For years, Spain has promoted the idea that homeownership is the ultimate safe haven for family savings. What is rarely mentioned is that, when the time comes to sell, the State shows up with a bill that can swallow up to 40 % of the profit.
The hit begins with personal income tax. Capital gains are currently taxed at rates of up to 28 %, among the highest in Europe. But the blow doesn’t end there. Local governments impose the so-called municipal capital gains tax (plusvalía municipal), which taxes the supposed increase in the value of the land—even when the real profit is minimal or highly questionable.
Read Full Article: https://gatewayhispanic.com/2026/01/spain-punishes-homeowners-selling-your-home-can-cost/
