Property Taxes for Owners in Marbella, Spain
WHAT ANNUAL TAXES DO YOU PAY WHEN YOU OWN A PROPERTY IN MARBELLA, SPAIN?
All these taxes and costs are paid yearly when you own a property in Marbella. Calculated based on the purchase price, the location of the property (municipality), and its size and cadastral value.
Taxes related to the owner of a property in Marbella.
Non-resident tax owning a property in Marbella
Only owners who are non-resident in Spain have to pay it. If resident, you don’t have to pay this tax. This tax has to be paid, no matter if you rent your property or you don’t. The fact of owning a property in Spain as a non-resident already implies that you need to pay it yearly. I’ve seen many clients who don’t pay it, sometimes because they haven’t even heard about it. The tax authorities don’t follow up on these tax payments, so you can be for quite a long time without paying it. What they do, is they review if you paid the non-resident tax or not, the day that you will be selling your property. So theoretically, you can leave it for later although that payment will also be increased with interests and other costs for not paying on time.
Wealth tax when you own a property.
- Only applied properties that are purchased above €700,000 per person.
- Only the net purchase amount is taken into account.
- The quantity depends if you are resident, non-resident or if it´s a company buying.
- Tax % varies from 0.2% to 2.5% depending on the total wealth.
You can also ask us to do a quick estimation for you by clicking here and filling in the basic details of your planned purchase.
Do you want to know how the tax authorities decide if you can be considered a fiscal resident or non-resident of Spain? What effect it might have on you?
Taxes and costs related with the property that you own in Marbella.
IBI (Impuesto sobre Bienes Inmuebles).
Which is the Municipal Spanish property tax, paid on a yearly basis, same as the other taxes. Usually, such tax varies from 1.000€ to 10.000€ but can be less or more, depending on the property. It depends on the cadastral value of the property and the municipality.
Garbage tax costs of your property in Marbella.
Tax on the garbage collection of the property, but it´s a very small figure, typically under 400€ a year.
Community fees of your property in Marbella
Usually, community fees vary from 200€ to 1.000€, with some exceptions. This is not a tax but a cost related directly to the property that you are obliged to pay. Failure in payment can result in even seizure of the property (after a long time). Villas and plots also tend to be part of a community. Rarely it is possible to find properties that are not part of any community yet and therefore have no such fees.
Other permanent costs of your home.
Electricity and water are paid monthly with a permanent contract. You have a minimum fixed amount to pay. Even if no consumption is done, even though the main part of the invoice is directly related to the consumption you do.
We hope you now have a better understanding of the taxes that you have to pay in Marbella after buying a property here.
Are you thinking about selling your property? Or maybe buying it? It’s never been easier to get in touch, just click here, and we will be delighted to assist you in the most professional manner.
Questions and answers:
Do I have to pay tax on my Spanish property?
Yes, no matter if you are a resident or non-resident of Spain. If you rent the property or don’t, the fact of ownership implies that you have to pay certain taxes to the Spanish Tax Authorities. They are a few, so we recommend reading this blog carefully.
Which tax is paid by the property owner?
There are several taxes to be paid as an owner of real estate in Spain. They are non-resident tax (for non-residents only), wealth tax, IBI, garbage tax, and some fixed costs. You can read the full details in this blog.
What taxes do I pay if I move to Spain?
If you decide to move permanently to Spain, you will be becoming a fiscal resident of Spain, as you will be spending over 183 days. Therefore, your worldwide income will be taxed according to Spanish taxation system. This varies from 19% to 47%, minus the taxes paid, if such, in the country where the income was produced. You can read more information about how you can be considered fiscal resident or non-resident of Spain and its effects on you in the following blog.
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