In this case the sale is exempt of Capital Gain Taxes.
Everybody must be aware that when a person over 65 years (or a dependent person) sells the main home, this sale is exempt of Capital Gain taxes.
You need to be aware that for considering your house as your MAIN HOME, Tax office requires the use of it at least for 3 years prior the sale of the property.
Because the tax law refers to MAIN HOME it means that this tax exemption only affects to RESIDENTS IN SPAIN. In case of non-residents with an age over 65 euros who are selling a house in Spain, we will be talking about the sale of a second home (and not the main one mentioned by the Law). This sale will be subject to Capital Gian taxes.
It is also important to know that this tax exemption also refers to the sale of the naked ownership, which is applied we the owner keeps the USUFRUCT OF THE PROPERTY (right to live and use the property for the rest of his life).
This is a good solution to get an important amount of money (without having to pay Capital Gain taxes) and, at the same moment, keeping the use and enjoy of the property for the rest of life
For further information on possible tax implications of the sale of your property and to arrange a free appointment, please do not hesitate to contact us. We will be pleased to study your case and help you to make the right decision and move.
MARBELLA SOLICITORS GROUP
Jose M. Lopez-Avalos – Solicitor
Tel. 952 901 225 – email@example.com