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Property Transfer Tax (ITP) for Recreational Boats
The buyer’s first obligation when acquiring a second-hand recreational boat is to settle the property transfer tax or ITP. This tax depends on the contract value, market value, the autonomous community where the buyer is domiciled, and the boat’s length. At Oceanautic, as specialists in boat rentals and catamaran rentals in Malaga, we work with a tax and accounting firm that handles the tax filing and processes the boat’s ownership transfer documentation.
Property Transfer Tax
Who Must Pay the ITP?
The obligation to file and settle the property transfer tax falls on the boat buyer. This tax only applies when the transaction occurs between private individuals. The ITP is not settled when the seller is a company, even if the company does not engage in nautical activities. In this case, if the boat is purchased on the second-hand market or if the registered owner is a company, VAT must be settled through an invoice.
The transfer tax for vehicles and boats is filed using various forms—depending on the autonomous community. The standard forms are 620, 621, or 600 if the generic form is chosen. Form 600 is typical in non-coastal autonomous communities. However, knowing the specific form is not necessary. Many autonomous communities have programs that allow for form preparation, filing, and payment.
The deadline for paying the tax depends on the autonomous community; however, the general criterion is that the tax must be filed and paid within 30 days following the contract signing.
How Is the Property Transfer Tax Calculated?
Basically, the property transfer tax (ITP) is settled on the amount agreed in the sale and appearing in the recreational boat’s sales contract. However, the Ministry of Finance publishes an annual valuation of recreational boats in the Official State Gazette (BOE), known as the “Treasury tables.”
If the boat appears in the “Treasury tables,” the table value can be settled. Our recommendation is to file the ITP form through a tax or accounting firm.
Boat ITP by Autonomous Community
The transfer tax applied to boat sales is the responsibility of each autonomous community. Therefore, attention must be paid to the settlement criteria imposed by the autonomous community where the buyer is domiciled.
Below we have compiled information from various administrations regarding the applicable tax rate.
| Autonomous Community | Criteria | Tax Rate |
| Andalusia | General Over 8 m | 4% 8% |
| Catalonia | General | 5% |
| Castile and León | General | 5% |
| Valencian Community | General Over 8 m Over €20,000 | 6% 8% 8% |
| Galicia | General | 1% |
| Extremadura | General | 6% |
| Canary Islands | General | 5.5% |
| Madrid | General | 4% |
| Murcia | General | 4% |
Our nautical advisory service includes the preparation, filing, and payment of the property transfer tax associated with the boat sale. We work with an accounting firm that guarantees the process and enables filing in all autonomous communities.
ITP and Foreign-Flagged Boats
Must the transfer tax be paid if the boat has a foreign flag? The answer is YES. The tax is independent of the boat’s flag. A boat with a Polish, Dutch, or any other country’s flag must have the transfer tax settled, as the tax applies to the contract when the buyer is a tax resident in Spanish territory.
In the ownership transfer of boats with Spanish and foreign flags, our tax advisory service can handle the filing of the property transfer tax as an additional service to the boat’s change of ownership.
