If you are buying a second-hand property in Spain, one of the first tax concepts you will encounter is ITP — Impuesto de Transmisiones Patrimoniales (Transfer Tax). It is often the largest single additional cost in a Spanish property transaction, yet many buyers are caught off guard by how much it varies. This guide gives you everything you need to understand, estimate, and plan for ITP in 2026.
What Is ITP?
ITP (Impuesto de Transmisiones Patrimoniales) is a regional transfer tax levied on the buyer when purchasing a second-hand (resale) property in Spain. It is charged as a percentage of the declared purchase price or the minimum taxable value set by the regional government — whichever is higher.
ITP is not charged on new build properties. For new builds, buyers pay IVA (VAT) at 10% plus AJD (stamp duty). ITP is strictly for resale transactions between private parties.
When Does ITP Apply?
ITP applies when:
- You purchase a resale property from a private individual
- The seller is not a VAT-registered business acting in the course of their business
- The transaction is a standard sale (not a gift or inheritance, which have their own taxes)
ITP Rates by Region (Comunidad Autónoma)
Because ITP is a devolved regional tax, each of Spain’s 17 Autonomous Communities sets its own rate. This means the tax you pay on the same property can differ significantly depending on where it is located.
Here are the general base rates for 2026:
| Region | General ITP Rate |
|---|---|
| Andalucía | 7% |
| Comunidad de Madrid | 6% |
| Cataluña | 10% |
| Comunitat Valenciana | 10% |
| Castilla-La Mancha | 9% |
| Murcia | 8% |
| Galicia | 10% |
| Extremadura | 8% |
| Aragón | 8% |
| Asturias | 8% |
| Canarias | 6.5% |
| Baleares | 8–13% (progressive) |
| País Vasco | 4–8% (varies by territory) |
Important: Several regions apply progressive tax scales, meaning higher-value properties are taxed at higher rates. The Balearic Islands, for example, apply a rate of up to 13% on properties above €1,000,000.
Bonifications and Reduced Rates
Many regions offer reduced ITP rates in specific circumstances:
- First-time buyers (young buyers, typically under 35) often benefit from reduced rates — for example, 3.5% in Andalucía for primary residences under €150,000.
- Large families (familia numerosa) may qualify for significant discounts, sometimes as low as 3–5%.
- Disabled persons can access reduced rates in most regions.
- Habitual residence purchases (primary home) often attract lower rates than investment purchases.
- Rural properties in depopulated zones benefit from bonifications in some regions.
Always verify the specific bonifications available in the relevant region, as these change regularly.
How Is the ITP Taxable Base Calculated?
The taxable base is the higher of:
- The declared purchase price in the notarial deed
- The minimum reference value (valor de referencia) established by the Catastro (land registry authority)
Since January 2022, Spain’s tax authorities have moved to using the Catastro reference value as the mandatory minimum taxable base. This means even if you negotiate a lower purchase price, the tax authority may assess ITP on a higher amount if the Catastro value exceeds your sale price.
Example Calculation
- Purchase price: €200,000
- Catastro reference value: €185,000 (lower, so actual price applies)
- Region: Andalucía at 7%
- ITP due: €200,000 × 7% = €14,000
If the reference value were €220,000 (higher than purchase price), ITP would be calculated on €220,000 = €15,400.
How and When to Pay ITP
ITP must be paid within 30 working days of the signing of the public notarial deed (escritura pública). The process is:
- Complete the relevant regional tax form (typically Modelo 600)
- Pay at the regional tax office (Consejería de Hacienda) or via authorised bank
- Present proof of payment to the Property Registry for registration
Failure to pay within the deadline results in surcharges and interest. Most buyers use a gestor (administrative agent) or their solicitor to handle this process.
Common Mistakes to Avoid
- Underestimating the tax: ITP is not a small sum — on a €300,000 property in Cataluña, it is €30,000.
- Ignoring the Catastro reference value: Your solicitor should check the valor de referencia before you sign.
- Missing bonification eligibility: Many buyers fail to claim reduced rates they are entitled to. Ask your gestor specifically about applicable bonifications.
- Confusing ITP with IVA: Only one applies to any given transaction — make sure you know which one applies to your purchase.
- Paying late: The 30 working-day deadline is strict. Budget and prepare for payment in advance.
ITP vs AJD: A Quick Note
ITP and AJD (Actos Jurídicos Documentados) — stamp duty — are separate taxes. On a resale purchase, you pay ITP but not AJD (unless a mortgage is involved, in which case the lender typically pays AJD on the mortgage deed). New build buyers pay IVA + AJD instead of ITP.
Calculate Your ITP in Seconds
Knowing the rate is one thing — calculating the exact cost for your specific property and region, and seeing how it fits into your total purchase budget, is another.
Use our free PropCalcES calculator to instantly estimate your ITP, notary fees, registry costs, and total acquisition cost for any property in Spain. No signup required.