Municipal Capital Gains Tax in Málaga 2026: Complete Guide to Calculation, Deductions and Deadlines
Selling a property or receiving an inheritance on the Costa del Sol involves a number of tax obligations that can be confusing. If you are going through this process, you have probably wondered: How much will I pay in municipal capital gains tax in Málaga in 2026?
From Pineapple Homes Málaga, we have prepared this updated guide so you understand how the IIVTNU (Tax on the Increase in Value of Urban Land) works after the latest amendments to the Málaga City Council's tax ordinances for this year.
What is the Municipal Capital Gains Tax and who must pay it?
The municipal capital gains tax is a levy on the increase in value of urban land during the time you have owned it. It is essential to distinguish who is the taxpayer depending on the type of transaction:
In a Sale: The tax is paid by the seller (the person transferring the property).
In an Inheritance or Gift: The tax is paid by the person who receives the property (heir or donee).
Important: If you sell a property and can prove that there has been a capital loss (you sold for a price lower than you bought), you are exempt from paying this tax under current national regulations.
News in Málaga for 2026
The Málaga City Council, through Gestrisam, has introduced significant improvements to the discounts for this fiscal year, especially for transfers due to death (mortis causa):
Reduction for inheritance for non-cohabitants: The discount increases from 25% to 37.5% in 2026.
Discount for cohabitation: The reduction of up to 95% is maintained for heirs who lived with the deceased (subject to cadastral value).
Relaxation of requirements: The obligation to keep the dwelling for the two years following the death to enjoy the cohabitation discount has been eliminated.
How to calculate the Capital Gains Tax in Málaga in 2026
Currently, there are two calculation methods. the taxpayer can choose the one that is most advantageous (the one with the lower amount):
1. Real Method (Actual Capital Gain)
It is calculated on the real difference between the acquisition value and the transfer value.
Formula: (Sale Value - Purchase Value) × % of Land Value × Tax Rate
2. Objective Method
It is based on the cadastral value of the land and coefficients that depend on the years of ownership. The coefficients for 2026 have been updated to reflect the reality of the real estate market.
Tax Rate in Málaga: It remains at 30%.
Inheritance Discounts (Specific Cases)
Málaga is one of the cities with the greatest tax benefits for family transfers. Depending on the property's cadastral value, the discounts on the tax amount are:
Property's Cadastral Value | Discount for Cohabitation |
Up to €100,000 | 95% |
From €100,000.01 to €150,000 | 80% |
From €150,000.01 to €200,000 | 70% |
From €200,000.01 to €250,000 | 50% |
More than €250,000 | 25% |
Deadlines and Procedures with Gestrisam
Do not miss the deadlines, as delays incur surcharges of between 1% and 15% plus late payment interest.
Sale/Gift: You have 30 business days from the date of the deed.
Inheritances: The deadline is 6 months from the date of death (extendable by another 6 months if requested within the first period).
How to carry out the procedure?
You can process the self-assessment through the Gestrisam electronic office or by requesting an appointment for in-person assistance at their Tabacalera offices (Av. Sor Teresa Prat, 17).
Conclusion
The handling of municipal capital gains tax in Málaga in 2026 is more favorable for heirs than in previous years, but it requires technical analysis to choose the correct calculation method and avoid overpaying.
At Pineapple Homes Málaga, as experts in the local real estate sector, we help our clients process all the necessary documentation so that their sale or inheritance is as simple and profitable as possible.
Do you need help selling your property in Málaga or calculating your taxes? Contact us today and let our team of experts take care of everything.
