Gascueña gives final approval to the municipal capital gains tax ordinance.

The Gascueña City Council has made final the amendment to the Fiscal Ordinance Regulating the Tax on the Increase in Value of Urban Land, known as municipal capital gains tax, since no claims were submitted during the public exhibition period. The agreement, adopted unanimously by the Plenary, is published in the Official Gazette of the Province of Cuenca of 12 August 2026 (ISSUE 1934, pages 70 to 73), which includes the full text of the new regulation.

The amendment was initially approved on a provisional basis and was exhibited for thirty business days on the municipal notice board and on the electronic office, in accordance with Article 17.3 of the Consolidated Text of the Law Regulating Local Finances, approved by Royal Legislative Decree 2/2004, of 5 March. Once the period had elapsed without objections, the agreement was automatically made final under Article 17.4 of the same provision, and the notice bears the signature of the mayor, Miguel Ángel Martínez Cuenca, dated in Gascueña on 10 August 2026.

A tax base linked to the cadastral value

The approved text reforms Article 8 of the ordinance, which determines how the tax base is calculated: the increase in value revealed at the time of the chargeable event, over a maximum period of twenty years, results from multiplying the value of the land at that time (the cadastral value for the purposes of the Real Estate Tax) by the coefficient corresponding to the generation period. The table of coefficients is set as follows:

• Less than 1 year and 1 year: 0.15; 2 and 3 years: 0.14; 4 years: 0.16; 5 years: 0.18.
• 6 years: 0.19; 7 years: 0.20; 8 years: 0.19; 9 years: 0.15; 10 years: 0.12.
• 11 years: 0.10; 12 to 15 years: 0.09; 16 years: 0.10; 17 years: 0.13; 18 years: 0.17; 19 years: 0.23.
• Equal to or greater than 20 years: 0.40.

The coefficients are applied to the current updated maximum under Article 107.4 of Royal Legislative Decree 2/2004; if the State General Budget Laws proceed to update them, they shall be understood to be automatically amended and the Mayor’s Office shall publicise the new values by means of a resolution.

Reductions and special valuation rules

The ordinance maintains the possibility of reducing the base when cadastral values are modified as a result of a general collective valuation procedure: the reduction may reach 60 percent and shall apply, at most, during the first five years of effectiveness of the new values, with the reduced cadastral value not being lower than the previous one.

It also incorporates specific rules for limited real rights of enjoyment over the property:

• Temporary usufruct: 2% of the cadastral value of the land for each year of duration, not exceeding 70%.
• Life usufruct: 70% of the cadastral value for usufructuaries under twenty years of age, reduced by 1% for each year over that age, with a minimum of 10%.
• Usufruct in favor of a legal entity for an indefinite term or for more than thirty years: equivalent to 100% of the cadastral value.
• Bare ownership: the difference between the cadastral value and that of the usufruct; rights of use and occupancy are valued by applying the usufruct rules to 75% of the cadastral value.
• Forced expropriations: the coefficients are applied to the portion of the fair compensation corresponding to the land value.

Furthermore, when at the request of the taxpayer it is established that the real increase in value is lower than that resulting from the objective calculation, the amount of said real increase shall be taken as the taxable base, in accordance with article 104.5 of Royal Legislative Decree 2/2004.

Appeals against the decision

Against the decision, an administrative contentious appeal may be filed before the Administrative Contentious Chamber of the High Court of Justice of Castilla-La Mancha, based in Albacete, within two months from the day following the publication of the notice, in accordance with article 19 of the Consolidated Text of the Law Regulating Local Finances and article 46 of Law 29/1998, of 13 July, on Administrative Contentious Jurisdiction.

With this approval, Gascueña updates the tax levied on transfers of urban land in the municipality, so that residents and taxpayers who sell or inherit properties will now know the rules with which the tax will be calculated: new coefficients, applicable reductions and the procedure for claiming a real increase lower than the objective one.

Source: Official Bulletin of the Province of Cuenca, No. 92, 12 August 2026, Local Administration section, pp. 70-73 (official reference: NO. 1934).