The princess, of the Bourbon-Parma Royal Family in Spain, passed away at the age of 86, after contracting the virus days earlier, Prince Sixtus Henry of Bourbon-Parma, announced.
She was born in Paris, France on July 28, 1933 to parents, Prince Xavier and Madeleine de Bourbon, who had a total of six children.
The royals are members of the House of Bourbon-Parma which is a cadet branch of the Spanish royal family, descended from the French Capetian dynasty.
A cadet branch is created when a young member of a Royal Family, who is not the current heir, is granted lands and titles of his own.
Members of the family once ruled as King of Etruria and as Duke of Parma and Piacenza, Guastalla, and Lucca until 1859, The Mirror reports.
Princess Maria Teresa is survived by four of her six siblings, Francoise, Cecilie, Marie des Neiges and Prince Sixte Enrique.
Maria Teresa, who never married or had children, was also survived by six nieces and nephews.
It comes as Spain registered a record number of coronavirus deaths in a single-day period with the army now being handed emergency powers to transfer bodies because undertakers are unable to cope.