The functionalization of silica-coated Fe3O4 magnetic nanoparticles (Fe3O4@SiO2) using chlorosulfonic acid were afforded sulfonic acid-functionalized magnetic Fe3O4 nanoparticles (Fe3O4@SiO2–SO3H) that can be applied as an organic–inorganic hybrid heterogeneous catalyst. The used Fe3O4 magnetic nanoparticles are 18–30 nm sized that was rapidly functionalized and can be used as catalyst in organic synthesis. The prepared nanoparticles were characterized by X-ray diffraction analysis, magnetization curve, scanning electron microscope, dynamic laser scattering, and FT-IR measurements. The resulting immobilized catalysts have been successfully used in the synthesis of 1,8‐dioxo-octahydroxanthene derivatives under solvent free condition. This procedure has many advantages such as; a much milder method, a shorter reaction time, a wide range of functional group tolerance, and absence of any tedious workup or purification. Other remarkable features include the catalyst can be reused at least five times without any obvious change in its catalytic activity. This procedure also avoids hazardous reagents/solvents, and thus can be an eco-friendly alternative to the existing methods.Graphical A highly efficient nano-Fe3O4 encapsulated-silica particles bearing sulfonic acid groups as a solid acid catalyst for synthesis of 1,8-dioxo-octahydroxanthene derivatives Electronic supplementary materialThe online version of this article (doi:10.1007/s11051-013-2026-2) contains supplementary material, which is available to authorized users.