Plusvalía municipal (municipal capital gains tax)
The town hall's tax on the increase in land value when you sell, inherit or donate a property. It is calculated in two ways and you pay the lower amount.
Published in your town hall's tax bylaw (for example, 0.15). It changes often by law.
Set by each town hall; the legal maximum is 30%.
Payable (the lower)€1,350
- Objective methodCadastral land value × coefficient × rate
- €1,350
- Real methodGain × (land / cadastral value) × rate
- €5,625
Indicative calculation. The official assessment is issued by the town hall and may include its own reliefs or rules.
How it is calculated
- Objective method: the cadastral value of the land is multiplied by a coefficient based on how many years you owned the property, and the town hall's rate is applied.
- Real method: the actual gain (sale minus purchase) is multiplied by the share of the land in the cadastral value, and the same rate is applied.
- You can choose whichever method is cheaper. If there is no gain, nothing is payable.
- Who pays: in a sale, the seller; in an inheritance, the heirs (within six months).
Coefficients, rate and deadlines: check your town hall's tax bylaw.