Transfer Tax Spain (ITP) Rates, Calculation and How to Pay
By Property-Lawyers.comUpdated May 2026⏱ 8 min read✔ Reviewed by qualified Spanish lawyers
Transfer Tax (ITP) is one of the largest costs when buying a resale property in Spain — ranging from 6% to 13% depending on the region. Understanding which rate applies, how the Valor de Referencia rule can increase your bill, and how to pay correctly within 30 days is essential before you make any offer.
Who is this guide for? Foreign nationals buying resale residential property anywhere in Spain in 2026. New build buyers pay VAT (IVA) at 10% instead — see our complete property tax guide for both scenarios.
ITP stands for Impuesto sobre Transmisiones Patrimoniales — Spain’s Property Transfer Tax. It is a regional tax levied on the transfer of ownership of a resale property from seller to buyer.
ITP is administered and collected by each of Spain’s 17 autonomous communities independently. The rate you pay depends entirely on where in Spain the property is located — not where you live or where you are from.
Applies to resale (second-hand) properties only
Paid exclusively by the buyer
Rate set by the autonomous community where the property is located
Calculated on the purchase price or Valor de Referencia, whichever is higher
Must be paid within 30 calendar days of signing the title deed
Filed via Modelo 600 with the regional tax authority
Who Pays Transfer Tax — Buyer or Seller?
ITP is always paid by the buyer. This is a statutory obligation under Spanish law and cannot be transferred to the seller through contractual agreements — any such clause is legally void.
The obligation arises at the moment the property ownership is formally transferred at the notary. From that date, the 30-day countdown begins for payment and declaration to the regional tax authority.
⚠️
Buyer responsibility: As the buyer, you are personally liable for ITP payment even if your lawyer fails to submit it on time. Always request proof of submission (justificante de pago) and keep copies of Modelo 600 for your records.
ITP vs VAT — Which Applies to Your Purchase?
ITP and VAT (IVA) are mutually exclusive — you will never pay both on the same residential transaction.
Property Type
Tax Applied
Rate
Additional
Resale / second-hand property
ITP
6–13% by region
No VAT, no AJD
New build from developer
IVA (VAT)
10%
+ AJD 0.5–1.5%
Protected housing (VPO) new build
IVA (VAT)
4%
+ AJD reduced rate
Commercial plot from developer
IVA (VAT)
21%
+ AJD 0.5–1.5%
The Valor de Referencia Rule (2022)
Since January 2022, the Spanish tax authority uses an administrative Valor de Referencia — an official Reference Value for each property based on recent local sales data — as the minimum taxable base for ITP.
This means:
Purchase price higher than Valor de Referencia → ITP calculated on purchase price
Purchase price lower than Valor de Referencia → ITP calculated on the higher Valor de Referencia
⚠️
Practical impact: On distressed sales, foreclosures, or properties purchased below market value, buyers can end up paying ITP on more than they actually paid. Your lawyer must check the Valor de Referencia before you make any offer — this is non-negotiable due diligence.
💡
How to check: The Valor de Referencia is publicly searchable at the Spanish Catastro website using the property’s cadastral reference number. Your lawyer obtains this as part of due diligence.
ITP Rates by Autonomous Community (2026)
Rates are set by each autonomous community and can change with regional budgets. The figures below reflect the current rates as of May 2026 for the regions most popular with foreign buyers.
Autonomous Community
Standard ITP Rate
Notes
Madrid
6%
Flat rate — lowest in Spain
Canary Islands
6.5%
Flat rate
Andalusia
7%
8% over €400,000 · 9% over €700,000
Murcia
8%
10% over €400,000
Castilla-La Mancha
9%
Flat rate
Valencia
10%
11% over €500,000
Catalonia
10%
11% over €1,000,000
Galicia
10%
Flat rate
Balearic Islands
8–13%
Tiered: 8% up to €600k · 11% €600k–€1m · 13% over €1m
Asturias
8–10%
Tiered by property value
Extremadura
8–11%
Tiered by property value
💡
Reduced rates: Most regions offer reduced ITP rates for first-time buyers under 35, large families (3+ children), buyers with disabilities, and purchases of officially protected housing (VPO). Ask your lawyer whether any reduction applies to your situation.
Transfer Tax Calculation Examples
These examples show how ITP is calculated in practice, including the Valor de Referencia rule where applicable.
Location
Purchase Price
Valor de Referencia
Tax Base
ITP Rate
ITP Payable
Madrid
€300,000
€285,000
€300,000
6%
€18,000
Andalusia
€500,000
€495,000
€500,000
8% (over €400k)
€40,000
Valencia
€250,000
€265,000
€265,000
10%
€26,500
Balearic Islands
€750,000
€780,000
€780,000
8% + 11% tiered
€67,800
Barcelona
€450,000
€430,000
€450,000
10%
€45,000
ℹ️
Balearic Islands calculation detail: For the €780,000 tax base — 8% on first €600,000 = €48,000 · 11% on remaining €180,000 = €19,800 · Total: €67,800. The effective rate is 8.7%.
Not sure what ITP you’ll pay on your property?
A vetted English-speaking property lawyer will calculate your exact ITP liability before you commit to any offer — in Mallorca, Marbella, Barcelona and beyond.
Transfer tax is paid by completing and submitting Modelo 600 — the official tax declaration form for property transfers — to the tax office (Consejería de Hacienda) of the autonomous community where the property is located.
Step 1
Obtain the signed escritura
The 30-day countdown begins from the date the title deed is signed at the notary. Your lawyer starts the Modelo 600 process immediately after completion.
Step 2
Complete Modelo 600
The form requires buyer and seller details, property description, cadastral reference, purchase price, Valor de Referencia, and calculated ITP amount. Each autonomous community uses a slightly different version of the form.
Step 3
Submit and pay
Most regional tax offices require online submission through their portal. Payment is made via bank transfer or at designated bank branches. Your lawyer coordinates payment from the client account.
Step 4
Obtain stamped receipt
The tax office issues a stamped copy (copia sellada) confirming payment. This document is essential — the Land Registry will not register the property in your name without it.
Step 5
Land Registry registration
Your lawyer submits the stamped Modelo 600 to the Land Registry along with the escritura, completing the registration of the property in your name.
30-Day Deadline and Late Payment Penalties
Spanish law mandates that transfer tax must be declared and paid within 30 calendar days from the date of signing the escritura. Missing this deadline triggers automatic penalties.
Delay After Deadline
Surcharge
Additional Interest
Up to 3 months
5%
No
3–6 months
10%
Yes
6–12 months
15%
Yes
Over 12 months
20%
Yes + potential fines
⚠️
Registration blocked: Late payment also delays Land Registry registration, leaving the buyer without full legal title until the tax debt is cleared. This can complicate mortgage arrangements, utility contracts, and any future sale of the property.
Why Your Property Lawyer Handles ITP Payment
While technically possible for buyers to complete and submit Modelo 600 themselves, the overwhelming majority of foreign buyers instruct their lawyer to handle this. There are several practical and legal reasons:
Modelo 600 must be completed in Spanish with precise legal and cadastral terminology
Each autonomous community uses slightly different versions of the form and submission procedures
Some regions require digital certificates for online filing — your lawyer already has these
Payment is coordinated from the lawyer’s client account, ensuring the 30-day deadline is met
The stamped receipt is filed with the Land Registry as part of the registration process
Errors in property description or tax calculation can cause rejection or trigger inspections
💡
Cost: Include ITP declaration and payment in your lawyer’s scope of work. Expect to pay €150–€300 for this service — which eliminates the risk of missed deadlines, errors, or penalties worth thousands of euros.
Need a lawyer to handle your ITP and conveyancing?
Find a vetted English-speaking property lawyer who covers ITP calculation, Modelo 600 filing and full conveyancing in your area of Spain.
Transfer Tax (Impuesto sobre Transmisiones Patrimoniales or ITP) is a regional tax paid by the buyer when purchasing a resale property in Spain. It replaces VAT, which only applies to new builds. Rates range from 6% to 13% depending on the autonomous community where the property is located.
Rates vary by region: Madrid 6%, Canary Islands 6.5%, Andalusia 7% (rising to 8–9% for higher values), Valencia and Catalonia 10%, and the Balearic Islands 8–13% on a tiered scale. Always check the current rate for the specific autonomous community before budgeting.
The buyer always pays ITP. This is a statutory obligation that cannot be transferred to the seller — any contract clause attempting to do so is legally void. The tax must be paid within 30 calendar days of signing the purchase deed at the notary.
Since 2022, ITP must be calculated on whichever is higher: the actual purchase price or the official Valor de Referencia (cadastral reference value). If you purchase a property below the Valor de Referencia, ITP is still calculated on the higher administrative value. Your lawyer checks this before you make any offer.
Transfer tax is paid by filing Modelo 600 with the tax office of the autonomous community where the property is located. The deadline is 30 calendar days from the notary signing. Your property lawyer handles this process — completing the form, coordinating payment from client funds, and obtaining the stamped receipt needed for Land Registry registration.
Missing the 30-day deadline triggers automatic surcharges: 5% if paid within 3 months, 10% within 6 months, 15% within 12 months, and 20% plus interest beyond 12 months. Late payment also blocks Land Registry registration until the debt is cleared.
Legal disclaimer: This guide is for general informational purposes only and does not constitute legal or tax advice. Transfer tax rates and regulations in Spain change frequently and vary by autonomous region. Always consult a qualified Spanish property lawyer and tax advisor before making any purchase decision. Property-Lawyers.com connects buyers with legal professionals but does not itself provide legal advice.
PL
Property-Lawyers.com Editorial Team
Spanish Real Estate Legal Specialists · Updated May 2026
Our editorial team collaborates with vetted English-speaking property lawyers and tax advisors across Spain to produce accurate, up-to-date legal guides for international buyers. All content is reviewed by qualified legal professionals with active practices in the Spanish real estate market.
Join property lawyers
Become a partner
Are you a professional Lawyer in Spain and want to promote your firm?
