Spain to impose a tax rate of 100% on property transfers?

A lot of sensationalism and bold headlines have appeared regarding Pedro Sanchez’s threat to impose 100% tax on property transfers to non-eu buyers. However, it’s unlikely for several reason:

1. The transfer tax (ITP is levied at the autonomous community level, not the national level. What is right for central Madrid and Barcelona, is not the best thing for predominantly rural areas in Castilla y Leon, Aragon and Castilla la Mancha. ITP is not uniform across Spain.

2. Mr Sanchez relies on a broad specturm of coalition partners, not all of which would agree with this plan, so it would be difficult to pass the necessary legislation to bring make this plan a reality.

Recent articles in the UK press haven’t really seemed to understand the issue, but independent journalist James Brinton does seem to be more accurate on this. Check out his video. https://www.youtube.com/@Spainunfiltered

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