Know the taxes and other expenses you will have to pay when inheriting an apartment in Fuerteventura until you put the property in your name.
During 2024, 1,055 homes were transferred by inheritance in Las Palmas , according to data published by the National Institute of Statistics. This figure rises to 2,346 homes if we take into account those transmitted by inheritance in the whole of the Canary archipelago.
Since the Government of the Canary Islands established in September 2023 a 99.9% rebate on Inheritance and Gift Tax, more and more heirs are deciding to accept their inheritance after years of continuous reductions due to the high costs they had to face.
But, beyond the Inheritance and Gift Tax, what other taxes are to be paid when inheriting an apartment in Fuerteventura? How is the ISD after the modification introduced in 2023? If you have just inherited an apartment in Fuerteventura, take note of all the expenses you will have to face until you put the property in your name.
Taxes when inheriting an apartment in Fuerteventura
Focusing on taxes, inheriting an apartment in Fuerteventura implies the liquidation of each of these taxes:
Inheritance Tax
The Inheritance and Gift Tax is a tax levied on wealth acquired by inheritance, bequest or donation. It is a scalable tax, i.e., the higher the value of the inherited estate, the higher the tax is paid.
The Inheritance and Gift Tax must be paid in the autonomous community of the deceased regardless of the place where the deceased lives. In addition, it must be taken into account that the deadline to pay it is six months from the date of death, although an extension of another six months can be requested.
Inheritance Tax in the Canary Islands
The Inheritance Tax in Fuerteventura depends on the Government of the Canary Islands, an institution that in September 2023 made a significant transformation after the approval of the Decree Law 5/2023, establishing a 99.9% rebate on the tax quota with the aim of alleviating the tax burden on heirs. This benefit was also extended to a larger number of taxpayers.
Who can benefit from the 99.9% inheritance tax rebate in the Canary Islands?
For mortis causa acquisitions, the 99.9% inheritance tax rebate applies to the following groups of taxpayers:
- Group I, consisting of descendants and adopted children under 21 years of age.
- Group II, composed of the spouse of the deceased, descendants and adopted children over 21 years of age, and ascendants of the deceased.
- Group III, including “second degree collaterals (siblings of the deceased), third degree collaterals (nephews and nieces of the deceased), ascendants and descendants by affinity (in-laws)”, according to the regulations.
The inclusion of Groups II and III in this allowance represents the main novelty compared to previous regulations, since previously only relatives in Group I were eligible for the maximum allowance.
Municipal Capital Gains
The Tax on the Increase in Value of Urban Land, better known as Municipal Capital Gains Tax, is a tax levied on the increase in value of urban land that is evidenced by the transfer of a property, whether by sale, inheritance or donation.
In the case of an inheritance, the heirs themselves will be responsible for paying the tax, a period for which they will also have six months from the death of the deceased, extendable for another six months.
Municipal Capital Gains in Fuerteventura
Unlike the Inheritance Tax which depends on the Autonomous Community, the Municipal Capital Gains Tax is dependent on the Town Hall of the municipality in which the deceased dies. For this reason, each municipality of Fuerteventura will have its own regulations governing the tax.
Municipal Capital Gains in Puerto del Rosario
The tax rate to be applied to the Plusvalia Municipal in Puerto del Rosario depends on the years in which the deceased has been in possession of the property before the inheritance took place, following the table below:
- From 0 to 5 years: Tax rate of 25%.
- From 5 to 10 years: Tax rate of 22%.
- From 10 to 15 years: Tax rate of 20%.
- From 15 to 20 years: Tax rate of 19%.
In the regulations of the Municipal Capital Gains Tax of Puerto del Rosario you can find all the details about the tax.
In addition, at Destiny Home we have prepared a Municipal Capital Gains Calculator with which you can automatically calculate what you will have to pay for Capital Gains in Puerto del Rosario.
Municipal Capital Gains in La Oliva
The Tax Rate to be applied in the Municipal Capital Gains Tax of La Oliva is a fixed amount regardless of the number of years in which the deceased has been in possession of the property, before the death. Specifically, the tax rate in La Oliva is 30%, the maximum allowed by the regulations.
In the Plusvalia Municipal de La Oliva regulations you can find all the details about this tax. However, you can access the Plusvalia Municipal calculator of Destiny Home to calculate what you will have to pay for this tax automatically.
Other expenses and taxes when inheriting in Fuerteventura
In addition to the Inheritance Tax and the Municipal Capital Gains Tax, there are also a number of other expenses and taxes that you must take into account when inheriting an apartment in Fuerteventura. We are referring to:
IRPF
The inheritance of an apartment in Fuerteventura, is not taxed as an increase of patrimony or real estate capital in the Income Tax Declaration, therefore, you will not have to include it. On the other hand, you will have to pay tax for it if you decide to sell or rent it and you receive a capital gain for this operation.
The profit obtained from the sale or rental will be taxed in the Income Tax Return according to the following table:
| Income brackets Personal Income Tax (IRPF) | Tax rate |
| Up to €6,000 | 19% |
| From 6,000 € to 50,000 €. | 21% |
| From 50,000 € to 200,000 €. | 23% |
| From 200,000 € to 300,000 €. | 27% |
| More than €300,000 | 28% |
Notary
Once all the taxes have been paid, it is time to go to the notary to sign the Deed of Adjudication of the inheritance, a procedure that also has a certain cost associated with it: between 600 and 3,000 euros depending on the value of the inherited property. Do not forget to take the deeds of the inherited property to the Notary.
Land Registry
Although it is not a compulsory procedure, it is highly recommended to change the ownership of the inherited apartment in the Land Registry. This change of ownership can cost between 300 and 600 euros depending on the value of the property.
What if after receiving the inheritance you want to sell?
One of the most common options after receiving a property in inheritance, is to make it profitable by selling or renting it. Having a property in property entails a series of fixed expenses: community of neighbors, insurance, water and garbage taxes, IBI… so taking it to the market for sale or rent is usually the most common way, not only to avoid unnecessary expenses, but also to have an extra profit.
If you are in this situation, at Destiny Home we take care of the management of your inherited property, including all the documentation from the moment you know you are going to inherit a property, until we put it in your name to make it profitable through sale or rent.
If you want to get an idea of the steps you will have to take once you get the property to put it on the market, then we leave you with our Guide to selling in Fuerteventura, a document in which you will find information on the sales process, from setting the right price to the signing of deeds at the Notary, through the necessary documentation for the sale and negotiation with the buyer.
