⛰️ The Checklist for Residents in Foral Regions (Basque/Navarre)
If you live in the Basque Country or Navarre, you operate under the Foral Regime (Régimen Foral). This means you deal with a separate Tax Agency for almost all major taxes and your rates and deductions are set by local Foral Law, not the national AEAT.
If you’re unsure where to begin, check out our comprehensive tax obligation strategy. Taxes in Spain Guide 2026.
🔑 Phase 1: Identifying the Correct Tax Agency
Your first step is understanding who you file with, as the AEAT is rarely involved in your main filings.
| Task | Action Required / Focus | Implication |
| 1. Identify Your Tax Agency | Determine your specific Foral Tax Authority based on your location: | Navarre: Hacienda Foral de Navarra (HFN) |
| Basque Country: Hacienda Foral de Álava, Vizcaya, or Guipúzcoa (depending on the province). | ||
| 2. Use Foral E-Filing Tools | Register and obtain electronic access (Digital Certificate or Cl@ve) for your specific Foral Tax Agency’s website. | You will use their proprietary forms, deadlines, and calculation tools for IRPF, Wealth Tax, etc. |
| 3. IRPF Filing | File your annual Income Tax return (IRPF) directly with the HFN or your provincial Basque Hacienda. | You do NOT use the national AEAT Renta WEB service. The forms and deductions will be specific to Foral Law. |
| 4. AEAT Exception | Confirm which few taxes must still be filed with the AEAT. | The Modelo 720 (Foreign Asset Declaration) and Import/Export Duties are generally still filed with the national AEAT. |
💰 Phase 2: Understanding Tax Rate and Deduction Differences
Foral Regimes set their own rules, leading to significant variations in both tax burden and available benefits compared to the Common Regime.
| Area of Difference | Key Action / Check | Implication |
| IRPF Rates & Deductions | Review the IRPF Law specific to your Foral Community. | Rates and tax brackets are different. Basque and Navarrese Law often have unique family deductions or specific housing benefits that do not exist elsewhere in Spain. |
| Wealth Tax (I. Patrimonio) | Check the Foral Law for the tax-free allowance and progressive rates. | Exemptions are different. Navarre’s current allowance (around €550,000) is different from the national minimum (€700,000) and the $\mathbf{100\%}$ bonuses in Madrid/Andalusia. |
| Inheritance & Gift Tax | Verify the specific allowances and reductions in place in your Foral Community. | These regions are generally highly tax-efficient for close family transfers, but the precise rules (e.g., allowances, Aforamiento) are unique and locally regulated. |
| Corporate Tax (I. Sociedades) | If operating a business, confirm the Foral Corporate Tax rate. | The Foral Communities set their own rates, which are often slightly different from the national rate. |
⚖️ Phase 3: Administrative and Compliance Issues
Navigating the unique rules regarding residency and cross-border transactions is vital in the Foral Regimes.
| Task | Action Required / Focus | Implication |
| 1. Regional Residency Tie-Breaker | If you spend time in a Foral Community AND a Common Regime CC.AA. (e.g., Navarre and La Rioja), review the rules. | Spanish law has specific tie-breaker rules to determine which region has the right to tax you if you split your time between two different CC.AA. |
| 2. Self-Employment (Autónomo) | When registering as Autónomo in the Foral Regime, ensure correct registration with both the Foral Hacienda and the National Social Security (TGSS). | The Social Security contribution is still governed by national law, but your tax obligations (VAT/IVA, IRPF quarterly payments) are managed by the Foral Hacienda. |
| 3. Cross-Foral Compliance | If you live in one Basque province but work in another (e.g., live in Álava, work in Vizcaya), understand the rules of the Economic Concert that govern tax allocation. | This ensures your tax is paid and calculated by the correct provincial Hacienda. |
