Spain Vehicle Depreciation and Tax 2026

Understanding how vehicles depreciate and when ongoing costs exceed benefits helps you make smart decisions about when to sell. In Spain, specific factors like ITV frequency changes and environmental policies affect the depreciation curve. ITV.es and DGT.

This guide analyses vehicle depreciation and tax considerations for Spanish owners in 2026.

How Vehicles Depreciate in Spain

Typical Depreciation Curve

| Vehicle Age | Value (% of new) | Notes |

|------------|-----------------|-------|

| New | 100% | Purchase price |

| Year 1 | 75-80% | Steepest depreciation |

| Year 3 | 60-65% | Major depreciation complete |

| Year 5 | 50-55% | Significant loss |

| Year 8 | 35-40% | Below 50% threshold |

| Year 10 | 28-32% | ITV becomes annual |

| Year 15 | 15-20% | Low value, high costs |

| Year 20+ | 10-15% | Historic value possible |

Spain-Specific Factors

ITV frequency change:

  • Years 0-4: No ITV (new vehicles)
  • Years 4-10: Biennial ITV
  • Year 10+: Annual ITV

This creates a cost cliff at year 10.

Low emission zones:

  • Diesel vehicles depreciating faster
  • Petrol holds value better
  • Electric gaining value

Diesel premium collapse:

  • 5 years ago: diesel worth 10-15% more than petrol
  • Now: diesel worth 5-10% less than petrol
  • Affects long-term diesel ownership economics

The Cost Cliff at Year 10

ITV Cost Comparison

| Period | ITV Frequency | Annual ITV Cost |

|--------|--------------|----------------|

| Years 4-10 | Every 2 years | EUR 17-25/year |

| Year 10+ | Every year | EUR 35-50/year |

Annual ITV cost doubles at year 10.

Maintenance Cost Increase

Older vehicles require more maintenance:

| Vehicle Age | Annual Maintenance |

|------------|------------------|

| 0-5 years | EUR 150-300 |

| 5-10 years | EUR 300-500 |

| 10-15 years | EUR 500-800 |

| 15+ years | EUR 800-1,500 |

Decision Framework

Year 8-12 is typically optimal for selling:

  • Vehicle still has meaningful resale value
  • ITV costs about to increase
  • Maintenance costs rising
  • Newer vehicles have better fuel economy

Tax Considerations at Different Ages

New Vehicle (Years 0-4)

Costs:

  • Road tax: Full annual rate
  • ITV: None required
  • Depreciation: Highest rate

Tax situation:

  • Full road tax due each January
  • No ITV savings yet
  • Maximum depreciation expense

Mid-Life Vehicle (Years 4-10)

Costs:

  • Road tax: Full annual rate
  • ITV: EUR 35-50 every 2 years
  • Depreciation: Slowing

Tax situation:

  • Biennial ITV is manageable
  • Depreciation slowing
  • Road tax remains constant

Older Vehicle (Years 10+)

Costs:

  • Road tax: Full annual rate
  • ITV: EUR 35-50 every year
  • Maintenance: Significantly higher
  • Fuel efficiency: Lower

Tax situation:

  • Annual ITV doubles the inspection cost
  • Road tax unchanged (fiscal horsepower based)
  • Maintenance no longer deductible (vehicle fully depreciated)

Depreciation and Tax Deductions

For Self-Employed (Autonomos)

Vehicle depreciation is deductible:

Method:

  • Amortise vehicle value over useful life
  • Typically 8-10 years for a car
  • Straight-line depreciation

Example:

  • EUR 20,000 car / 8 years = EUR 2,500/year deduction
  • Combined with road tax deduction
  • Reduces taxable income

At year 10:

  • Vehicle fully depreciated
  • No more depreciation deduction
  • Road tax still deductible

For Companies

Company vehicles follow similar rules:

  • Depreciation over 8-10 years
  • Road tax fully deductible
  • Maintenance and fuel deductible
  • At full depreciation, only ongoing costs remain

When Diesel Depreciation Hurts Most

Current Diesel Market

Diesel cars in Spain face particular challenges:

Value loss acceleration:

  • 3-year-old diesel: down 45-50% from new
  • 5-year-old diesel: down 55-60%
  • Equivalent petrol: down 50-55% and 45-50%

Low emission zone impact:

  • Madrid ZBE restricts pre-Euro 6d diesel
  • Barcelona ZBE has similar restrictions
  • Future restrictions likely to expand

Decision Point for Diesel Owners

If you own a diesel car:

  • Consider selling before year 8
  • Value will fall faster after year 5
  • Low emission zones will reduce pool of buyers
  • Annual ITV may include stricter emissions tests

Optimal Selling Decision Calculator

Should You Sell?

Calculate your annual vehicle cost:

```

Annual Cost = ITV amortised + Expected Repairs + Fuel inefficiency

+ Insurance premium increase (age-based)

  • Expected resale value next year

```

Compare to replacement vehicle:

```

Replacement Annual Cost = Annual depreciation of replacement

+ Road tax + Insurance + ITV

  • Expected resale value in 1 year

```

If current car cost > replacement cost, consider selling.

Example Calculation

Your current car (10 years old, 1.6L petrol):

  • Annual ITV: EUR 45
  • Expected repairs: EUR 400
  • Insurance: EUR 380
  • Fuel inefficiency vs new: EUR 200
  • Resale next year: EUR 3,500 vs EUR 3,200 this year
  • Net annual cost: EUR 825

Replacement (5-year-old 1.6L):

  • Depreciation: EUR 1,500/year
  • Road tax: EUR 105
  • Insurance: EUR 350
  • ITV (in 2 years): EUR 22/year amortised
  • Resale next year: EUR 8,500 vs EUR 10,000 this year
  • Net annual cost: EUR 2,477

Decision: Keep current car (EUR 825 is lower than EUR 2,477)

Key Takeaways

1. Year 8-12 is the sweet spot for selling in Spain

2. Year 10 doubles ITV costs — factor into decision

3. Diesel depreciating faster — sell diesel cars earlier

4. Road tax is constant — based on fiscal horsepower, not age

5. Calculate net annual cost to compare keeping vs selling

6. Historic vehicles (25+) — value may increase, different analysis

7. Low emission zones reduce future resale of high-emission vehicles

8. Full depreciation means only road tax and ITV remain as fixed costs

The right time to sell depends on your specific vehicle, maintenance history, and replacement options. But year 8-12 is generally when the math tips toward replacement in Spain.

Official Resources: ITV.es - ITV Booking | DGT - Direccion General de Trafico