Spanish property tax slashed
Help is on its way to the Spanish property market as the country’s leaders investigate ways of boosting the beleaguered property market.
In a further effort to stimulate the property industry the Spanish government has announced plans to cut the sales tax on new homes to just 4 per cent - half the current levy, initial plans are for the lower tax to run until the end of 2011.
Prior to the financial meltdown the Spanish property market was a massive employment provider but as the lines of credit dried up so the unemployment figures started to mount. Spain has one of the highest unemployment rates throughout Europe.
Further measures are in the pipeline designed to stimulate the failing economy and a government spokesman said additional announcements would follow regarding a change in corporate tax charges and a review on drugs expenditure.