Unfortunately, the process of revaluation has become an issue between the governing and opposition Political Parties, in Altea, and as a result much of the information offered, has a political slant. The Association is a non political body, and it is our duty to try to advise you on the situation, with accurate information. We believe that the situation is as follows.

Under Spanish Law, ( Ley Del Catastro Inmuebalario 2004, a revision of the previous 1994 law), the  Ratable Value( Catastral) of all properties and land, must be reviewed, every 10 years. Town halls have some flexibility, in that the law states a revision can not be applied for within less then 5 years of the last one, but that town halls are obliged to request a revision after 10 years of the previous review.

The review itself is undertaken by an independent National organization, the Dirección General del Catastro. The Catastro concentrates on the physical dimensions of a property, determining its exact location, description and boundaries. It is also concerned with establishing a valuation, the “valor catastral”.

The Valor Catastral, is used as the basis for calculating the individual property taxes, in particular, the IBI, "Impuesto sobre Bienes Inmuebles", levied by the Town Halls. The level of IBI is determined locally, and   varies widely from one municipality to another. Therefore, although catastral valuations of properties may rise, the cost of IBI does not necessarily rise.

The last revision to be carried out in Altea was in 1996. Therefore legally, a revision should have been requested by 2006. The previous administration, chose not to do this. One consequence of this inaction is that, after 10 years, it is not possible to carry out individual revaluations. Therefore, many of the properties, which were undervalued, or not even registered for tax, continued to pay no IBI, or at a lower rate. The new revaluation has identified hundreds of properties, including entire apartment blocks, that were not paying any IBI.

Contrary to the rumours, which have been spread, regarding the consequences of this revision, the Ayuntamiento have provide the following information :-

• 30% of dwellings will see their 2010 IBI bill decrease, and many will remain the same as 2009. This is because the Ayuntamiento in Altea has decreased the % paid on IBI  from 0.825% to  0.75%.
• 10,000 properties will be paying only between 5 and 15 euros a year more.
• Those who complain their valuations have risen can appeal if the valuation is more then 50% of the market value.

• The higher valuation will benefit those who have the misfortune of experiencing loss (e.g. through fire) or through expropriation for road building ( e.g. Variante)etc. because compensation is based on rateable values.

• The cases where payment has increased are for property and land where values were well below the real market value.
• The Ayuntamiento has introduced a reduction for large families, (“familias numerosas”) of 20%, to reduce hardship.
• With regard to other taxes the most affected is capital gains, and here the Council is investigating what action it can take to see if the impact can be reduced. As far as personal income tax is concerned this only affects those with properties in addition to the one they live in, or for which they receive income because they rent it out.

In any revaluation exercise, there will be some who gain, and some who loose.  There are also some who’s valuations may be incorrect, and these should be identified as quickly as possible. In these situations, there is an appeal process.

Advice on this process, and for a calculation of the actual level of IBI that individuals may have to pay next year, an office has been established in the Ayuntamiento, in Altea, on the first floor. There you can receive an individual calculation of the tax consequences for you particular property.

We advise all our Members, who are concerned about their revision, to go directly to this office, and to verify the situation for themselves. You can also calculate your IBI at the Ayuntamiento web site,  www.ayuntamientoaltea.es