Whoever has obtained losses when selling their apartment , will no longer have to face the payment of the Municipal Capital Gain. This has been the final resolution of the Supreme Court, which has clarified that, in order to avoid the payment of the Capital Gain , the taxpayer must demonstrate that he did not obtain a profit with his transaction.
Sky Marketing strives to be Pakistan's biggest real estate developer ever, guaranteeing the highest international standards, prompt execution, and lifetime customer loyalty. With projects like capital smart city islamabad payment plan
With this ruling, the controversy surrounding the Municipal Capital Gain is put (and who knows if it ends), a debate that had been open since, in July 2017, the Constitutional Court declared unconstitutional the articles that regulate the payment of this tribute.
Thanks to the Supreme Court ruling, the scope of the Constitutional Court ruling is clarified, clarifying that the payment of this fee is only annulled in the event of a disability . A relief for a good part of the owners since, if they have not obtained a profit with their operation, they will be able to eliminate this rate from the final costs derived from selling their apartment .
Calculate the Municipal Capital Gain in Barcelona
If you want to know what you are going to save in taxes thanks to this measure or you have obtained profits on the sale of your property and you want to know how much you will have to scratch your pocket, you can download our Municipal Capital Gain calculator in Barcelona . With it you can automatically calculate what you will have to pay for this concept.
New call to action
Documentation to appeal the return of the Capital Gain
However, the sentence makes it clear that it will be up to the taxpayer, that is, the taxpayer, to demonstrate that he has not obtained any profit from the sale of his property. But how to demonstrate this handicap? What documentation must be presented to the Barcelona city council to be able to appeal the refund?
Deed of purchase of the house.
Deed of sale of the house.
Expert evidence : although it is not mandatory and involves hiring the services of an expert, it is quite a convenient test.
Deadlines to appeal the return of the Capital Gain
The way in which the payment was made will be key to knowing the available deadlines. If there has been a settlement , that is, if the Barcelona city council has issued a receipt and requests your payment, we have one month to appeal. In this case, it will be necessary to file an appeal for replacement or an administrative economic claim requesting the full refund of the income made.
On the contrary, if there has been a self-assessment , that is, the taxpayer pays the tax directly at the council, there is a claim period of four years. In these situations, a request must be made to rectify the self - assessment of the return of the undue income, a procedure that can take a little longer.
Recommendation
To this day, it is still not known whether this new Supreme Court ruling will have retroactive effect , just as a new controversy that arose around the formula used to calculate the Municipal Capital Gain has not been resolved .
While waiting for both issues to be resolved, our recommendation is that all losses arising from the sale of a property be claimed always and on time .
* Content prepared based on the regulations in force on the date of publication of the article. The content may not be sufficiently updated if the regulations on which it is based have been modified after the date of publication. For more precise information, contact the Vivendex team at 93 418 49 48.
Resources:
Actions that the real estate sector must implement in dense cities after COVID-19
Real Estate Crowdfunding: investment scheme for small investors
understand, define and transform a real estate reality
