If you are an ex-pat with assets in the Baleares we have great news for you.
It now boasts the Lowest inheritance tax in Spain.
On the 18/7/2023 “The President of the Government, Margalida Prohens, announced:
Fiscal Reform Decree Law for the abolition of the inheritance and gift tax (ISD) between parents and children, grandparents and grandchildren, and between spouses, as well as a reduction of up to 50% between siblings and between uncles and nieces/nephews, in the Balearic Islands.
The Decree eliminates the payment of the inheritance and gift tax between parents and children, grandparents and grandchildren, and spouses.
In the case of inheritances between siblings or between uncles and nieces/nephews where the deceased person has no descendants, the reduction will be 50%, and in the case of having descendants, the reduction will be 25%. The reform applies both to inheritances due to death and to inheritances under the so-called succession agreements or life inheritances specific to the civil law of the Balearic Islands.”