- This topic has 3 replies, 4 voices, and was last updated 5 years, 2 months ago by .
- The forum ‘Property Questions & Answers’ is closed to new topics and replies.
We purchased a re-sale property from a uk couple 6 years ago and we had to pay 3 per cent on top of the asking price with all the other fees. When we asked our solicitor why he said we had to pay this incase the couple did not pay any capital gains tax on the profit they made on the sale. Is this correct? Why did we have to pay this extra tax as the buyer?
If you had to pay the 3% on top then you were taken for a ride.
The 3% is supposed to come out of the agreed price. But instead of paying the vendor 100% of the agreed price, you pay 97% to the vendor, and 3% to the tax man. It’s all explained here: Spanish capital gains tax retention on property sales by non-residents
There is also more information on this forum see 3% retention tax
IS THERE NO EUROPEAN UNION DEPARTMENT OR OMBUDSMAN THAT CAN TAKE UP THE ISSUE OF UNFAIRLY RETAINED RETENTION MONEY BY THE SPANISH AUTHORITIES. MY WIFE AND I SOLD OUR HOUSE LAST YEAR AT A CONSIDERABLE LOSS, ONLY TO FIND WE HAD TO HAVE 3% DEDUCTED FROM OUR SALES PROCEEDS.
You’ll probably have a greater chance of winning the Euromillions than receiving a rebate. I’ve had a 5% (yes, 5%) retention dating back to 2007 (refer to my post dated 7/8/2103) and my solicitor’s response dated 3/9/2103. The name is real, he’s Palma de Mallorca based and genuine. My claim was a paltry 30.000K euro (5%) and reluctantly written off having wasted 3.000K euros chasing rainbows. Good luck…
Everything you need to know about property in Spain
A password will be e-mailed to you.
Login or register to read articles without any adverts in the text.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.