Selling a house in Spain if you are a foreigner
As we have said above, if you want to buy or sell a house on the Costa Blanca, it is essential to have an Alicante lawyer who can help you with the whole process. This way you will make sure that everything is legal and you will not have to worry about breaking any rules.
In case you are not a buyer, but a person who wants to sell your home on the Costa Blanca you must follow some steps that vary depending on whether you are resident in Spain or not. It is considered that you are resident if you live more than 183 days a year here, as we have already mentioned.
Therefore, if the seller is resident in Spain, he must comply with the Taxation in the IRPF:
In Spain, if you have obtained profits by the sale of some property you must declare it in the declaration of the rent of the following year. That is, if you have sold a flat in 2016, you must declare it in 2017.
How much is this?
Residents in the country are taxed up to the first 6,000 € of goodwill to 21%. Up to 24,000 € are taxed at 25% and the rest at 27%, if you cannot offset it with other equity decreases from other operations.
The amount of the benefit is quantified by the difference between the transfer values. That is the sale value less the expenses and taxes and the acquisition value of the house, which is the purchase price plus selling expenses, which are taxes, Notary fees, etc.
You must also pay for the Tax on the Increase of the Value of Urban Land. In addition to a tax to the town hall of the locality of the Costa Blanca where the property is located. This tax is called tax on the increase of the value of the lands of urban nature.
In order to do all this you must present some documentation to the city council, in addition to making the Declaration of Income.
All this can seem very complicated is why we insist that you go to a professional who can help you at all times.
If the seller is Non-resident in Spain, he must pay the Non Resident Income Tax:
In the case of the capital gains are derived from the transfer of real estate located in Spanish territory, to determine the taxable base, the rules established in the IPRF Law will also apply but with some exceptions.
Normally, this amount is calculated by the difference between the transfer value and the acquisition value of the property in question. It applies a percentage of 21% on the base amount to these benefits by the sale of a dwelling.
As in this case the seller of the house does not reside in Spain and therefore he does not make the Declaration of Incomes in that country, the buyer must pay 3% of the cost of the sale. This is a tax corresponding to the surplus value of the house that Hacienda asks the buyer because it cannot guarantee that the seller will pay.