Vehicle Taxes

The Transfer Tax On Private Sale

 

First Registration

The first registration of a vehicle in Spain is taxed by the Impuesto Especial sobre Medios de Transporte (registration tax).

Tax Depends On Age And Type Of Car

The tax depends on the age and type of car. You must first find the price for the car in question, determined by Hacienda for this tax, prices different from the sales-purchasing price.

Then you can reduce this price in accordance with a scale for the age of the car, where you end up with only 10% if the car is more than 10 years old. 

Rate Of Tax

On the real value you have arrived at by using this scale, you pay 4% tax.

Vehicle Already Registered In Spain

This tax is not applicable on sale of a vehicle that has already been registered in Spain.

The Paper Work On Buying a Used Car

 

There are three ways of buying a second-hand car:

 

Buying From A Dealer

You can buy from the dealer a car that has been traded in on a new purchase. Such a car will normally have been repaired and is sold with a guarantee.

Buying From Garages Or Used-Car Dealers

Or you go to one of the garages or used-car dealers. Here as well the cars may be repaired (sometimes only cosmetically brushed-up). In the better garages you may also get a guarantee.

Buying Privately

The third way is to buy privately. If you know the owner and the car, nothing is better. If you are reacting to an ad, be very careful. Study the documentation and bring an expert, or take the car to a garage where they can check it. On a private purchase you may make the best deal.

You Must Have These Documents

Whether you yourself do the transfer of the used car to your own name, or you leave it to a gestor, you must have the following documents:

a) The private purchasing contract signed by both parties and original and photocopies of their identification documents and NIF cards.

b) Permiso de Circulación for the car, signed on the back by the vendor, with a witness to the signature, for instance, by a bank.

c) Tarjeta de Inspección Tecnica for the car, with the stamps for the last technical inspection from the ITV.

d) Receipt for payment of Vehicle Tax for last year.

e) Solicitud de Transferencia, a grey form from Jefatura de Trafico, signed by the vendor, and his signature witnessed by the bank (It is better to go to the Jefatura together with the vendor).

f) Transferencia, a green document for the transfer of the municipal Vehicle Tax, signed by vendor.

g) The form 565 for the Impuesto Especial sobre Medios de Transporte, to be signed by the buyer or his representative and submitted to Hacienda (if the special registration tax is applicable).