1.- Approval of the table of cadastral values of urban real estates in the municipality of Marbella.-
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1 REF: APPROVAL OF THE TABLE OF CADASTRAL VALUES OF THE REAL ESTATES IN THE MUNICIPALITY OF MARBELLA, BY ORDER DATED JULY 22 ND 2.011, PUBLISHED IN THE OFFICIAL PROVINCIAL BULLETIN (B.O.P) ON THE 26 TH OF SAME MONTH AND YEAR. 1.- Approval of the table of cadastral values of urban real estates in the municipality of Marbella On July 26 th it was published in the Official Gazette of the Province of Malaga (B.O.P) the resolution approving the table of cadastral values of urban real estates in the municipality of Marbella, which will be in force on January 1 st The table of cadastral values is the technical-legal instrument through which the Cadastral Authority can review the cadastral values of urban real estates in the municipality of Marbella, which have been in force for the last 23 years The justification for the approval of the table of cadastral values, is based, on the one hand, on the need to update cadastral values approved 23 years ago for its adaptation to the current market values, and also on the need to update them, according to the impact in the value of the real estates of the Master Plan of Marbella approved (Order of the Ministry of Public Works dated February 25 th 2.010, published in the Official Gazette of Andalusia (B.O.J.A) on May 20 th 2.010) The cadastral value of the real estates is the tax base used to calculate the amount of certain taxes: Local Property Tax (hereinafter, called in Spanish I.B.I), which is payable yearly. Notwithstanding that, the Law foresees a reduction in the tax base that is going to be applied during 9 years since the new cadastral values start to be in
2 force. It means that the quota of the I.B.I tax to be paid, will be gradually increased year by year until the ninth year, and from then, the quota of the tax will be paid in whole. In addition to that legal reduction, on September 23 rd 2011, the Townhall of Marbella has approved initially a municipal Ordinance (called in Spanish Ordenanza Reguladora del Otorgamiento de Subvención para el pago de la cuota líquida del impuesto sobre bienes inmuebles de naturaleza urbana ) regulating the granting of a subsidy for the payment of the I.B.I. This initial approval was published in the Official Gazette of the Province of Malaga, of October 19th 2011, being currently on public exposition for period of 30 days. The said Ordinance is supposed to be in force first on January 1 st foresees the following: 2012, and it It regulates a subsidy to all those citizens who were registered in Marbella (en the Padrón Municipal) on 31 st December of the year preceding the one when the subsidy is requested, and they should be current on compliance with tax or Social Security obligations, as well as current of obligations with the Town Hall. The residents in a tax paradise can not be beneficiaries of this subsidy. - The subsidy must be requested between February 1 st and March 31 st for each year in which it is intended to be obtained. - The amount of the subsidy is a percentage on the tax base, depending also on the cadastral value of the property:
3 Between 0 and : 10% Between and : 5% Between and : 3% From : 1.5% Income and Wealth Tax, to be paid yearly. It should be taken into consideration that the tax base to calculate these taxes is the highest of the following three: cadastral value, the one approved by the Tax Authority for another taxes, or the acquisition value Transfer Tax, Inheritance Tax and municipal Plusvalue, which are due at once, and because of the transmission of a real estates, inter vivos or mortis causa. 2.- Notification of the new cadastral values to the owners.- Once approved the table of the new cadastral values for real estates located in Marbella, according to the resolution before mentioned, the Cadastral Department should notify each of the owners the new individual cadastral value corresponding to each real estates. The table of the new cadastral values approved by a resolution dated July 22 nd 2.011, will determine an increase of the cadastral values on a percentage from 100% to 300% in average. 3.- Complaints against the new cadastral values, and against the table of cadastral values.-
4 The owner could submit an appeal, directly against the new cadastral value assigned, or indirectly, against the table with the new cadastral values, which establishes the criteria to determinate those values. Within the term of one month since the notification, the owner can submit an appeal (in Spanish called recurso de reposición) before the Gerencia Territorial del Catastro), or before the Tribunal Económico Administrativo Regional o Central, depending on the amount. The appeal can be based in a material mistake in the determination of the value of the real estate, or, in case, arguing that the new cadastral value assigned to the real estate is higher than the market value. In case of considering a material mistake existing in the cadastral value assigned, an appeal should be submitted in order to get in rectified. Should it be considered that the cadastral value assigned is higher than the market value itself, our opinion to the same is that it is quite difficult to obtain a resolution that could be favourable to the reduction of the assigned cadastral value. We are conscious about the current market circumstances, and the drop of the prices of the real estates in general, specially those ones located in the urban areas (plots, residential, houses, commercial locals, etc.), and consequently we understand that those circumstances should have been taken into consideration, by curbing the increase of the cadastral values that were approved 23 years ago. In shortly, we hereby express our opposition to the revision of the cadastral values in whole, specially, taking into consideration the current situation of the real estate market, as commented.
5 But however, based on our professional experience because of the revision of the cadastral values in others municipalities, our opinion about the possibility of an owner starting an appeal against a cadastral value assigned, by arguing that the cadastral value assigned is higher than the market value, is that in order to try to get a favourable resolution, it should be ordered and submitted a technical report prepared by an evaluator that could prove that the new cadastral value assigned is higher than the market value. In any case, each of the cases should be analysed individually with the purpose of deciding whether the appeal against the new cadastral value assigned, as well as, at the same time, against the table of cadastral values, could be viable and convenient or not. Marbella, November Fdo. Ángeles Contreras Liger. Pérez de Vargas Abogados angeles@perezdevargas.com
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