Balearic Boom

The global economic crisis does not appear to hitting the luxury property market in the Balearics.

The government is collecting more money than ever thanks to the tax levied on the sale and purchase of housing.

This year could set a new record for tax revenue if the trend of the first six months of the year continues: the sale and purchase of property has brought in 475 million euros, 162 million more than during the same period last year.

Last year was extremely positive, but 2022 could break all records. The government forecast was to collect 679.6 million euros, but if the level of sales continues, it could hit 950 million by the end of the year.

However, the tax office is not convinced and has predicted a slight cooling in the market, although the initial forecast will be broken.

There has also been a sharp increase in revenue from the tourist tax. 50 million euros were collected during the first six months of the year due to the revival of the tourist industry.