What are inheritance tax rates in Galicia?

Galicia applies ISD at rates that start at 7.65% and rise progressively. Galicia offers some reductions for direct descendants and spouses but these are generally less generous than Madrid, Basque Country or Andalusia. The effective burden in Galicia is moderate compared to other Spanish regions. Consult a Galician tax adviser or gestoría for current exact rates and conditions.

Does Galicia have special ISD exemptions?

Galicia offers reductions for: direct descendants (Group II) with age-related variations, the principal family residence in certain circumstances, and business and agricultural assets. However, Galicia does not offer the near-zero rates available in Madrid or Andalusia for direct descendants. The reductions are meaningful but result in a moderate effective rate for many estates.

How does life insurance interact with Galicia ISD?

Life insurance proceeds are included in the ISD base in Galicia. Direct beneficiary nomination in the policy provides the most favourable treatment. For direct descendants, the available reductions will reduce the ISD liability but are unlikely to eliminate it entirely for significant life insurance amounts. Specialist tax advice is recommended for inheritance planning in Galicia.

Is Galicia more expensive for inheritance tax than other regions?

Galicia falls in the middle ground — less generous than Madrid, Basque Country and Andalusia for direct descendants, but generally more manageable than Catalonia. The exact comparison depends on the specific inheritance amounts, family structure and beneficiary residency. A tax specialist can model the exact figures for your situation.

Can non-residents inherit in Galicia at regional rates?

Non-residents inheriting assets in Galicia are subject to the national ISD scale rather than Galicia's regional rates and deductions. This can result in higher effective rates. If you are a non-resident beneficiary, specialist advice on the applicable rules and any available relief is essential.

Inheritance Tax in the Balearic Islands

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Important Notice
Turner Insurance does not provide inheritance tax advice or services. This information is provided as a rough guide only for educational purposes, accurate as of 2026. Regional tax rules change — always consult a qualified gestoría, abogado or tax adviser for advice specific to your situation.

Balearic Islands ISD — 100% Bonification for Direct Family

Since July 2023, the Islas Baleares (Mallorca, Menorca, Ibiza and Formentera) apply a 100% bonification on inheritance tax for Group I and Group II beneficiaries — descendants, spouses, registered partners and ascendants — with no upper limit. The effective rate for direct family is therefore zero. The Balearics are one of the most favourable Spanish regions in 2026 for direct-family inheritance.

ISD Groups in the Balearic Islands

Group I (direct descendants under 21): 100% bonification — no limit. Effective rate: 0%.
Group II (direct descendants 21+, spouse, registered partner, ascendants): 100% bonification — no limit. Effective rate: 0%.
Group III (siblings, uncles, aunts, nieces, nephews by blood): 50% bonification — but only when no Group I or II heirs exist.
In-laws and third-degree collaterals (sons/daughters-in-law, brothers/sisters-in-law, etc.): 25% bonification — also only when no Group I or II heirs exist.
Group IV (unrelated persons): Standard high rates apply with minimal reductions.

Donations (gifts during lifetime)

The 100% bonification extends to donations to Group I and Group II beneficiaries provided the donation is formalised in a notarised escritura pública. This makes the Balearics attractive for lifetime gifting of family assets — provided the formalities are observed. Modelo 651 must be filed within 30 days.

Pactos Sucesorios (Inheritance Pacts)

The Balearic Islands recognise pactos sucesorios — binding agreements between living people that transfer assets on the donor's death, but with the legal treatment of an inheritance rather than a donation. These have specific Balearic-civil-law nuances (Mallorca, Menorca, Ibiza and Formentera each have minor variations under their compilación de derecho civil). Pactos sucesorios are a powerful planning tool for Balearic residents but require specialist legal advice.

Key Reductions Available in the Balearic Islands

100% bonification on inheritance for Group I and Group II — no upper limit
State minimum personal reductions still apply (Group I €25,000 + age uplift; Group II €25,000; Group III €8,000)
Habitual residence reduction up to 100% (subject to limits and 5-year hold period)
Family business and agricultural assets reductions of up to 95%
Pactos sucesorios — Balearic-specific planning tool with inheritance-tax treatment

Life Insurance and Balearic Islands ISD

Life insurance proceeds form part of the ISD base in the Balearics, but with the unlimited 100% bonification for Group I and II beneficiaries, the effective tax on family life-insurance payouts is zero. Direct beneficiary nomination in the policy remains best practice. Consult a Balearic-licensed tax adviser for non-family beneficiaries or non-resident scenarios.

Life Insurance Planning: Life Insurance Spain · Whole Life Insurance
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Frequently Asked Questions — Inheritance Tax in the Balearic Islands

Since July 2023, the Balearic Islands apply a 100% bonification on inheritance tax for Group I and Group II beneficiaries (descendants, spouse, registered partner, ascendants) with no upper limit. The effective rate for direct family is zero. The bonification is fully in force in 2026 and unchanged in the 2026 budget. Always verify with a local Balearic gestoría or tax adviser.

Yes, partially. The Balearic Islands apply a 50% bonification to inheritance by siblings, uncles, aunts, nieces and nephews by blood (Group III) — but only when no Group I or II heirs exist. A 25% bonification applies to in-laws and third-degree collaterals under the same condition. Where Group I or II heirs are present, Group III bonifications do not apply.

A pacto sucesorio is a binding agreement between living people that transfers assets on the donor's death but is treated as an inheritance for ISD purposes (not as a donation). The Balearic Islands recognise pactos sucesorios under their compilación de derecho civil, with minor variations between Mallorca, Menorca, Ibiza and Formentera. Used correctly, they can transfer assets to children during the parent's lifetime at the favourable inheritance rate (currently 0% under the 100% bonification). Specialist Balearic-law advice is essential.

Yes. The 100% bonification extends to donations to Group I and Group II beneficiaries provided the donation is formalised in a notarised escritura pública with Modelo 651 filed within 30 days. The donor must also be able to document the source of funds. For donations outside Group I and II the standard scale applies.

Life insurance proceeds count toward the ISD base in the Balearics, but with the unlimited 100% bonification for Group I and II beneficiaries the effective tax on family life-insurance payouts is zero. Direct beneficiary nomination in the policy keeps proceeds out of the wider estate calculation. For non-family beneficiaries the standard scale applies — specialist tax advice is recommended.

EU/EEA non-resident beneficiaries can elect to apply the regional rules of the deceased's habitual residence under EU law. Non-EU non-residents historically were taxed under the less favourable national scale, although recent Spanish reforms have extended regional access in many cases. The position is technical — always seek specialist advice if the beneficiary is non-resident.

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