Spain is introducing higher Airbnb taxes as well as a 100% tax on non-EU buyers.

Congress has registered a BILL that will increase the tourist flat rental tax in Spain, which includes a 100% new levy for non-EU buyers of property.

The socialist PSOE party group on Thursday presented the first draft written of the package which includes the extensive housing reforms announced by the Prime Minister Pedro Sanchez in January.

The bill seeks to promote ‘measures that enable access to housing, since we are facing one of the largest problems our society is currently confronted with’.

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Earlier this year, Sanchez talked about ‘an excess of Airbnb and a lack of housing’.

Demand for housing continues to exceed supply, causing prices to continue rising.

Notaries in Alicante province reported that non-Spaniards made up 14% of all purchases during the first quarter 2025.

The bill focuses on consolidating housing into the fifth pillar, ensuring the right to decent, adequate housing, as well as reducing the number of speculators.

There are three main plans: build more new homes to make up for the shortage estimated to be as high as 450,000, limit foreign buyers and tourists, and provide increased aid to those who are most vulnerable.

The proposed measures include an increase in the VAT on rental of tourist flats to 21% as well as a controversial tax on property purchases at 100% for non EU nationals and non resident foreigners.

This initiative is meant to reduce the number of speculators who buy up property and comes after Spain abolished the Golden Visa earlier this year.

The tax would straight away double the final price but the bill will not affect entrepreneurs or professionals ‘exercising their economic activity’.

The income tax rate will be increased for those who leave empty properties.