Impuesto sobre Bienes Inmuebles

Spain's municipal councils collect IBI, the Impuesto sobre Bienes Inmuebles property tax, under national law and local ordinances. Its assessment uses cadastral value, the value recorded for tax purposes. The National framework distinguishes urban, rural and specially classified property. Ownership is one taxable right; the law also identifies usufruct, surface rights and certain administrative concessions.

The Local Finances Law sets the tax's basic structure, while municipal rules determine local rates and permitted adjustments within that framework. A property's sale price therefore cannot by itself establish the amount due. Understanding an IBI demand requires the property's assessed value, applicable classification and local rules. For housing policy, the tax matters because it gives town halls a recurring charge attached to property rights, alongside their separate planning and licensing powers.