General Increase in Transfer Tax and Stamp Duty rates in Catalonia in the Real Estate Sector
Today, the Official Gazette of the Government of Catalonia published Decree-Law 5/2025, of 25 March, adopting urgent measures regarding taxation, which, among other provisions, introduces a tax increase in the field of Transfer Tax and Stamp Duty.
New Transfer Tax rates
The Transfer Tax rates on the transfer of real estate are increased, from two to four tax base layers, increasing the maximum rate from 11% to 13%:
New 20% Transfer Tax rate for large holders
A 20% tax rate is established in Transfer Tax for the acquisition of residential units by large holders, whether natural or legal persons.
- What is "residential unit"?
A "residential unit" is considered to be the residential unit itself, a storage room and up to two parking spaces, provided that, in both cases: (i) they are acquired simultaneously in a single transaction or are located in the same building or urban complex; and (ii) at the time of acquisition, they are at the disposal of the transferor, without having been transferred to third parties.
For the purposes of applying this increased rate of 20%, "large holder" is understood to be the natural or legal person who is the owner of:
(i) more than ten properties for residential use or with a constructed area of more than 1,500 m² for residential use located in Catalonia; or
(ii) five or more urban residential properties located within the stressed residential market area declared by the Government of Catalonia,
excluding garages and storage rooms from the calculation.
New 20% Transfer Tax rate on the purchase of entire residential buildings
This new increased rate of 20% will be applied to the transfer of entire residential buildings to a natural or legal person, regardless of whether or not they are divided horizontally, even if the transfer is carried out gradually.
In the case of the partial transfer of a building that is eventually transferred in its entirety, the taxation must be reassessed by applying 20% to the total, discounting what has already been paid, and including interest for late payment.
Repeal of the 70% Transfer Tax credit for real estate resellers
With effect from the day following the publication of Decree Law 5/2025 in the Official Gazette of the Government of Catalonia, the 70% Transfer Tax credit on transfers of residential units to real estate companies for reselling them is repealed.
Increase in Stamp Duty to 3.5% where the VAT exemption is waived
The Stamp Duty tax rate in cases of waiver of the VAT exemption (second and subsequent transfers of buildings and transfers of land for which development has not begun) is increased by one percentage point, from the current 2.5% to 3.5%.
Next Steps
This Decree-Law must be validated or repealed by the Catalan Parliament within 30 days of its publication in the Official Gazette of the Government of Catalonia.
Entry into force
The measures relating to the Transfer Tax and the Stamp Duty will come into force three months from the day following the publication of this Decree-Law in the Official Gazette of the Government of Catalonia.
