Property transfer tax when buying real estate
Calculate a realistic estimate of Spanish property transfer tax (ITP) for resale properties in Mallorca. The calculator uses the general progressive rate in the Balearic Islands.
This calculation is a guide for resale properties. New builds, reduced tax rates and personal special cases are not included and should be checked individually.
For resale properties
ITP generally applies when buying an existing property. For new builds, VAT and AJD apply instead.
Progressive rate
In the Balearic Islands, the rate increases in bands based on the taxable base.
Plan your budget realistically
In addition to tax, buyers usually need to budget for notary, land registry, legal advice and other purchase costs.
What is property transfer tax in Mallorca?
When buying a resale property in Mallorca, property transfer tax, known in Spain as ITP, is one of the key purchase costs. It is not calculated with one flat rate, but through progressive bands applied to the taxable base.
How is ITP calculated?
For resale properties in the Balearic Islands, the general rate is progressive. The first value bands are taxed at lower rates, while higher portions of the value are taxed at higher rates. The calculator uses the entered purchase price as the taxable base.
When is the tax due?
ITP becomes due after signing the purchase contract or notarial deed. Filing and payment are usually made with Modelo 600 within one month of the taxable transaction.
When do other taxes apply instead of ITP?
ITP typically applies to resale properties. New builds and certain special cases may be subject to different taxes.
Resale property: ITP generally applies. This is the case covered by the calculator.
New build from a developer: VAT (IVA) and AJD usually apply instead of ITP.
Reduced rates: Certain buyer groups, main residence purchases or social housing cases may qualify for relief. These conditions should be checked individually.
Frequently asked questions about transfer tax
No. ITP generally applies when buying a resale property. For new builds from a developer, VAT and AJD are usually charged instead of ITP.
No. The general rate is progressive. Each portion of the value is taxed at the rate for its band, resulting in an effective average rate.
No. The calculator only estimates ITP. Other purchase costs such as notary, land registry, legal advice or financing fees should be budgeted separately.
Yes, reduced rates or relief may apply under certain conditions. These depend on factors such as intended use, buyer profile and property value and should be checked before buying.