Tax On Sale Of House Spain?

Tax On Sale Of House Spain
Capital Gains Tax – As is the case in most countries, Spain levies capital gains tax (CGT) on the profit made from the sale of assets including real estate. Its rate ranges from 19% for Spanish and EEA residents to 24% for non-EEA residents. Find out about buying and selling property in Spain.

Do you pay tax when you sell a property in Spain?

What tax do you pay if you sell a property in Spain? – When selling a property in Spain, Plusvalia Municipal and Capital Gains Tax are a tax that you’ll need to pay. This is usually a percentage of the sale ranging from 19-24%, or calculated by the local authority based on other criteria.

What tax is paid on selling a house?

What is capital gains tax and when do I pay it? – Capital gains tax (CGT) is payable when you sell an asset that has increased in value since you bought it. The rate varies based on a number of factors, such as your income and size of gain. Capital gains tax on residential property may be 18% or 28% of the gain (not the total sale price). For example:

  • The home includes a lot of land/additional buildings (5000 square metres or more)
  • You’ve sub-let part of it (but having one lodger doesn’t count)
  • Part of your home is exclusively business premises
  • You bought it just to make a gain (e. if you are a property developer)
  • You have another home that could be considered your main residence

Some of these points may be open to interpretation and dispute, so if you are in any doubt it is sensible to seek advice. An independent financial/ tax adviser can give you their unbiased view on whether your home will be exempt from CGT.