How to Register Rental Property for VFT in Spain?
Where can I get VFT registration?
You can obtain and self-register VFT with the ‘JUNTA DE ANDALUCÍA’ online by visiting Consejería de Turismo y Deporteexternal link in Spanish
Link to the new law: Andalusia’s Holiday Rental Law.external link in Spanish
The official name is Decree 28/2016, of 2nd of February of Tourist Holiday Rentals (viviendas con fines turísticos).
What is a VFT number?
It is a legal registration number issued in Spain, by the Junta De Andalucía, to recognise that your property is legally compliant with the Andalucía Touristic Laws. This will allow you to rent your property on a short term basis to guests, for an agreed, exchanged fee.
What is a CTC number?
A CTC number is a TEMPORARY legal registration number issued in Spain, by the Junta De Andalucía, to recognise that your property is in the process to become legally compliant with the Andalucía Touristic Laws. This will allow you to rent your property on a short term basis to guests, for an agreed, exchanged fee – whilst your VFT Number registration is in process.
Why do I need VFT number?
To be able to rent, and to advertise your property for short term rentals, legally, and in compliance with the law changes relating to the Andalucian Touristic Laws.
Fines ARE being issued, up to €150,000 and property licences can be removed. Both Junta de Andalucía and Agencia Tributaria have delegated teams checking Utility Bills, IBI/Tax payments, newspapers, magazines and online portals such as Airbnb and Home and Away. Even rental/property management companies, and Real Estate agents are all being investigated. You are also liable for any accidents, falls, fire etc. As you will have not complied with the current Andalucían Touristic Laws.
When would I require a VFT number?
If you are renting your property on a short term basis, without a VFT number (or CTC number – a temporary number valid only for 1 month), you are breaking the law! You will require a VFT number as it is now illegal to rent or advertise your property on a short term basis, to paying guests. Without this number, fines up to €150,000 will be issued. If you continue to breach the law you could lose your short term rental property licence. You are also liable for any accidents, falls or any issues that arise in and around your property (Your property and liability insurance will be invalid without a valid VFT registration.)
What is classed as a short term rental?
If your property is located on land that is classed as residential, if you take bookings and payments from guests, and/or if you rent your property on a short term basis. A short term rental is classed as a period of time not less than 1 day – up to 2 (two) consecutive calendar months, for individual/different guests where a financial transaction has occurred. A SINGLE guest only may rent up to 2 (two) consecutive calendar months – Multiple guests do not permit cumulative rental periods.
How will the authorities know I am renting out my property in Spain?
The authorities have delegated teams checking utility bills, IBI/Tax payments, newspapers, magazines and online portals such as Airbnb and Home and Away. Even rental/property management companies, and real estate agents are all required to comply with data sharing with the authorities. You are also liable for any accidents, falls, fire etc. (Your insurance policy will be invalid) As you will have not complied with the current Andalucían Touristic Laws.
What can happen if I do not comply with the Andalucian Touristic Law?
You can end up losing your property licence and expect significant and potentially multiple fines ranging from €2.000 up to €150.000.
Which steps are needed to register my rental property for Spanish VFT?
- There are 3 areas of compliance to deal with. [JUNTA], [POLICE], [PROPERTY REQUIREMENTS].
- [JUNTA] Check you have all the documentation required for your property(s) VFT registration
- [JUNTA] Complete the Spanish registration form online
- [JUNTA] Download, print and present the application form at Junta de Andalucía together with all the documentation for the property. This form provides you with the temporary “CTC number”, valid only for 1 month from the point at which the Junta has acknowledged your application (not from the day you applied).
- [JUNTA] If your documentation is correct and accepted by the Junta, it is possible to be issued a valid VFT Number (which can take up to 8 weeks), However. You MUST also complete the Police and Property Requirements to be fully compliant with the law. Whilst it is theoretically possible to rent a property at this point, failure to complete the other areas of compliance will incur heavy fines and any VFT Numbers issued can be revoked.
- [POLICE] Once presented and registered, you have to make an appointment with the Police to set up the tourist registration process.
- [POLICE] They will issue you with digital credentials to give you secure access to the Police registration system which is a mandatory requirement for all guests. This is for the registration of guests once you begin to rent your property.
- [PROPERTY REQUIREMENTS] Ensure your property contains all of the items and meets all of the requirements stated by BOTH Andalucian Touristic Law, AND EU Law.
- [PROPERTY REQUIREMENTS] [JUNTA] At this point, make an appointment with the Junta for the inspector to visit your rental property.
- [PROPERTY REQUIREMENTS] [JUNTA] On completion of the inspection, if successful they will give you a valid inspection document corresponding with the VFT Number. If the inspection is not successful, they will issue a document detailing any and all areas that require attention (including invalid or missing documentation relating to ANY of the previous steps), and inform you any time restrictions that might apply. Again, whilst theoretically possible to rent the property, not having a valid inspection document does put you in breach of the Andalucian Touristic Law.
How long will it take to obtain my VFT number if I do it on my own?
Theoretically it should be possible to complete all the processes within 1 month. The reality however is very different given the volume of registrations being made, subsequently putting departments and officials under pressure. There are anecdotal reports of registrations taking significantly longer due to the complexity of the documentation.
Using a dedicated service like ourselves is significantly quicker due to us using the same experienced lawyer, the volume registrations we file and the relationships we have built in the process.
So whilst you can obtain the VFT registration between 1 to 3+ months IF all 3 sections are completed correctly and are compliant, it depends on the inspection schedules, and of course your schedule because you will be required to be physically present for all appointments, inspections and signing of documentation.
How long will it take to obtain my VFT number using your services?
Once we have the relevant documentation in full along with application (with original signature) and payment and we can obtain the temporary VFT registration number (CTC Number) in approximately 72 hours
Why the changes to the regulations and a new Decree?
- It was considered unfair competition by hotels
- Meeting Public Safety Laws
- Updating Government census data
- International border and fiscal reporting requirements
- Reduce tax evasion and avoidance
Which services does Short Term Rental Advisers provide?
- Short Term Rental Advisers are able to undertake any and all of the steps mentioned to ensure your Spanish short term rental property is legally compliant. We can also assist with related documentation and legal advice if needs be.