It is the most misunderstood tax on the sale of a home: the municipal surplus value (officially, IIVTNU). It is paid to the city council, not to the Treasury, and since its renovation it has a novelty that many owners are unaware of.: if you didn't make money from the sale, not paid. We explain how it is calculated, When is it paid and when is it not?.
What gravel exactly
Municipal capital gains taxes the increase in value from the ground (not from construction) from when you acquired the property until you transfer it, with a maximum of 20 countable years. Whoever sells pays it; there is only one relevant exception in the area: if the seller is non-resident, the buyer acts as a substitute and is responsible for payment, so in practice it is retained from the price.
The two ways to calculate it (and you can choose the smallest)
Objective method
Cadastral value of the land × coefficient according to the years you have been the owner (The coefficients are set by each municipality within the state maximums) × municipal tax rate (until the 30%).
Royal method
The actual profit from the operation (selling price minus purchase price, in the proportion that the land represents over the total cadastral value) × municipal type. Since the reform of 2021, you can choose the one that is cheaper. If you bought expensive a few years ago, the real method usually wins; If you bought decades ago, sometimes the goal wins.
When you do NOT pay
If you sell for a price equal to or lower than the purchase price (accredited with both deeds), there is no taxable event and nothing is paid — even if the city council sends you the settlement anyway: you have to declare it and prove the loss, don't ignore it. Contributions between spouses due to divorce are not taxed either., as a general rule well executed, condominium extinctions with proportional monetary compensation.
Deadlines: 30 business days
In sales, The deadline to declare or self-assess is 30 business days from signature (in inheritances, 6 months). Each town council has its procedure: in some self-liquidations you, in others you declare and they liquidate you. Missing the deadline generates surcharges, so this procedure is closed the same week as the notary.
How much does it usually cost in practice?
It brutally depends on the municipality and the years: Two sales identical in price can pay very different amounts in Torrevieja, Orihuela or Guardamar. That is why in every sale it is advisable to calculate the municipal capital gain. before to accept an offer: It is part of the net that you are going to take, along with the personal income tax of the profit, which we explain in our guide taxes for selling a home.
A Mayrasa, when we sell your house, we give you the complete calculation of the net: realistic sales price with market valuation, estimated municipal capital gain of your town hall and expected personal income tax. This is how you decide with the figure that really matters: the one you have left.
