The tax regulation facilitates this mechanism for heirs; all they have to do is request it from the bank.
Source: elEconomista.es

One of the essential steps to receiving an inheritance is the payment of the Inheritance Tax, which is a mandatory requirement for any of the heirs to make the transfer of the deceased’s assets to themselves effective.

Remembering this situation and acting accordingly is extremely important, especially in such delicate moments as those following the death of a loved one, who leaves us an inheritance that must then be managed correctly.

But what if, at the time of death and receiving the inheritance, we are not in a good financial position? The payment of the Inheritance Tax can become an inconvenience, but in those cases, taxpayers have an option that is not always known: paying the tax with the inheritance money itself without having to spend anything from our pocket.

This option appears to be covered and regulated in the Inheritance Tax Regulations. Article 80 explains that, in cases where the taxpayer requests it, banks may “sell securities deposited with them in the name of the deceased” of the inheritance.

Thus, the bank will issue “the corresponding checks in the name of the Public Treasury for the exact amount of the aforementioned settlements” using the balance the deceased might have in any account in their name.

In this way, the person receiving the inheritance can use it before actually receiving it… just to be able to receive it. The regulation allows advancing part of that inheritance to avoid a blow to their finances if they are short on money.

How to request the payment of the Inheritance Tax with the inheritance money

The Bank of Spain explains on its website that “to be able to dispose of the assets (of the inheritance), the entities will also require the heirs to provide the inheritance allocation and partition document and the justification of the payment of the inheritance tax,” but in cases where applicable, it will be possible to request the payment of the tax with that inheritance money.

“The regulation allows entities to authorize the use of funds from the deceased client’s own account for payment,” confirms the Bank of Spain, which only sets one requirement: that the heirs themselves request the bank to advance the money to pay the Inheritance Tax.

When that request takes place, the bank will take care of everything and, using the assets of the deceased’s estate, will issue “a check in the name of the Tax Agency exclusively for the payment of said tax.