2012 tax increases in Spain – a short guide

 

First of all is income tax. The tax bands in Spain have seen the following increases:

  • 0 to 17,707.20€

was 24.00% now 24.75%    Up 0.75%

  • 17,707.20 to 33,007.20 €

was 28.00% now 30.00%    Up 2.00%

  • 33,007.20 to 53,407.20 €

was 37.00% now 40.00%    Up 3.00%

  • 53,407.20 to 120,000.20 €

was 43.00% now 47.00%    Up 4.00%

  • 120,000.20 to 175,000.20€

was 44.00% now 49.00%    Up 5.00%

  • 175,000.20 to 300,000.00 €

was 45.00% now 51.00%    Up 6.00%

  • 300,000.20 and above

was 45.00% now 52.00%    Up 7.00%

Taxes on interest earned on savings:

  • 0 to 6,000 €                 was 19% now 21%  Up 2%
  • 6,000 to 24,000 €      was 21% now 25%  Up 4%
  • Over 24,000 €             was 21% now 27%  Up 6%

Increase in real estate tax (Impuesto sobre Bienes Inmuebles) This is not actually a review of the real estate valuation, per se, but just on the rate of tax applied and is based on the date of the last revision:

  • Before 2002                              Up 10%
  • Between 2002 and 2004     Up 6%
  • Between 2005 and 2007      0%
  • Between 2008 and 2011      Up 4%

So, 2012 will see all tax payers in Spain note a real decrease in disposable income. In that respect here at MoneySaverSpain we aim to keep on finding the best deals and offers to ensure that these increases don’t affect your pocket.

MSS Tip: It should be noted the Basque Country and Navarre have their own specific tax regulations and so the details may differ from those above.