Mallorca

The island focuses tourism know-how like no other place and the ParcBit near Palma has developed into a tech meeting point for the tourist industry. Stefanie Claudia Müller, Palma de Mallorca The Spanish head of government Pedro Sanchez said last year that he wants to make Spain a 'start-up nation'. The country fulfils all the prerequisites for this and the various governing parties in the Balearics have tried for years to initiate a start-up boom. The regional government wants to free itself of its dependence on the fluctuating seasonal tourism business which threatens to explode, in particular the cruise ships. Fifteen years ago during the internet bubble, however, many of the companies went bankrupt again. Now, however, the breakthrough seems to have happened. Camper, Hotelbed...

Mallorca is one of the most attractive real estate markets in Europe. And it is the core market for Homes & Holiday AG (ISIN: DE000A2GS5M9), specialists in holiday real estate in Spain, and city real estate in Germany. The subsidiary company Porta Mallorquina is one of the leading real estate agents in Mallorca and has strengthened this position with two new licenses. The sales region of Mallorcas centre was assigned to Nicole Neipp and Roland Schepp. The new franchise partners took control of the region with immediate effect and will open a real estate office in Santa Maria this year. So far, the region was managed by Porta Mallorquina itself. The centre of the island is characterized by many beautiful country villas and fincas, and is becoming increasingly popular with buyer...

Around 300 days of sunshine per year are not only good for the soul, but are also an interesting alternative energy source. The Balearic Ministry for the Environment has issued a new support programme  for solar and photovoltaic systems.   Amongst other things the programme specifically targets private individuals who install systems with a capacity of up to 3 kWp, if their generated electricity is fed into the public grid. In this way their investment can be subsidised by up to 50% with public funds. Applications should be submitted to the Ministry for the Environment of the Balearic Islands by the 29.03.2019.

The acquisition There are three ways to become the owner of a property – buy it, inherit it, or receive it as a gift. A buyer has to deal either with sales tax (10% on completed residential real estate) or with land transfer tax (8 to 11 per cent).  In the case of an inheritance worth up to 700.000 euros the heir pays a Balearic inheritance tax of 1 per cent, always providing that he is a direct relative (spouse, child, grandchild or also, for example, parents) and has no other Spanish assets. Beware: In the case of other family relationships (brother, daughter-in-law, etc.) it becomes much more expensive. In the case of gifts, under the same ideal conditions as for inheritance the recipient would pay 7 per cent gift tax. Beware: The tax consequences for the benefactor can be consi...