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V1009-20 ·22 April 2020 ·consulta-vinculante Medium impact
FISCAL

Loan interest not part of property acquisition value

A British company asks whether interest paid on a mortgage to buy property in Spain is deductible. The DGT responds that, when calculating capital gain or loss, interest paid by the buyer must be excluded from the acquisition value.

In 6 key points

How it affects those involved

Buyers of Spanish property must exclude mortgage interest from the acquisition value when calculating capital gains or losses.

Lifecycle

2020-04-22PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
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