If you’re considering selling your property in Spain, there’s a remarkable opportunity available for you. Selling your main home directly as the owner, especially if you’re over 65 years old, can be an advantageous choice. In this case the sale is exempt of Capital Gain Taxes.
Contents of this article
Tax exemption for selling main home.
Requirements for tax exemption.
It’s important to note that when a person over 65 years old (or a dependent person) sells their main home, the sale is exempt from Capital Gain taxes. However, to consider your house as your main home, the Tax Office requires it to be used as such for at least 3 years prior to the sale.
Applicability to residents and non-residents
This tax exemption only applies to residents in Spain, as the law specifically refers to the main home of residents. Non-residents over 65 years old who sell a house in Spain will be considered as selling a second home, not the main one mentioned in the law, and will be subject to Capital Gain taxes.
Selling naked ownership and tax exemption
Furthermore, this tax exemption also extends to the sale of the naked ownership, where the owner retains the right to live and use the property for the rest of their life (usufruct of the property).
Benefits of selling main home as owner over 65
Selling your main home by owner over 65 years old is a beneficial solution to obtain a significant amount of money without having to pay Capital Gain taxes. You can enjoy the use of the property for the remainder of your life.
If you would like further information on the possible tax implications of selling your property or to arrange a free appointment, please don’t hesitate to contact us. We are here to study your case and assist you in making the right decision and move.
MARBELLA SOLICITORS GROUP
Jose M. Lopez-Avalos – Solicitor
Tel. 952 901 225 – mail@marbellasolicitors.com
