Selling a home in Alicante in 2025 means knowing exactly which taxes you will have to pay to avoid surprises and correctly calculate the true profit from the sale. Many owners focus only on the sale price, but are unaware that taxes, fees and withholdings can significantly change the final amount they receive.
At Mayrasa we work every week with owners who are going to sell and need clarity, exact figures and an appropriate tax strategy to make the transaction profitable. That is why we have prepared this updated 2025 guide on the taxes when selling a home in Alicante, explained directly, practically and without unnecessary jargon.
What taxes do you pay when selling a home in Alicante?
In 2025, any owner selling a property in Alicante must consider three major tax blocks:
• Municipal Capital Gains Tax (Impuesto sobre el Incremento del Valor de los Terrenos de Naturaleza Urbana)
• IRPF on capital gains
• Specific fees and withholdings depending on the case (not always taxes, but they affect what you receive)
Let’s look at each one.
Municipal Capital Gains Tax in Alicante 2025
This is the best-known municipal tax. It is charged by the Alicante City Council (or the corresponding municipality) for the increase in the land value from when the property was acquired until it is sold.
Who pays it?
In 99% of cases, the seller pays it. Only in exceptional transactions is it agreed otherwise.
How much will you pay?
It depends on three factors:
• Cadastral value of the land
• Years elapsed since purchase
• Percentage applied by the city council
Since the legal change, the seller can choose between two methods:
• Objective method (official coefficients by years)
• Real method (if you demonstrate that the increase was lower)
At Mayrasa we usually recommend using the method that implies the lower cost. Each case is studied with real documents.
What if there has been no gain?
If the flat is sold for the same or a lower price than it was bought for, the seller may be exempt from paying the municipal capital gains tax, provided this is documented.
IRPF on selling a home in 2025
This is the most important tax because it directly impacts the final profit.
For IRPF purposes, the Tax Agency considers you have obtained a capital gain if you sell your home for a value higher than what you originally paid.
How is the capital gain calculated?
The formula is straightforward:
Sale price
– (Purchase price + purchase costs + justified renovations)
= Gain subject to IRPF
IRPF rates 2025
These are the rates applied to the gain obtained:
• 19% for the first €6,000
• 21% from €6,000 to €50,000
• 23% from €50,000 to €200,000
• 27% from €200,000 onward
For properties with a large increase in value, the impact can be considerable.
Can IRPF be avoided? Yes, in these cases:
1. Exemption for reinvestment in a main residence
If you reinvest the sale proceeds in buying another main residence, you can be exempt from IRPF.
2. Exemption for people aged 65 or over
If you are 65 or older and sell your main residence, you are exempt from IRPF, without needing to reinvest.
3. Exemption by establishing a life annuity (people aged 65 or over)
If it is not the main residence, but you invest the gain in a life annuity, you can also avoid paying.
4. Sale with a loss
If you sell for less than you paid, you have no gain and do not pay tax.
At Mayrasa, when an owner hires us to sell, we review their tax situation to determine which strategy is most beneficial before setting the listing price.
Other costs that affect the final amount (although they are not taxes)
Many owners believe they will only pay IRPF and municipal capital gains tax, but when selling they must also consider several costs:
• Energy certificate (mandatory to sell)
• Simple land registry search and additional documentation
• Mortgage cancellation costs (if any)
• Real estate agency commission
• Minor repairs to improve condition
• Legal/administrative fees (if desired)
These costs are not taxes, but they do reduce the net amount of the transaction.
What happens if the buyer is a foreigner?
Very common in Alicante, especially in areas like Torrevieja, Orihuela Costa or Playa San Juan.
Sellers should know that:
• If the buyer is a non-resident foreigner, this does not change your taxes.
• What does happen is that the buyer must withhold 3% of the sale price for the Tax Agency if they are non-resident, but that withholding is applied to the buyer, not the seller.
Even so, many owners consult us about these doubts during sales processes in Mayrasa’s sales areas.
Common mistakes when selling a home that increase taxes
The most common mistakes we see among owners are:
• Believing that “you never have to pay IRPF”
• Not keeping invoices for renovations
• Not proving the real purchase price
• Not planning a reinvestment to reduce taxes
• Not reviewing the municipal capital gains tax using the two available methods
• Setting a sale price without a fiscal calculation
• Taking advice from friends instead of a professional
A tax mistake can cost thousands of unnecessary euros. That is why, in our real estate advisory service we always include a fiscal review before launching a property to the market.
How to reduce what you pay when selling (legally and optimally)
Here are professional strategies many owners do not know about:
• Justify renovations to increase the “acquisition value”
• Prove costs associated with purchase or sale
• Adjust the final price to balance taxation and profit
• Apply the reinvestment exemption correctly
• Check if the real municipal capital gain is less than the objective one
• Demonstrate a capital loss if applicable
• Analyze which part of the sale can be optimized according to the owner’s age
These strategies can mean differences of several thousand euros between paying too much… or paying what is fair.
Conclusion
Knowing the taxes when selling a home in Alicante in 2025 is essential to make informed decisions. Selling is not only a real estate transaction: it is also a tax transaction. Understanding how municipal capital gains tax works, how much IRPF you will have to pay and what additional costs you must consider lets you calculate the real profit from the sale and plan with confidence.
At Mayrasa we accompany owners throughout the process: realistic property valuation, pricing strategy, buyer management and a complete tax analysis to optimize every euro.
