GOOD NEWS FOR THOSE WHO WANT TO BUY A PROPERTY IN ANDALUSIA
With the publication of Andalusian Law 5/2021, on Ceded Taxes to the Autonomous Community of Andalusia, the tax boost that the regional government implemented as a measure in response to the serious economic crisis caused by the COVID-19 are now consolidated.
What at first appeared to be a temporary opportunity to buy a second transfer property but only until 31 December 2021, has finally become the general rule, so that all citizens who may want to purchase homes or any other type of property in Andalusia will pay a general Transfer Tax of 7%, instead of the previous (to COVID19) tax scale that ranged between 8 and 10%. This 12.5% tax cut is intended to encourage small buyers and investors to purchase properties in our region.
Likewise, we must also remark the reduction of the variable quota of the modality of Stamp Duty Tax which, as with the modality of transfer tax, also confirms its reduction to 1.2% instead of the previous 1.5%.
These measures represent a tax relief for those who wish to purchase a property in Andalusia, either to live permanently or to enjoy a holiday.
Obviously, this also applies to those who are willing to invest purchasing other properties such as commercial or industrial venues, offices, pieces of land, and alike. In addition, the new law provides for other tax benefits for more specific cases. The Tax Department of KONSELL LAWYERS & ADVISORS will be able to advise you on everything to make your taxation as efficient as possible and you can take advantage of all the opportunities offered by the new regulations.