

Possibly – it depends on your country’s rules and whether there’s a treaty. Ask your tax adviser at home.

This article is for general information and is up to date as of October 2026. Every inheritance is different: check your case with a notary, lawyer or tax adviser.