Taxes and expenses when selling property in Spain
Latest articles about Taxes and expenses when selling property in Spain
Buying a house in Spain can be a both exciting and daunting for many reasons, especially for expats who are moving abroad and buying property in Spain for the first time. The process also varies between countries and is likely to be different in some or many ways compared to where you are from.
All non-residents who own property in Spain are obliged to pay Non-Residents' Income Tax (IRNR) once a year.
Unbeknownst to most non-residents, on buying property in Spain, you automatically become liable for a series of property-related taxes. No one will give you the heads up on them, so it is up to you to find out how much you owe and comply with the Spanish Tax Authorities.
When as a property owner you transmit your home, whether you sell it or donate it, you’ll naturally want to pay as little tax as possible and make the greatest profit you can.
Many people have doubts about the taxes they will have to pay when buying or selling a home in Spain. This article seeks to explain the resident and non-resident tax on the purchase and sale of property in a simple way, with the help of economist and tax advisor José Miguel Golpe Saavedra.
On selling property in Spain, you are liable for two taxes: plusvalía and capital gains tax (CGT). In this short article on Spanish tax, we will focus on four strategies to mitigate a seller’s exposure to CGT, which range from completely negating it to reducing it significantly.
When a taxpayer sells a home in Spain, they are obliged to pay the infamous municipal capital gains tax (called the plusvalía municipal in Spanish) unless they have incurred losses from the transfer.
Almost all transactions are taxed and it’s very difficult to escape tax control. However, there are occasions when you can be exempt from paying certain taxes.