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NEWS NOTE

On October 16th, the Supreme Court of Spain surprised by stating that it were the banks and not the clients that had to pay the tax on the mortgages loan, also known as the Impuesto de Actos Jurídicos Documentados.

Given the great social and economic commotion about this change, as it supposed that the bank should return to their clients the paid tax, the Spanish Supreme Court finally decided to return to the first consideration where clients have to pay the tax and not the banks.

In this situation, the current Government of Spain has been forced to change the Law that regulates the tax so from November the 9thon will be the banks that finally have to pay the mortgage tax.

Due to this indecision of the Supreme Court and the constant changes caused by the Spanish Government, we are living a period of insecurity and legal uncertainty. We will remain vigilant and inform you of any important changes.

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