How Spanish income tax works
Spain's IRPF (Impuesto sobre la Renta de las Personas Físicas) is unusual in Europe: it is really two taxes added together — a state quota and a regional quota set by your autonomous community. Each community has its own scale: Madrid uses 5 brackets from 8.5% to 20.5% on its half, Catalonia uses 9 brackets up to 25.5%, and combined top marginal rates range from roughly 45% in Madrid to about 54% in Valencia. No single national figure is exactly right for everyone.
This calculator uses the baseline combined scale — the state scale plus a regional scale that mirrors it — which is the figure most national summaries quote: 19%, 24%, 30%, 37%, 45% and 47%. A common mistake is to present these as the "state rates"; the true state-only rates are half of each (9.5%, 12%, 15%, 18.5%, 22.5%, 24.5%). For a baseline estimate the combined scale is what matters.
Methodology
19% to €12,450 · 24% to €20,200 · 30% to €35,200 · 37% to €60,000 · 45% to €300,000 · 47% above.
Cuota íntegra = scale applied to full income.
Relief = scale applied to the mínimo personal (€5,550 / €6,700 / €8,100).
Net IRPF = cuota íntegra − relief (floored at €0).
The mínimo personal works differently from a UK-style allowance: instead of reducing taxable income, Spain computes the tax twice and subtracts the difference — mathematically equivalent to exempting that slice at your lowest marginal rates. There are additions for children and dependent relatives, which this calculator does not model. Savings income (interest, dividends, capital gains) is taxed under a separate scale (19%–30%) and is excluded here.
Worked example
€40,000 employment income, under 65, baseline scale:
- €12,450 × 19% = €2,365.50; €7,750 × 24% = €1,860.00; €15,000 × 30% = €4,500.00; €4,800 × 37% = €1,776.00
- Cuota íntegra = €10,501.50
- Mínimo relief: €5,550 × 19% = €1,054.50
- Net IRPF ≈ €9,447.00 — effective rate 23.6%
Frequently asked questions
Why might my region's tax differ from this result?
Because your comunidad autónoma sets its own half of the scale. Madrid's regional rates are lower (combined top ~45%); Catalonia, Andalucía, Galicia and Valencia revised theirs for 2026 and several reach ~50–54% at the top. The baseline here sits in the middle.
What is the mínimo personal?
The personal and family minimum — €5,550 a year for under-65s (€6,700 from 65, €8,100 from 75), plus amounts for children and dependent ascendants. It reduces your tax bill (via the double-calculation above) rather than your taxable income.
Are the 2026 rates confirmed?
The state scale is unchanged from 2025 (Art. 63, Ley 35/2006). Regional scales for 2026 were revised in several communities — if you live in Madrid, Catalonia, Andalucía, Galicia or Valencia, check your community's 2026 scale for a precise figure.
Does this include social security?
No. Spanish social-security contributions (cotizaciones) are separate and substantial — roughly 6.45% employee contribution on salary up to the cap. This calculator covers IRPF only.
What about savings and investment income?
Savings income uses a separate national scale: 19%, 21%, 23%, 27% and 30%. It is not included in this employment-income calculation.
I'm in the Canary Islands — anything different?
For income tax the IRPF works the same, but note the Canaries apply IGIC (7% general) instead of VAT on consumption — relevant to our VAT calculator, not to IRPF.
Figures verified for tax year 2026 (state scale unchanged from 2025) · Last reviewed September 2026 · Sources: Ley 35/2006 Art. 63 (state scale); expatica.com; countrytaxcalc.com; expertsforexpats.com (mínimo personal)