Does Spain tax worldwide income?

Does Spain indeed tax income earned globally? This query prompts an examination of the country's taxation policies towards its citizens' worldwide financial gains. Does it enforce a system where income sourced internationally is subject to taxation within its borders? Or does it adhere to a more territorial approach, only taxing income earned within Spain's geographical boundaries? Understanding this aspect is crucial for Spanish residents and expatriates alike, as it directly impacts their financial planning and tax obligations. Is it necessary to declare and pay taxes on foreign-sourced income, or are there exemptions or special considerations? This question delves into the complexities of Spain's tax system, seeking clarity on its global income taxation practices.