The Marbella town hall has approved a subsidy for the IBI tax for property owners registered with the town hall as part of efforts to revitalise the ailing property market.
The subsidy in property tax will be between 1.5% and 10% of the tax due based on the assessed value of the property.
For example, a family registered in the town hall with a property that has an assessed value below 100,000€ will receive a 10% reduction in the property tax.
Marbella Mayor, Angeles Muñoz, said that this means “they [property owners] will hardly notice the increase in the IBI tax.”
Owners with properties valued between 100.000€ and 200.000€ will receive a 5% discount, while those with properties valued between 200.000€ and 300.000€ will be given a discount of 3%.
Owners whose properties are valued over 300.000€ will be given a 1.5% discount in their IBI.
Assessed property values will be revised every ten years.
“In our opinion, the plan taken is fairer than reducing the tax of every owner equally. This would mean that families with more resources would obtain bigger reductions. It is necessary to benefit families with fewer resources” Muñoz said.
The town hall have also approved a 60% reduction (the maximum allowed by Spanish Law) on the Plusvalía tax. Plusvalía is the tax you pay on any profit made when selling a property. If you buy a property for 100,000€ and sell it for 150,000€ then plusvalía will be due on 50,000€.
By making these changes the mayor hopes the property market “will be revived”.
Muñoz added that Marbella is leading the recovery of the real-estate market in the Malaga province.