German pension and living in Spain: where it is taxed and how it is declared

The general rule: it is taxed in Spain

Pensions, annuities and similar remuneration arising in Germany and paid to a resident of Spain may be taxed only in Spain, except for the public pensions covered by article 18.2 (article 17.1 of the Spain–Germany double taxation convention, in force since 18 October 2012).

The German statutory pension

Payments made under the German social insurance legislation may also be taxed in Germany where the event giving rise to the entitlement occurs from 31 December 2014. The German tax may not exceed 5% of the gross amount if that event occurs between 1 January 2015 and 31 December 2029, or 10% if it occurs from 1 January 2030 (article 17.2). The event occurs on the first date on which the beneficiary receives the payment (section VI of the Protocol): if you started receiving it before 31 December 2014, that pension is taxed only in Spain. The Protocol links the application of this rule to the exchange of information between the two countries on these pensions (section VIII), and the Spanish Tax Agency includes it in its leaflet on Germany.

The same applies to other payments received from 31 December 2014 that derive from contributions subsidised by Germany, such as certified pension contracts and the occupational pension schemes listed in the Protocol, where those contributions were not included in taxable employment income in Germany and were tax-deductible or otherwise subsidised, and were made for more than twelve years; it does not apply if the subsidy was repaid to Germany when the recipient emigrated (article 17.3 and section VII of the Protocol).

Public service pensions

Pensions paid by the German State, its federal states, political subdivisions or local authorities, or by another public-law body, either directly or out of funds created by them, for services rendered to them are taxable only in Germany, unless the pensioner is both resident in Spain and a Spanish national, in which case they are taxable only in Spain (article 18.2); anyone holding Spanish nationality is a Spanish national for this purpose (article 3.1.h). Those paid for services rendered in connection with a business carried on by those bodies follow article 17 (article 18.3). Where they are taxed only in Germany, Spain may take them into account when calculating the tax on the rest of your income (article 22.1.b).

How it is declared in Spain

Pensions from public social security schemes and other public retirement benefits are declared as employment income (article 17.2.a of the Spanish Personal Income Tax Act); for private pensions, the classification depends on the type of scheme and is checked against its documents. For what Germany may tax under the convention, the Spanish return applies the international double taxation credit, which may not exceed the part of the Spanish tax attributable to that income (article 22.1.a of the convention and article 80 of the Act). Because the German payer is not obliged to withhold Spanish tax, according to the Spanish Tax Agency’s leaflet, the employment income threshold that triggers the duty to file falls from 22,000 to 15,876 euros; a pension exempt in Spain is not taken into account for the duty to file, according to the Spanish Tax Agency’s leaflet, and anyone entitled to the international double taxation deduction must file in any case (article 96.2.a, 3.c and 4).

What we do

We check whether you are resident in Spain in the relevant year, which German pensions you receive, since when and who pays them. We declare them in your Spanish return with the credit due for what you paid in Germany and, if you arrive this year, we look at it together with your tax residence in the year you move. If Germany asks you to prove you live in Spain, we request the Spanish tax residence certificate.

Official sources

Convention between the Kingdom of Spain and the Federal Republic of Germany for the avoidance of double taxation, signed in Madrid on 3 February 2011, and its Protocol (Spanish Official Gazette of 30 July 2012, BOE-A-2012-10212; in force since 18 October 2012), articles 3.1.h, 17, 18 and 22 and sections VI, VII and VIII of the Protocol. Spanish Personal Income Tax Act (Law 35/2006), articles 17.2.a (in force since 6 February 2020), 80 and 96 (in force since 23 January 2025). Texts in the Spanish Official Gazette (BOE), consulted on 24 October 2026.

Spanish Tax Agency: leaflet “Residentes con rentas extranjeras: Alemania” (page updated on 8 April 2026, consulted on 24 October 2026).