IBI (Council Tax) in Spain
Who needs to pay for Council Tax?
If you own a property in Spain your Town Hall
charges you a Local Tax annually which is called Council Tax or in Spanish IBI.
How much do you have to pay?
This tax depends on the
valor catastral of your property. For example two bedrooms appartment in
Mijas could be taxed aproximatelly 400€ anually and two bedrooms apparment in
Marbella could be around 600€.
How can I pay for it?
It is very important that you register at the
Town Hall your details in order for you to pay the
tax on time and being able to enjoy some discounts that some Town Hall
could offer you.
I have been living in Spain , but I have never
paid it. What problems could I have?
This a Local
Tax that just for the fact of owning the property you have to pay. Therefore,
the Town Hall will charge you interest and penalty fee for late payment. If you
do not pay at all they will acumulate
few years debts and they will register an embargo over your bank account. In case they
do not find enough money from it they
will embargo your property.
What does means an embargo over my property?
In order to sell the property you need to
release the embargo first. Therefore you will finally pay the debt, including
all the interest and legal cost of the procedure. This will increase the debt
in more than 40%.
What should I do in
order to sort out my situation?
You could contact our legal team www.virginiaramos.com or
info@virginiaramos.com,we could register
you at the Town Hall. We could negotiate
for you a payment plan and try to reduce
part of the debt for you.
