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Extra expenses: what taxes do you have to pay when you buy or sell a property

2021-08-25T09:42:50.015Z


They represent between 10% and 12% of the value of the home. What each party must pay at the time of writing.


Silvana Saldisuri

08/25/2021 6:00 AM

  • Clarín.com

  • Services

Updated 08/25/2021 6:00 AM

When buying or selling a property, stakeholders should not only look at the price of the house.

The

commissions real estate

, the

tax

and

writing

represent an important impact on the final cost of the transaction. 

In this sense, it is necessary to know that between

10% and 12% of the value of the house

will go to the

notary's fees

, the payment of taxes and certificates and the real estate commission.

The first point to take into account is that, in general terms, it is

the buyer

who

chooses the notary public

who will participate in the act of sale.

The function of the clerk's office is to check and confirm that all the documentation and papers are in order and comply with the legal provisions.

When buying or selling a home, in addition to the price, you have to consider the extra expenses.

Photo: Archive

There are

properties

that may have some

embargo

,

inhibition

or that simply have several owners and one of them has a problem that makes it impossible to sell their part.

That is why the figure of the clerk is key throughout the purchase process.

What is the documentation required to deed a property?

.

The

title of the

original

property

registered in the Real Property Registry.

.

The

purchase-sale ticket

, if it has been signed.

.

Photocopies of

DNI

and the

CUIL / CUIT certificate of

the buyer, seller and their partners or spouses when applicable.

.

Notaries must require the buyer to

justify the funds

used for the operation, if it currently exceeds $ 12,300.00.


.

In the event that any of the persons involved does not attend the signing of the deed, it is necessary to make

an original power of attorney

with the sufficient powers of the same for the act.

.

The

divorce decree,

if applicable.

.

The

ballots of taxes

, fees and charges.

The buyer of the property is the one who chooses the notary who will participate in the operation.

Photo: Archive

.

The

Inhibition Report

, which exposes the current situation of the seller and the

Domain Report

, which instead, provides the ownership of the property and shows whether it has any type of lien.

Both are issued by the Property Registry of the Property and can take between 2 and 5 business days for properties in CABA and approximately 15 days for the province.

.

The Certificate of non-withholding of

the Property Transfer Tax

(ITI) 

.

The

Stamp Tax

, which is a local tax.

.

The

COTI

(Real Estate Offer and Transfer Code) is an informative duty that must be obtained by the owner through the AFIP website prior to the deed, provided that the value of the property is greater than $ 1,500,000.

.

In the event that the

property

to be sold is

located in the Province of Buenos Aires,

it is also required to have the Parcel Status report, a document that assesses the surface, measurement, delimitation and valuation of the land surface or The building;

which is performed by a registered surveyor.

10% and 12% of the value of the house is allocated to fees, payment of taxes, certificates and real estate commission.

Photo: Archive

What are the deed expenses when buying or selling a property?

As detailed by the prosecutor of the College of Notaries of the City of Buenos Aires,

Ricardo Blanco Lara

, to

Clarín

, when a single home deed is made, it refers to the purchase of the first home for the owner, in cash and without credit.

All notarial fees are governed by local regulations and by the tax codes of the jurisdiction that corresponds to the property.

"They are divided into expenses, taxes and fees. Most of these are related to the purchase price. Regarding expenses, it must be taken into account that some correspond to the selling party and others, to the buyer," said Blanco. Lara.

The data detailed below are to carry out a deed of sale in

CABA.

Buyer's deed expenses:


.

Stamp Tax:

 the buyer pays half of the stamps.

1.2% in the province of Buenos Aires or 1.8% if the property is owned by CABA.

.

Registration

fee

whoever acquires the property must pay this fee, which is 0.2% and the notarial contribution, also 0.2%, both in relation to the value of the transaction.

.

Right to write: 

It is a variable amount that depends on the value to be notarized.

It starts at $ 3,500 for a deed of $ 250,000.

.

Notary fees:

this value will be paid exclusively by the buyer.

Although this amount is the only one that can be negotiated directly with the professional, in general terms it is between 3% and 4% of the value of the property, plus VAT.

Deed expenses.

Graphic: Courtesy College of Notaries of the City of Buenos Aires

Seller deed expenses:


The

seller

is responsible for half of the stamp tax, the taxes corresponding to the sale and the expenses prior to the signature that are related to the background check of the property and the property owners.

These are:

.

Certificate of

 ownership

:

provides ownership of the property and shows whether it has any type of lien.

.

Certificate of inhibitions:

 exposes the current situation of the seller.

It is key that the seller present to know that there is no owner of the property for sale seized, that is, unable to sell.

Any of the two requested in CABA urgently have a value of $ 820, while in the common period of time they cost $ 410.

In the GBA the price of the report in simple act has a price of $ 850, in case of being urgent or in the day, $ 2,050 or $ 4,050 respectively.


.

Certificate of free property debt: it is

used to know if the property owes taxes to the municipality and if it does, how much it amounts to.

.

Certificate of Degree Study:

0.2% (plus a base of $ 10,000 which may vary by jurisdiction)

.

Stamp Tax:

the half that corresponds to it that also varies according to the jurisdiction.

For example, in the province of Buenos Aires it is 2% (the seller pays 1%) and in CABA it is 3.6%.

Both jurisdictions contemplate partial exemptions, if it is a single property and first home, as is the case of CABA, which currently exempts up to the sum of $ 5,000,000 from the tax.

If the operation exceeds this amount, you must pay taxes for the difference.


.

National Tax (AFIP): it

is a tax that is applied to people who acquired properties until December 31, 2017. It is called Property Transfer Tax (ITI) is 1.5% for individuals.

Legal persons do not pay ITI but income tax.

If the property for sale was acquired as of January 1, 2018, either a natural or legal person pays income tax, which is on account of the corresponding declaration.

Only the percentage varies: individuals 1.5% and legal persons 3%.

That is, for individuals, as of this date, all pay it but can request an exception in the AFIP in the event that they sell to buy another family home (within a period of one year).

For this, the seller has to make a presentation in the AFIP to be exempted from the payment

LN

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Source: clarin

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