ITP — Impuesto sobre Transmisiones Patrimoniales

Tax Spanish real estate

Quick definition

The transfer tax paid by the buyer on resale (second-hand) property in Spain. Each autonomous community sets its own rate — in Andalusia (which covers the Costa del Sol) the standard rate is 7% of the purchase price. ITP is not levied on new-build purchases, which pay IVA and AJD instead.

What it is

The transfer tax paid by the buyer on resale (second-hand) property in Spain. Each autonomous community sets its own rate — in Andalusia (which covers the Costa del Sol) the standard rate is 7% of the purchase price. ITP is not levied on new-build purchases, which pay IVA and AJD instead. This is a core term in the Costa del Sol property purchase process and one buyers frequently encounter during due diligence.

Why it matters for international buyers

Understanding ITP — Impuesto sobre Transmisiones Patrimoniales is part of the standard due diligence framework for any foreign buyer purchasing on the Costa del Sol. A Spanish property lawyer (abogado) will handle the mechanics, but buyers who understand the term can ask better questions and interpret advice more accurately.

Editorial note This entry is part of the Listyco Spanish Real Estate Glossary, a plain-English reference written for buyers, not for lawyers. It is not legal advice. Always instruct a Spanish-qualified abogado for your specific transaction.

This entry is reviewed by the Listyco editorial team. It is not legal advice; instruct a Spanish lawyer for your specific position. Last reviewed April 2026.

Frequently asked

Common questions about ITP — Impuesto sobre Transmisiones Patrimoniales

What is ITP — Impuesto sobre Transmisiones Patrimoniales?

The transfer tax paid by the buyer on resale (second-hand) property in Spain. Each autonomous community sets its own rate — in Andalusia (which covers the Costa del Sol) the standard rate is 7% of the purchase price. ITP is not levied on new-build purchases, which pay IVA and AJD instead.

How does this affect my property purchase?

Understanding this term is part of standard due diligence for any Costa del Sol buyer. Your Spanish abogado will advise on how it applies to your specific transaction.