Calculating Purchasing Costs
VPT = Rateable value VC = Value of the build per square meter fixed by the authorities A = Gross build area Ca = Registered use of the property, for example commercial or residential Cl = Location of the property whose coefficient is fixed every three years by the municipality and can vary between 0.4 to 3.5 Cq = Quality and comfort indicators that increase or decrease the value, taking into consideration the number of floors a property has, a swimming pool on the property and even the existence of an elevator. Cv = Determines the age of the property, the more recent the build the higher the coefficient.
• An individual owning a property with a rateable value of €550,000 will be exempt of the AIMI, and only the standard IMI of 0.3% on the VPT will be applied.
• An individual owning a property with a rateable value of €850,000 will be charged as follows:
• €850,000 - €600,000 = €250,000 x 0.7% = €1,750 AIMI+ (€600,000 x 0.3% = €1,800 IMI) AIMI + IMI = €3,550 total tax payable.
• An individual owning a property with a rateable value of €1,100,000 will be charged as follows:
• €1,100,000 - €600,000 = €500,000 x 0.7% = €3,500 AIMI+ (€600,000 x 0.3% = €1,800 IMI) AIMI + IMI = €5,300 total tax payable.
• An individual owning more than one property, whose rateable values combined exceed €600,000 will be taxed based on the same principal as above.
• Property owned in white listed company structures will be taxed 0.4% on the total rateable value.
• Property owned by a company registered in a black listed territory will be taxed at 7.5% on both IMI and AIMI values.