Spain: Tax measures under the new legislation on the restructuring of the real estate portfolios owned by credit institutions
The Spanish Government passed a new piece of legislation on May 11, 2012 aimed at restructuring the financial system in connection with the real estate portfolios owned by financial institutions. These round of rules has been approved aimed mainly at strengthening provisions, restructuring the bank’s real estate portfolios and stimulating their sale.
Within the context of the financial sector restructuring, two tax measures have been approved. These are the tax exemption regime for the planned restructuring and a capital gains 50% exemption for properties acquired before year-end.
In addition, some further tax measures have been recently included in bills under discussion. These include the option to tax for VAT purposes, Spanish REITs, and the Special Tax on Real Estate owned by non-resident entities.
