Note
Stamp duty in Spain explained
Quick answer
What English-speaking buyers call stamp duty is, in Spain, two different taxes. On a resale it is the regional transfer tax. On a new home, the deed carries AJD, a separate tax set by each region, charged alongside VAT.
Applies toBuyers from countries with a stamp duty on property, such as the UK or Ireland, who want to know what the Spanish equivalent is. New-home buyers need the AJD part most.
On this page: 7 sections
What changed
- Page published. Madrid proposal recorded as a proposal only.
§ 1Two taxes behind one phrase
Buyers from the United Kingdom and Ireland ask about stamp duty, expecting a single tax on the purchase. Spain has no tax of that name that works that way. What happens depends on the type of home. On a resale, the main tax is the regional transfer tax, covered in the transfer tax chapter of this section. On a new home from the developer, the sale carries VAT, and the notarial deed carries a separate tax, AJD, which is the closest thing to stamp duty.
§ 2What AJD is
AJD is a tax on certain documents, including the notarial deed of a new-home sale. It is set by each region, and it is charged in addition to VAT, which is 10% on housing from a developer. The base of the tax is set by the tax rules, so ask your adviser to calculate the amount for your deed rather than applying the rate to the price.
§ 3Rates we have verified
In Andalusia the rate is 1.2%, after a decree-law of 2021 reported by the regional government. In Madrid, an announcement of 5 October 2026 states the current rate on new-build deeds as 0.75%, and proposes 0.4% for under-forties buying a new home. The proposal is not law.
We do not print rates for other regions on this page because we have not yet verified them. Check the website of the regional tax authority, or ask your adviser, before you rely on any figure.
§ 4Why the region matters
Because the rate is regional, the same price can lead to different amounts of AJD in different regions. Compare the full tax on a new build, VAT plus AJD, with the transfer tax on a similar resale in the same region before you decide which route is cheaper. The comparison is explained in the taxes when buying.
§ 5Related reading
To see the whole cost, read the full cost of a purchase and costs that surprise buyers.
For the budget, how much extra to budget explains how to build a figure, and illustrative cost examples show the method.
§ 6Why the distinction matters for your budget
A buyer who budgets for stamp duty as a single percentage of the price will be wrong in one of two ways. On a resale, the real tax is the regional transfer tax, which can be higher or lower than the buyer expects. On a new home, the real cost is VAT plus the deed tax, and the two together are a different order of magnitude from either alone. Get the right tax for your type of home before you compare prices.
§ 7What to ask the seller
Ask the seller, or the developer, to state in writing which tax applies to the sale, at what rate and on what base, and who pays it. For a new home, ask separately about VAT and about the deed tax. The answers let your adviser check the figures and prevent a surprise at the notary.
FAQRelated questions
Is stamp duty paid on every purchase?
Not under that label. The tax you meet depends on who sells to you, and the contract should say which one applies. Ask for that in writing before you reserve, so you can budget for the right one.
Who sets the rate?
Each region sets its own, within the national framework. The same new home can carry a different rate on either side of a regional boundary, so look up the region where the home stands, not where you live.
Is the Madrid cut in force?
No. It was announced as a proposal on 5 October 2026 and does not apply to a deed signed today. Treat any saving that depends on it as unconfirmed until it becomes law.
Sources
- Junta de Andalucía: Parliament validates the decree-law lowering ITP to 7% and AJD to 1.2% (official source, opens in a new window), News itemLast checked 17 October 2026
- Comunidad de Madrid: Announcement of tax cuts for under-40 buyers, 5 October 2026 (official source, opens in a new window), Press release (proposal, not law)Last checked 17 October 2026
- Agencia Tributaria: Compro una vivienda: ¿tengo que pagar IVA o ITP? (official source, opens in a new window), Calificación IVA / ITPLast checked 17 October 2026
Tax note. Rates depend on the region, the type of property and the buyer, and they change. Figures here are dated and sourced; examples are illustrative and show their assumptions. Confirm yours with the regional tax agency or a tax adviser.