What is Ibi taxes?

Cuadro de texto: Firt of all I am going to explain to you what is IBI and in the second part of the articule I will explain the reasons why you don’t have any notice about it. IBI (local rates) is a municipal tax which has to be paid every year by owners of homes, premises, garages or plots, i.e, any urban property or buildings and also by owners of agricultural land or buildings. The tax rate which has been approved by each Town Council and depence of the value assigned to your property by the administration of known as Valor Catastral For example:


Cuadro de texto: How to read your IBI bill Organismo = Part of administration Ident. Valor = Identification of value Ref. lista = Reference on listing Concepto tributario = Concept of taxation Zona = Area Num. Recibo = Receipt number D.N.I. o C.I.F. = Identification number of taxpayer Objeto Tributario = Tax object Periodo = Interval of taxation Año = Tax year F. Alta = Year of fiscal registration Referencia catastral = Catastral reference number Nat. Bien = Class of property V. Catastral = Catastral valueB. Imponible = Rateable value Tipo = Tax rate Cuota = Gross taxes Bonificación = Deductions Deuda = Net taxes Rev. Valores = Year of last revision of value Sujeto Pasivo = Taxpayer Domiciliación Bancaria = Direct debit Sello y Fecha = Stamp and date


 You have applied for the property to be registered at the "catastro" and have not received any notification.There are tow possibilities :

1.-First of all call on your tax office. They will invite you to identify your property on the plan. If your property is not shown, they will help you to fill in a "Comparencia" (Act of Appearance) that you sign and they send on to the "Catastro". If the plans for your municipality are not available, they will inform you where to go to check the location of your property.

 As from 1 January 1995, whenever you purchase a home, you are obliged to apply for the property to be registered. The official application form is known as Modelo 902 and you can obtain it from your local tax office. The buyer of a property is the person obliged to declare the property for registration. However, in the majority of cases it will be the promotor of a block of apartments or a group of houses who submit this application.

2.- When you pay the IBI on your property for the first time, you will be billed by mail and the following years it shall be possible to have it done by direct debit through your bank.
If you buy a second-hand property and the previous owner can give you receipts for the local rates (IBI), you know that the property has already been registered. Your obligation then is to declare yourself as the new owner. This is done in the town halls xxxx, which will then send the application on to the "Catastro" for registration.
You will be asked to produce:
* Photocopies of your title deed (escrituras).
* The last receipt for local rates (IBI) for the property.
You will be given a copy of the application that you fill in and sign. The change in name will not appear on the tax bill before the next tax period.
Do remember that the law establishes certain time limits for this registration. For changes in ownership of a property, the time limit is two (2) months after signing the escritura. For registration of new buildings or renovations, it is also two (2) months from signing the "escritura de obra nueva" (deed for the building).
There are now fines for not complying with the obligations mentioned above, ranging from 10 to 1000€.