The Balearic Government estimates that 5,701 taxpayers have achieved an overall saving of up to 59 million euros in taxes after the bonuses introduced in July 2023 in the Transfer Tax (ITP).
These measures have benefited different population profiles that purchased their first home in the last 18 months. Among the main novelties is the total elimination of the ITP, which has meant a saving of 22.6 million euros for 1,068 buyers who met certain requirements, such as being under 30 years old or having a recognized disability of at least 33%. This group has managed to save an average of 21,100 euros in taxes, according to Última Hora. Antoni Costa, Minister of Economy and Finance, stressed that this 100% ITP rebate was “absolutely necessary” to facilitate access to housing for the most vulnerable groups.
Requirements and possible extensions
To access the full ITP rebate, buyers must have resided at least three years in the Balearic Islands, not own another home and purchase a property whose price does not exceed 270,151.20 euros. However, the Government is considering increasing this limit to 350,000 euros in areas where access to housing is especially complicated, such as the island of Ibiza. On the other hand, the 50% ITP rebate has benefited 1,739 people, saving them a total of 17 million euros, with an average of 9,800 euros per taxpayer. This measure is aimed at people under 36 years of age, large families or people with disabilities in their care. Likewise, the 4% reduced rate rebates have generated savings of 19.31 million for 2,894 purchasers.
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