How is the usufruct calculated?
Usufruct for life
It is based on the basis that, to calculate the taxable income of the usufruct, it is calculated using the following formula: 89 - age of the usufructuary (with a minimum of 10% and a maximum of 70% when the usufructuary is less than 20 years old.
Example:
If the usufructuary is 69 years old, and what is transmitted is the usufruct of a property with a real value of € 200,000, the calculation would be as follows:
89-69 = 20%
200,000 x 20% = € 40,000 (usufruct value)
Therefore, the Taxable Base of the tax, whether it is an onerous or free transfer, will be € 40,000, to which the TPO or ISD tax rules will apply, depending on the type of transfer.
4.2. Temporary usufruct:
The temporary usufruct will be valued at 2% of the value of the asset for each year of duration of the usufruct without exceeding 70%.
Example:
Temporary usufruct: 10 years
10 x 2% = 20%
200,000 x 20% = € 40,000
Once the Tax Base has been obtained, the rules of each tax (ITP or ISD) must be applied depending on whether it is a free or onerous transmission.