# property transfer to a relative



## casarabonela1 (Mar 30, 2011)

I have a holiday home in spain and want to transfer ownership to my son,is there a way of doing this without him having to purchase it and both of us having to pay related taxes?


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## Beachcomber (May 10, 2009)

No, you cannot do this without paying taxes. You can do a deed of gift but the taxes for this are even higher.


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## anles (Feb 11, 2009)

casarabonela1 said:


> I have a holiday home in spain and want to transfer ownership to my son,is there a way of doing this without him having to purchase it and both of us having to pay related taxes?


The best thing to do is ask a Notary. The tax isn't the same percentage in all regions. And it depends on the relationship between the donor and the beneficiary. Here in Galicia Transmision tax was 7% but in the case of parents donating to their daughter the tax was only 5%


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## casarabonela1 (Mar 30, 2011)

Beachcomber said:


> No, you cannot do this without paying taxes. You can do a deed of gift but the taxes for this are even higher.


Thanks for the information,much appreciated.


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## Beachcomber (May 10, 2009)

The OP says he has a holiday home which presumably means he is a non-resident so any reductions or allowances available to a resident will not apply. 

Medidas fiscales vigentes en el ejercicio 2011 - Consejería de Hacienda y Administración Pública

I don't know if the situation will be affected by this:

European Commission refers Spain to the Court of Justice over discriminatory inheritance and gift tax rules

It may well be worth waiting a while but don't hold your breath!


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## anles (Feb 11, 2009)

Beachcomber said:


> The OP says he has a holiday home which presumably means he is a non-resident so any reductions or allowances available to a resident will not apply.
> 
> Medidas fiscales vigentes en el ejercicio 2011 - Consejería de Hacienda y Administración Pública
> 
> ...


The case I was talking about were between non residents. Originally they were going to do a sale, but the Notary looked into it and found out that a donation was cheaper and much more simple.


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## Borne Again (Mar 21, 2013)

anles said:


> The case I was talking about were between non residents. Originally they were going to do a sale, but the Notary looked into it and found out that a donation was cheaper and much more simple.


Hi - new poster here, lots of good info I have already found.

We are just in the process of buying a property in Barcelona as tax resident Swiss although I am a Brit and my wife is non-EU.

For lots of complicated reasons, I have purchased the property in my name, but at some point in the future, we will want to transfer it into the name of my wife. I'm afraid I have a number of questions which seem to be hinted at here but not quite clearly answers

1. Is the tax rate really as high as implied online (not allowed to post URLs yet ) to transfer a property from husband to wife? The property is worth c Euro 250 000 and this implies that the tax would be 25%, way higher than the 7% for Galicia mentioned below

2. If we are both non-resident in Spain, do the Spanish authorities have right to levy any duty? What if I stay non-resident but my wife has a non-working residents permit (which we have been told we are entitled to apply for)?

3. If (hopefully not, but who knows whats around the corner) we ever seperate or divorce, can the property be part of the divorce settlement and at that point, is the "gift" tax still due?

Appreciate any assistance - we asked a tax lawyer and were quoted Euro 2000 to research it - so forgive me cutting corners by asking here first 

Thanks


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