Spain: Valuation of moorings for real estate transfer tax purposes requires physical inspection (Balearic Islands Tribunal decision)

The Balearic Islands Regional Economic-Administrative Tribunal (TEAR) held (Resolution 07/01785/2024/00/00) that the absence of a physical inspection by an expert appraiser invalidates the appraiser’s valuation report as a sufficiently substantiated basis for assessment of a mooring for real estate transfer tax purposes.

The TEAR cited recent and consistent case law from both the Spanish Supreme Court and the High Court of Justice of the Balearic Islands, noting that the absence of a physical inspection prevents the appraiser from considering key factors such as:

• The specific location and orientation of the mooring within the marina
• The quality and availability of port services and infrastructure
• Accessibility and surrounding conditions

Background

In Spain, moorings in marinas are not privately owned but are granted under long-term administrative concessions—typically lasting up to 30 years—over public maritime domain. These concessions confer a preferential right of use, subject to regional legislation and administrative oversight, rather than full ownership. As such, the transfer of mooring rights is treated as a transfer of real estate rights subject to Spanish transfer tax (Impuesto sobre Transmisiones Patrimoniales Onerosas (ITP)).

In the Balearic Islands, the applicable ITP rates range from 8% to 11%, depending on the value of the transaction. In recent years, the Balearic Tax Authorities (ATIB) have been actively reviewing the declared values in mooring transfers, issuing provisional tax assessments based on valuation reports prepared by third-party firms, often without any physical inspection of the mooring. These reports have been used to justify upward adjustments to taxable income, resulting in higher tax liabilities for taxpayers.

Read an October 2025 report prepared by the KPMG member firm in Spain