Legal tip 1124. Expenses when selling property in Spain
Friday, March 14, 2014 @ 3:14 PM
- Income tax: 18% on the profit from the sale of your house ( difference between buying and selling price)
The day of deeds signing at the Notary you will receive all sale price less a 3%. This 3% will be paid directly by the buyer to the Spanish Treasure.
You will be required to pay the remaining amount of the 18% on the profit by request of the Treasure office.
If the 18% on the profit works out to be less than the 3% on the full amount, it is better to have your lawyer applying to to pay the 18% and then he can claim back the 3% already paid and just pay the lesser amount of 18%.
There is one month after deeds signing to make this application
- Plusvalia: Local tax on income. You can read on this in this article of our blog: What is plusvalia tax?
- Notary expenses ( less one copy of the same which is paid by the buyer)
- Energy Efficiency Certificate ( cannot avoid to recommend a brother of mine for this! ;)
Arcos de la Frontera, Cadiz, South of Spain, at facebook.com