How is the municipal capital gain calculated?

📈 Calculation of Municipal Capital Gains Tax in Girona

The municipal capital gains tax in Girona is calculated based on the increase in the value of the property from the time of its acquisition to its sale. This tax applies to the capital gain generated by the transfer of real estate, such as the sale of a house or land, following a formula established by the city council.

📝 Formula for Calculating Municipal Capital Gains Tax

To calculate the capital gains tax, you need to know the following values:

1️⃣ Land Value

• The land value is determined according to the tables updated by the Girona City Council.
• This value is calculated based on the cadastral value of the land and the reference index for the area.
• The cadastral value can be consulted at the Tax Agency or on the IBI (property tax) receipt.

2️⃣ Increase Coefficient

• It depends on the years elapsed between the purchase and sale of the property.
• The Girona City Council applies a coefficient table that establishes the rates based on the number of years between acquisition and transfer.
• As more years pass, the coefficient increases, meaning that the capital gains tax will be higher if the property has been owned for a longer period.

3️⃣ Tax Rate

• This is the percentage applied to the increase in land value.
• In Girona, the tax rate ranges from 5% to 30%.
• The percentage applied depends on the value of the property and the number of years it has been owned.

💡 Advice

To obtain a precise estimate of the capital gains tax to be paid, it is recommended to:

• Check the updated cadastral value tables provided by the Girona City Council.
• Keep in mind that these values can change each year.
• Seek advice from ImmoGirona to ensure that the calculation is done correctly and in compliance with current regulations.