Land Law establishes an added value tax on lands

Richard Calderón, President of the Commission on Autonomous Decentralized Governments, clarified that with the Law of Territorial Planning and Land Use Management of the Ministry of Urban Development, only the added value issue would be clarified, because the Organic Code of Territorial Organization, Autonomy and  Decentralization (COOTAD for its Spanish acronym) already provides the 10% tax on profits in transfer of urban property and its capital gain.

Article 556 of the COOTAD establishes this percentage on profits and capital gains that come from the transfer of urban property.