Spain: Spanish real estate tax updates: REITs, step-up in property values, and other developments

Real Estate Tax Services Newsalert ()

2012 was a hectic year in terms of tax developments in Spain, such as the new financial expenses capping-rule, the step-up in value of properties, the increase of tax rates, the significant and positive amendments to the SOCIMI (“Spanish REIT”), the implementation of the reverse charge rule for VAT deals, and the amended RETT rules on share deals.

This NewsAlert focuses on the following hot tax topics for our sector: the latest update on REITs; the step-up in value of properties at the time when the 2012 accounts are typically being finalized; and the limitation of amortisation ahead of the first payments on account of 2013.