Change in Plusvalia (Municipal Property Tax) on the Costa Brava

Everything you have to know about the new Municipal Plusvalia

The change of the Municipal Plusvalia has revolutionized the real estate market. In recent weeks, a new Royal Decree-Law 26/2021 was released. This law modified the formula for calculating this tax and gave the taxpayer the possibility to choose the most beneficial one for him.

The new regulations came into force on November 10. Therefore, from now on, all transactions of sale, inheritance and donations will benefit from the new system.

Municipal Plusvalia (Property Tax) on the Costa Brava: two calculation methods

There are two alternatives for calculating the Municipal Property Gain Tax:

• The socalled objective formula: here the calculation takes into account the cadastral value of the land. This value will be multiplied by the coefficients set by the Town Councils and that will be updated each year.

• The real formula: here the calculation takes into account the difference of the sales value and the acquisition value.

The objective of this new calculation system is to guarantee that all those owners who sell with loss do not have to face the payment of this tax. Something that was not the case previously. Regardless of whether or not there were profits, it was mandatory to take charge of said tribute.

Do you want to sell your house on the Costa Brava and do not know how the new Municipal Plusvalia will affect you?

Contact our specialists, we will advise and accompany you in all phases of the process so that the sale of your property will be a success.