Special Report: Marbella Tax Increases.

Mayor Ángeles Muñoz is set to increase taxes for businesses in Marbella. This new tax hike will mainly target leisure and hospitality businesses in Marbella.

IAE increase

The new increase in the”Impuesto sobre Actividades Economicas” is expected to help raise an additional €600,000 for Marbella City Council.

The tax hike will be based on the “weighting coefficients”, which is determined by business location. What does this mean for businesses in the area? The change means that businesses in a prime locations will be coughing up a lot more money to Marbella Council.

While city centre businesses will face the biggest blow, those tucked away in quieter parts of the city will feel a lesser, but still noticeable, pinch.

There was a previous IBI increase in 2024, which raised an extra €5 million to address budget issues. However, it was seemingly not enough, as the Council now plan to implement a further IBI increase in 2025.

The Government’s Justification for the Increase in Tax:

Of course, the government stated that tax increases are needed to update tariffs and cover administrative costs. The new IBI and IAE increases are expected to generate a further €2.7 million more for the municipality.

However, with businesses still recovering from the pandemic and an already high cost of living in Marbella, is this really the best time to ask for more?