Post by account_disabled on Feb 12, 2024 3:30:04 GMT -5
When you make the decision to buy a property, you are not only faced with paperwork and documentation. You also have to consider how much taxes you pay when buying a home, since it will impact the final purchase outlay. These are the taxes on the sale of housing in the Valencian Community that you cannot lose sight of. What taxes are paid when buying a house? The purchase and sale transaction is subject to a series of taxes that are unavoidable: VAT and the Property Transfer Tax (ITP) and Documented Legal Acts (AJD) . These taxes are not fixed and vary depending on different factors. One is if the purchase is made through a mortgage. In addition, taxes will be different if the property is new or second-hand and are different in each autonomous community .How much VAT do you pay when buying a home? New homes are subject to VAT payment . VAT is a tax that remains the same throughout the country: 10% in general and the super-reduced 4% in cases such as the purchase of a subsidized home. AJD Tax: Documented legal acts The buyer of a new home not only has to pay VAT, but also the Documented Legal Acts . This type of tax is also known as mortgage tax and is applied to notarial, commercial and administrative documents of both the purchase and sale contract and the mortgage.
The calculation is made on the deed made before a notary and there are two installments: AJD fixed installment and AJD variable installment. The AJD fixed fee applies to the stamped paper on which notarial documents are made and is 0.30 euros per sheet and 0.15 euros per sheet. This value is the same for all of Spain. The AJD variable fee varies between communities. In the Valencian Community the tax is 1.5% . The tax is 2% for mortgage UK Telemarketing Data loans for which the taxpayer is the lender and the VAT exemption has been waived in accordance with the provisions of article 20.Two, of Law 37/1992, of December 28. , Value Added Tax. The reduced AJD is 0.1% in the Valencian Community and applies to the property that will be the habitual residence and mortgage loans for the habitual residence of large families and people with a degree of physical disability of 65% or mental disability of 33%. Second-hand homes only pay the fixed AJD fee because, obviously, there is a public contract before a notary between the buying party and the seller. If the purchase of the second-hand home is made through a mortgage, the contract is also subject to the variable AJD.
When is the ITP paid when buying a home? Now, if the property is second-hand , then the buyer must pay the Property Transfer Tax, ITP . Property transfer tax in the Valencian Community Unlike VAT, the ITP varies in the different autonomous communities. In the case of the Community of Valencia , the Generalita Valenciana makes several ways available to interested parties to request and formalize the payment of the tax. First of all, you must download and fill out form 600 . Once this document is obtained, payment can be made either in cash or by card at any of the branches collaborating with the community entity. The general tax rate in the Community of Valencia is 10% and the reduced rate is 8% . This reduction applies in cases of official housing purchases and for buyers under 35 years of age who are businessmen or professionals, or for commercial companies wholly owned directly by young people under 35 years of age. The reduced tax of 4% is intended for those cases in which the buyer is a member of a large family whose taxable income tax savings base for the taxpayer and those who live in the home does not exceed 45,000 euros.
The calculation is made on the deed made before a notary and there are two installments: AJD fixed installment and AJD variable installment. The AJD fixed fee applies to the stamped paper on which notarial documents are made and is 0.30 euros per sheet and 0.15 euros per sheet. This value is the same for all of Spain. The AJD variable fee varies between communities. In the Valencian Community the tax is 1.5% . The tax is 2% for mortgage UK Telemarketing Data loans for which the taxpayer is the lender and the VAT exemption has been waived in accordance with the provisions of article 20.Two, of Law 37/1992, of December 28. , Value Added Tax. The reduced AJD is 0.1% in the Valencian Community and applies to the property that will be the habitual residence and mortgage loans for the habitual residence of large families and people with a degree of physical disability of 65% or mental disability of 33%. Second-hand homes only pay the fixed AJD fee because, obviously, there is a public contract before a notary between the buying party and the seller. If the purchase of the second-hand home is made through a mortgage, the contract is also subject to the variable AJD.
When is the ITP paid when buying a home? Now, if the property is second-hand , then the buyer must pay the Property Transfer Tax, ITP . Property transfer tax in the Valencian Community Unlike VAT, the ITP varies in the different autonomous communities. In the case of the Community of Valencia , the Generalita Valenciana makes several ways available to interested parties to request and formalize the payment of the tax. First of all, you must download and fill out form 600 . Once this document is obtained, payment can be made either in cash or by card at any of the branches collaborating with the community entity. The general tax rate in the Community of Valencia is 10% and the reduced rate is 8% . This reduction applies in cases of official housing purchases and for buyers under 35 years of age who are businessmen or professionals, or for commercial companies wholly owned directly by young people under 35 years of age. The reduced tax of 4% is intended for those cases in which the buyer is a member of a large family whose taxable income tax savings base for the taxpayer and those who live in the home does not exceed 45,000 euros.