In an unusual yet legally permitted transaction, the most prominent noble family of the Canary Islands, the Condado de la Vega Grande de Guadalupe, settled part of its inheritance tax bill with works by Old Masters — thereby not only clearing its tax debt, but also making a significant cultural heritage accessible to the public.
Spain Press Editorial Team
by Marlon Gallego Bosbach
Unconventional Payment Method: Paintings Instead of Euros
In 2021, the family handed over twelve artworks from their private collection to the Government of the Canary Islands to settle the inheritance tax (Impuesto de Sucesiones) due following the death of the former family head. Among these pieces are:
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Two significant paintings by the Italian Baroque artist Luca Giordano (Neptuno and The Rape of Proserpina).
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Several works attributed to Bartolomé Esteban Murillo or his circle.
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Another work by Juan Carreño de Miranda.
The exact value of the collection has not been officially disclosed; however, art experts estimate it to be between 3.5 and 5 million euros.
These artworks had been in the family’s possession for centuries, hanging for generations in the family’s residence in Vegueta (Las Palmas de Gran Canaria).
Pago en Especie: How Tax-for-Art Exchanges Work in Spain
What may sound unusual at first is legally possible in Spain and is known as Pago en especie (payment in kind). This tax mechanism allows a debt to the tax authorities to be settled not with cash, but with culturally valuable assets—provided certain conditions are met:
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The taxpayer must voluntarily offer the payment in the form of a culturally significant asset.
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The assets in question must be part of Spain’s cultural heritage or the regional historical heritage and possess significant artistic, historical, or cultural value.
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The competent authority—at the national level, often the Agencia Estatal de Administración Tributaria in collaboration with the Ministry of Culture—reviews, assesses, and decides whether to accept the offer.
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This type of exchange is legally referred to as Dación en pago de bienes culturales and is recognised under Spanish tax law.
In short: If someone lacks sufficient liquid funds, they can occasionally settle their tax debt with a work of art—provided the cultural authorities accept its value and significance.
This procedure has existed in Spanish cultural heritage law since the mid-1980s and aims to secure valuable objects for the public, rather than allowing them to remain in private hands or potentially leave the country.
From the Noble Family’s Drawing Room to the Museum
After being acquired by the Government of the Canary Islands, part of the collection will be restored and made accessible to the public: the two paintings by Luca Giordano are set to be displayed in the new Museo de Bellas Artes de Gran Canaria (MUBEA), scheduled to open in 2026. The restoration is being funded with approximately €151,250 by the Spanish Ministry of Culture.
The decision to restore and publicly display these works is not only a gain for the Canary Islands’ art scene, but also a clear signal: cultural heritage is not being privatised, but made accessible to the public.
Influential Family with a Long History
The Del Castillo family, whose title Condado de la Vega Grande de Guadalupe dates back several centuries, has played a significant role in shaping the cultural and economic development of the Canary Islands. In addition to their art-historical significance, they were also active in the economic sector, particularly in tourism around Maspalomas and Playa del Inglés.
Why This Matters
The case exemplifies how tax law and cultural heritage can work together in Spain—offering tangible benefits on several levels:
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For the State:
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Acquisition of significant artworks for public ownership
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Strengthening cultural heritage without immediate large cash expenditures
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Preventing potential sale abroad or into private collections
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For Society:
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Preservation of historically and artistically valuable works
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Public accessibility instead of private custody
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Promotion of education, culture, and regional identity
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For Art Lovers and Tourists:
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New exhibits in public museums
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Enhancing the appeal of Gran Canaria as a cultural destination
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Additional incentives to explore Spanish Baroque art on-site
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In this way, a tax obligation is transformed into a lasting cultural benefit for the entire community.
A Model with Far-Reaching Significance for All of Spain
With Pago en especie, Spain has established a legally grounded bridge between taxation and cultural heritage, which can, in certain cases, serve as a means to secure inheritances and cultural treasures for the public. That this is now happening in the Canary Islands under a regional inheritance arrangement is more than an isolated case—it is an example of how cultural policy, tax law, and public interest can work hand in hand.
The now publicly accessible works demonstrate that financial obligations and cultural responsibility do not have to be mutually exclusive. On the contrary: in this case, a tax liability has been transformed into a cultural gain for society as a whole.
