Witholding Tax ( only for Non Residents)
This tax only applies to non resident sellers. The purchaser is obliged to retain a 3% from the sales price and pay it to the Spanish Treasury on account of your probable tax liability. The seller or the legal representative will be able to claim this amount back by submitting a form to the Spanish Tax Office.
In order to be able to get a refund of the non resident tax the seller must be up to date with all the payments.
This is a municipal tax payable to the Townhall. It is calculated on the basis of the increase in value of the land on which the property is located, as well as the percentage of mutual share and the years that have passed since the last conveyance.
In general, these come to 1% of the sale price, plus the current VAT. The lawyer’s professional fees are an expense that can be deducted when the Capital Gain Tax is calculated.
Estate agents’ fees
These are usually a 5% of the sale price, plus the current VAT. The estate agent’s commission is paid when the sale is completed. This cost can also be deducted when calculating the Capital Gain Tax.
Capital Gain Tax
The profit obtained through the sale of a property is classified as taxable income. The actual rate is 19% for residents in any of the countries of the European Union, Norway and Iceland. For residents in other countries which are not located within the EU the rate is 24%.
Energy performance certificate
Due to the European directives on energy and environmental issues, when owners sell their property they must provide the buyers with the property’s energy certificate, which must be released by a qualified technician.
If you need more information on the above please feel free to contact us and we will answer all your queries.