This Tax is often confused with the Plusvalia Tax but they are different. The main difference is that Pluvalia is a Local Tax and CGT is a State Tax .
If a non-resident citizen sells a property in Spain at a profit it will be taxed at 19% (for EU residents).
That’s why when a non-resident citizen sells a property, the 3% of the value of the property is retained, to pay (among other taxes) the Capital Gains Tax that could be generated.
How do I know if I have to pay Capital Gains Tax?
Citizens that sell their property can find out if they have to pay CGT by calculating the price of the final sale minus the price they originally bought it for.
To calculate both prices, purchase price and sale price, we should add or minus all the expenses possible: Legal Advise, Notary, IVA / ITP, Land Registry or State Agent for example.
Where must the CGT be paid?
Even if you are not a Tax Resident in Spain, the CGT, according to the ‘Real Decreto Legislativo 5/2004, de 5 de marzo‘, must be paid where the property is located.
When must the CGT be paid?
The Capital Gains Tax is accrued once the property is transferred and the Tax Form 210 should be submitted within the next 4 months.
I suggest you contact a Non Resident experienced Lawyer or Accountant to avoid any future fines. The Tax Authorities (Hacienda) can withhold your assets in any country if you do not pay your taxes in Spain.