Rosarito to Forgive Penalties on Property and Transfer Taxes Now Through Oct. 31
ROSARITO BEACH, BAJA CALIFORNIA, MEXICO---From now through Oct. 31 the city will forgive any past due penalties on people who pay back property taxes, including transfer fees.
“Many people don’t understand what the property tax requirements are and we’re trying to help them by offering this grace period,” said Mayor Hugo Torres.
Much of the confusion is on the transfer fee, which requires buyers of any property that includes some land ownership, including condos, to pay the city 2 percent of the purchase price, Mayor Torres said.
Not only is it illegal not to pay this tax, people who have not done so might not have had the transaction legally registered and their ownership might not have been confirmed.
While the transfer fee is a one-time assessment, penalties can be substantial. For example, the fee on a $300,000 purchase would be $6,000 --- but after five years a total of $12,000 in penalties would accumulate, making the amount owed $18,000.
“This grace period until Oct. 31 can result in tremendous savings for people,” said city tax collector Jorge Casteneda. “Plus by paying back obligations, they will know they are in compliance with the law and have clearly established ownership.”
The transfer fee applies to the purchase of undeveloped land, condominiums and structures which include land ownership. It must be paid by the buyer. Penalties on unpaid yearly property taxes also will be forgiven for anyone who pays them by Oct. 31.
To pay back transfer fees, people need a copy of the purchase agreement, an appraisal and a property tax bill. Payments can be made at the Casteneda’s office at City Hall from 8 to 4 Monday through Friday and 9 to 1 on Saturdays.
Additional information is available by calling 661-614-9647.