Paying road tax in Spain: easy with this information
Road tax in Spain (“impuesto de circulación”) is a mandatory tax for all motor vehicles (such as cars and motorcycles) to be allowed to drive on public roads in Spain.
Non-payment or late payment of this tax can have serious consequences.
That’s why I’m pointing out all the important details to bear in mind when paying car tax in Spain.
Here you can find a suitable car insurance policy for your vehicle:
Is there are road tax in Spain?
As mentioned above, road tax is a compulsory tax in Spain.
The road tax (“Impuesto sobre Vehículos de Tracción Mecánica” – IVTM for short) in Spain is a direct tax levied on the ownership of vehicles that are roadworthy on public roads, regardless of their class and category. Article 92, Real Decreto Legislativo 2/2004
A vehicle is considered roadworthy if it is registered in the corresponding public registers and as long as it has not been deregistered.
Which vehicles are not subject to tax?
Article 92, Real Decreto Legislativo 2/2004
The following are not subject to tax
- Vehicles that have been removed from the registers due to the age of their model, but which can be registered for driving by way of exception.
- Trailers and semi-trailers that are towed by motor vehicles and whose payload does not exceed 750 kg.
Which vehicles are exempt from road tax?
Article 93, Real Decreto Legislativo 2/2004
The following vehicles are exempt from road tax in Spain:
- Official vehicles of the State, autonomous communities and local authorities used for national defense or public safety.
- Vehicles belonging to diplomatic or consular missions
- Vehicles for which the provisions of international treaties or conventions stipulate a tax exemption.
- Ambulances and other vehicles directly intended for medical assistance or the transportation of injured or sick persons.
- Buses, minibuses and other vehicles intended for local public transport.
- Tractors, trailers, semi-trailers and machines with an agricultural inspection card.
- Vehicles for persons with reduced mobility and registered in the name of persons with disabilities (at least 33%) for their exclusive use.
In order to benefit from the latter exemption, the persons concerned must submit an application to the relevant local authority.
Who has to pay tax on cars?
The natural or legal persons in whose name the vehicle is registered on the registration certificate (“permiso de circulación”) are liable to pay the car tax. Article 94, Real Decreto Legislativo 2/2004
Here you can find a suitable car insurance policy for your vehicle. Personal advice in English
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Where do I have to pay the tax?
The management, liquidation, inspection and collection, as well as the revision of road tax in Spain is the responsibility of the local authority (municipality) where the vehicle is registered for tax purposes. Article 97, Real Decreto Legislativo 2/2004
How high is the road tax in Spain?
The amount of road tax in Spain varies greatly from municipality to municipality.
The tax amounts are based on various criteria, such as the class and engine power of the vehicle and pollutant emissions.
The town halls use the following table to calculate the vehicle tax, whereby they can increase the amounts by up to twice as much: Article 95, Real Decreto Legislativo 2/2004
Vehicles that produce less harmful emissions can receive tax benefits of up to 75%, depending on fuel type, engine characteristics and environmental compatibility.
There are also reductions of up to 100% for vehicles that are considered historic vehicles and are more than 25 years old. To qualify, the vehicle must be registered as historic with the relevant traffic authority in Spain.
When is road tax payable?
Article 96, Real Decreto Legislativo 2/2004
The tax period coincides with the calendar year, unless it is the first purchase of a vehicle.
In this case, the tax period begins on the day on which the purchase takes place.
The tax is due on the first day of the tax period (January 1).
However, the exact period in which road tax is to be paid in Spain is determined exclusively by the town hall in which the vehicle is registered.
How is the road tax to be paid?
The municipalities can levy/claim this tax on the basis of a self-assessment (“Autoliquidación”). Article 98, Real Decreto Legislativo 2/2004
In the respective tax ordinances, the municipalities determine the manner in which the tax must be demonstrably paid.
The main payment methods for road tax in Spain are as follows:
- Payment directly at the town hall
- Payment at the bank after receiving the notification or payment letter (“notificación or carta de pago”) from the municipality
- Payment by direct debit, so that the payment is automatically debited from the owner’s account each year
- Payment via internet or telephone
Conclusion
Road tax in Spain must be paid annually by every vehicle owner.
It is paid in the municipality (“ayuntamiento”) in which the vehicle has its tax residence. This should correspond to the municipality in which the vehicle owner is registered.
If you are the owner of a vehicle and have moved to another town hall, it is therefore important that you request a change of tax address for your vehicle so that it is registered in your new municipality.
The amount of tax may vary from municipality to municipality and each town hall may provide exemptions and reductions.
If you want to register or re-register your vehicle in Spain, you must first prove to the provincial traffic authority (“Jefatura Provincial de Tráfico”) that you have paid the road tax in Spain.
You can find out more about this in my specialist article Register a car in Spain: The ultimate guide!
