For a non-resident individual selling Spanish property, the capital gain and the amount withheld by the buyer are different calculations. Prepare both before agreeing the final completion statement.
AEAT explains that the gain is generally the difference between the adjusted disposal and acquisition values. Relevant costs and qualifying improvements require evidence; routine repairs are not simply interchangeable with improvements. Previously rented properties can also require depreciation adjustments.
AEAT states that the buyer generally withholds 3% of the agreed consideration and pays it using Modelo 211. This is a payment on account, not a flat tax on your profit. Obtain the withholding documentation for the seller’s return; an excess may be refundable through the applicable procedure.
Prepare the original acquisition deed, purchase taxes and expenses, proposed sale deed, selling costs, invoices for works and rental history. Include ownership percentages, acquisition dates and details of any inheritance or gift. Ask for a calculation showing the treatment of each item rather than a single unexplained estimate.
Explain your tax residence and any reporting obligations in your home country. Ask whether a tax treaty or relief is relevant and which evidence you will need. Discuss municipal plusvalía separately, and obtain a calendar for the applicable Spanish filings.
Not necessarily. It is credited against the relevant liability; the final calculation and filing determine whether more tax is due or a refund can be claimed.
General information, not individual legal or tax advice. Ask a qualified adviser to confirm the position for your property and circumstances.
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