A new tax blow: a decrease in foreign investments in real estate in Spain.

real estateinSpain. This change covers not only the wealth tax, but also the tax on large estates, and in practice means an additional tax charge for estates over €3 million, which will have to pay up to 3.5%.

According to experts, these changes may become an obstacle to attracting new foreign investment in the sectorreal estateand lead to discriminatory situations between non-residents and residents. They also raise doubts about interpretation and will have broad implications.

Experts say the wealth tax change has profound implications and could discourage new investment in thereal estateSpain.

For example, the change applies to all types of real estate, with no distinction between residential properties and other assets used for economic activity. This may affect both owners of real estate used for personal use and investors,seekerseconomic return through investment.

Experts also note that such changes could negatively affect not only new investment, but also tax collection, and result in lower collections than expected by the Finance Ministry. They also criticize the inconsistency in encouraging foreign investment in recent years through the so-called 'Golden Visa', and the tightening of taxation by the current government.