Inheriting property implies a series of steps and procedures to be able to freely decide what to do afterwards: live in it, sell it or rent it. Whatever the case, it is highly advisable to consult with an expert in the field in order to follow the entire procedure correctly.
In the event of the death of a relative, the corresponding death certificate must be requested from the local Civil Registry and with this document, the certificate of Last Wishes will be subsequently requested from the Ministry of Justice of the province to know if the person had issued a Last Will and Testament or not and in which notary. If one has received a property in inheritance, it is convenient to request a simple note from the Land Registry (reflecting ownership of the home and situation respect to charges) and in this way confirm if it is free of charges.
Before one can sell or rent an inherited property, there are a series of procedures to be taken care of:
Sign the deed of adjudication of the inheritance before a notary
Value the property to know its fiscal value
Settle the Inheritance and Gifts Tax (the ISD in Spain) and the capital gain
Change the ownership of the property in the Land Registry
Regarding taxation, it should be noted that both for the payment of the ISD (Inheritance and Gifts Tax) and the capital gains there is a period of 6 months from the date of death of the deceased. It is possible to ask the administration to extend the period, but in this case it will be necessary to pay interest rates.This tax varies greatly according to each Autonomous Community. In fact, a good number of them have approved bonuses and reductions depending on the degree of kinship tin order to reach the zero quota.
It is important to know that the Inheritance and Gifts Tax will be paid in the Autonomous Community in which the deceased resided.
On the other hand, it must be clear that between parents and children there are several ways to transfer ownership:
Gift
Sale
Inheritance
Knowing the best option is difficult and one should analyze each particular case.
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