Starting next December 1, the tax benefits that the owners of tourist apartments could benefit from will change. The entry into force of the tax measures provided for by Decree-Law 29/2026 represents the beginning of the obligation of tenants to homes for temporary and vacation use to pay VATa tax from which, until now, they were exempt from paying. A measure that coincides with the entry into force of the new penalties in the reduction of personal income tax for those who increase the rental price for their tenants.
Royal Decree-Law 29/2026, of October 6, which was approved and published in the Official State Gazette to adopt urgent measures to protect tenants, introduced new modifications to the Urban Leases Law. However, given the growing number of homes intended for vacation rentals, which limited the supply of rental contracts for residential use, they were included. new obligations for owners of tourist and temporary apartments.
In this sense, and as confirmed by the Tax Agency on its website, those who rent furnished apartments or homes for stays of no more than 30 nights and whose purpose is not to regularly accommodate the tenant, will be deprived of the exemption from paying VAT. Specifically, they must settle a reduced rate of 10%except for one specific case.
Owners of tourist apartments must pay 10% VAT
To understand this measure, it is necessary to understand what the Treasury understands by a tourist or temporary rental apartment. According to the provisions of the Decree-Law, this measure will affect those who rent a home for a period of less than 30 nights and whose tenant already has a habitual residence different from said property. Until now, these cases were exempt from paying VAT, as long as they did not provide services typical of the hospitality industry.
However, as of December 1 and with the entry into force of the new tax obligations provided in the Decree-Law, These owners must pay 10% VATas long as the rental is less than the stipulated 30 nights. Regardless of whether the contract previously appears as a seasonal rental, whether it appears on some of the best-known portals such as ‘Airbnb’ or ‘Booking’ or whether the owner is a natural person or individual.
This percentage will be applied to the price for which the home is rented and which appears in the contract. Therefore, There are two ways to face this payment. In this sense, if the tenant decides to rent the property for a period of 15 days for an amount of 1,000 euros, 100 euros must be included in the price, which will be paid by the tenant himself; or maintain the price at 1,000 euros, of which 90.91 euros will go to the tax settlement.
Other obligations to manage seasonal rentals
This tax obligation will not affect those who rent their home for a period of more than 30 nights and hotel services are not offered or it becomes the tenant’s habitual residence. However, it is important that owners who are thinking about converting one of their homes into a tourist apartment take into account the reform of the Horizontal Property Law which came into force last April 2025.
In this reform, the right of the neighborhood communities to decide whether or not to install a tourist or seasonal apartment in their building was defined. Specifically, before starting your leasing activity, The tenant must have the express approval of the rest of the owners. To do this, the issue must be put to a vote and obtain the favorable vote of three-fifths of the total. Likewise, this percentage must represent three-fifths of the participation fees.
On the other hand, the community may not only admit or not the presence of a seasonal apartment in the building, but may also establish a special fee or an increase in the participation in common expenses. This increase may reach up to 20%. A measure that shares the same objective as the tax obligations provided in Decree-Law 29/2026: to facilitate the search for regular rental homes in large cities.