How to calculate the equity of a home in case of inheritance

Pay to inherit: the taxes that apply to receive an inheritance

Inheritance: can the bank force us to open an account to collect it?

Inheritance or donation in life, which is better

When a person passes away, his heirs can receive a home as part of the legacy that that relative has put in his name. Thus, among other bureaucratic procedures, appears what is called the municipal capital gain and that it is nothing more than the fertilizer of a local tax. A cost that is levied on increase in value of a property since it was acquired until now it is transmitted to another person.

A payment that, on some occasions, is also made when a flat is donated, a house is bought or when the one that has been inherited is sold to obtain a later economic return. Of course, there are some exceptions when it comes to dealing with that cost, but in this case it is not related to an inheritance. Thus, nothing should be paid in the following special situations:

  • If the transfer of the house is made between a marriage for the benefit of the conjugal society, in the liquidation of the matrimonial property regime or in favor of the children when there is a divorce judgment, for example.
  • When that property is listed as part of the historical-artistic heritage and its owners certify that they have made the necessary reforms for its conservation or improvement.
  • Or in specific cases involving buildings that are related to public or charitable institutions.
Deadlines to pay the capital gain

A lien in the case of goods of an urban nature

In other words, if a flat, a house, a land in the city, a premises or a garage is transmitted in that document, everything is subject to the payment of that capital gain. The cost will not be borne if, for example, the heir receives a rustic piece of land, a house in the country or cash.

With all this information beforehand, it is the receiver of said property the one who has to pay the corresponding amount and in his case can do it in two ways. The first one is in the town hall where it is located said house. This is the public authority in charge of managing and collecting said municipal tax.

Thus, the heir can go to the offices of the consistory to make a statement specifying those assets and they will be paid. Together with the completion of said document, the person must provide the deed where it is established that has accepted that inheritance or a paper specifying the will or the last wills of the deceased.

A procedure that must be carried out in a maximum term of 6 months counting from the day after the death of said person who has left the home. If necessary, to have time to file the inheritance tax, an extension of another half year can be requested before the end of the first stipulated period.

On the other hand, and in the event that the person does not attend own motu to the consistory, this can be in charge of notifying him his obligation with the municipal coffers. This is the second way to pay that municipal capital gain. Thus, in that settlement that is received, the amount that must pay, the term to do it or the ways you can appeal in the event that you do not agree with the amount of money requested and want to claim.

How much is paid in this case?

That will depend on the local executive of the locality in which that house is located. However, in all cases the final cost is established based on two concepts: the tax base and tax rate.

The first refers to the rise in value that that house has experienced in a temporary relationship of about 20 years. In this case, the cadastral value of the urban good at the time of inheriting it, as well as the percentage of increase. The latter is calculated according to the years that have passed since the purchase of the apartment. Finally, a different coefficient (usually between 3% and 4%) is applied to that figure, according to each municipal ordinance. For its part, the tax rate is also regulated by each consistory and is usually not higher than 30%.

The payment of capital gains in Madrid and Barcelona

Is there some kind of bonus?

On some occasions, the same public managing entity may grant certain bonuses in the share of the tribute to be paid. Something that happens when the home was the deceased person’s habitual home or where the deceased carried out some commercial activity. Money that is sometimes discounted to benefit children, spouses or ancestors.

Therefore, to access the reduction it is important to comply with the requirements established by each municipal government and not exceed the deadline agreed to settle or declare the tax. In the latter case, if the payment is made beyond that stipulated date, the most normal thing is that you no longer have the right to the corresponding reduction.