Property tax 1 and a half years after buying a house

When I bought my apartment last year my Solicitor told me this might happen - tax valuation higher than purchase price. Seems mad but apparently it’s a thing. 

But you have a certain time in which to pay it.. or you can appeal.. or just ignore it..

We had it too, it's a Spanish thing.. so we have done what out Spanish lawyer suggested.. and so far, ignored it.. let's see what happens..

I forgot that part. My lawyer suggested that I could appeal  if it happened - but would need independent val as part of the process. The cost of appeal was over half the cost of the likely tax demand, with no guarantee it would work. Something to look forward to. 

Well James, if we hear anything we will let you know... ;)

Hiya dfinglas, This additional Resale Property Transfer Tax ( ITP ) levied by your Regional Tax Office is within the Law and something The Lawyer dealing with the purchase process should have informed you of. The options given to you at that point should have been either to apply to pay the tax on the difference between the two valuations  or to ignore it in the hope you would not be chased up for it . After 4.5 years if no demand is recieved then the issue is quashed. As you have now been issued with the demand it needs to be actioned upon . As mentioned here it can be appealed or it can be paid. The time allowed for appeal once you have received the demand is very tight after which, no further appeal is allowed. Interest is also applied from  the day you first signed for your property.

A trip back to a competent  Lawyer for advice is strongly recommended. 

LeckyLes 

Three years ago our friend had a bill through for this tax as he bought his apartment at a low price, lower than the current estimated value, his solicitor sorted it out for him and got it squashed. Not long ago there was an article in one of the local papers saying these tax demands had been found illegal and they had been stopped.

We also were contacted by our Lawyer about 8 months ago about this increase in tax.  This has now been found unlawful by the Supreme Court in Spain & has been withdrawn by the local taxation office.

I would have thought that your Lawyers would be aware of this  & would have informed you of the ruling.

We were notified by the Supreme Court and as a consequence we did not have to pay our lawyer to progress an appeal.

Thank you for your response it looks like I'll just have to pay it I taught there might be a loophole that I might be able to get out of paying it 

Hi

I also received the same letter after buying my villa. My lawyer said just leave it they wont come round. 1 month later another letter telling me they would be at my house 10 am on whatever day it was.

I was told the bill could be upto 10,000€.

I had spent a 1 1/2 years paying builders to smash everything out and replace. I had to supply all photos of the villa before and what had been changed. Basically everything bar the central heating. I had to show them.every room and cupboard in my house including outside kitchen and building. 

My tax bill was just under 4,000€

My lawyer said it would be better to just pay it as it could of cost a lot more.