Municipal Capital Gains Tax: 2026 Guide

Municipal capital gains tax is a local tax on the increase in property value when a home is sold, inherited, or gifted. Understanding it is crucial for informed real estate decisions and avoiding fines.

Who Pays and When?

• * Sales: seller pays, within 30 business days.
• * Gifts: recipient pays.
• * Inheritances: heirs pay within 6 months (extendable by 6 months).
• * Exemptions: sales at a loss or ownership of 20+ years.

2026 Update: homeowners selling at no profit are exempt.

How It’s Calculated

Two main methods:

1. 1.- Objective method: cadastral land value × official coefficients (updated annually).
2. 2.- Real method: difference between acquisition and transfer value of the land.

Key factors:

• * Cadastral and land value
• * Years of ownership
• * Municipal tax rate
• * Local coefficients

2026 Updated Coefficients

• * Properties 7–15 years: up to 40% increase
• * Properties ≥17 years: reduced tax burden
• * Final application depends on each municipality

Practical Tools

Online calculators reflect 2026 rules and coefficients, helping taxpayers estimate the amount owed when selling, inheriting, or receiving a property as a gift.

Conclusion

Understanding municipal capital gains tax in 2026 is essential for managing real estate transactions, optimizing tax obligations, and avoiding surprises. Always check applicable coefficients and choose the calculation method that best suits your situation.