If you’re selling a property in Valencia, the municipal plusvalía is one of the taxes to understand before you sign. This 2026 guide explains what it is, who pays it, how it’s calculated after the recent legal reform, and when you may be exempt.
What is the municipal plusvalía?
The municipal plusvalía — officially the Tax on the Increase in Value of Urban Land (IIVTNU) — taxes the increase in the value of the land of an urban property, from the time it was bought to the time it is sold. It is managed by the town hall (Ayuntamiento) of the municipality where the property is located.
Who pays the municipal plusvalía?
In a sale, the seller pays it. If the seller is a non-resident in Spain, the obligation may fall on the buyer as a substitute taxpayer, so it’s worth clarifying before signing.
How is it calculated in 2026?
Since the 2021 reform, there are two methods, and you can choose whichever is more favourable:
- Objective method: a coefficient (based on the number of years of ownership) is applied to the cadastral value of the land.
- Real method: calculated on the actual gain in land value — the difference between the purchase and sale prices attributable to the land.
The taxpayer can opt for the method that produces the lower amount.
When is it not payable? Exemptions and non-liability
If you sell at a loss — i.e. there was no increase in land value between purchase and sale — the transaction is not subject to the tax. You must prove it with the purchase and sale deeds. There are also specific exemptions (for example, certain transfers between spouses).
Deadlines and where to pay
The tax must be declared within 30 business days of signing the deed, to the relevant Ayuntamiento. Always keep copies of the deeds to justify the calculation or a potential loss.
Other seller taxes and costs
Besides the municipal plusvalía, the seller is taxed on the capital gain (with a 3% retention if non-resident) and covers the energy certificate and agency fee. See the full picture in our guide to selling your Valencia property from abroad.
Frequently asked questions
Who pays the plusvalía when selling?
The seller pays it. If the seller is a non-resident, the buyer may act as substitute taxpayer.
Can the plusvalía be avoided?
If you sell with no gain in land value (at a loss), the transaction is not subject to the tax, provided you prove it with the deeds.
How long do I have to pay it?
Within 30 business days of signing the deed, to the town hall.
Selling in Valencia? We’ll handle the formalities
BuenApart supports you through the whole sale — including the tax side — in English, French and Spanish. Discover our property selling service in Valencia or contact us for a free valuation.