Square Meters – Luxury Tax Question

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  • #166759
    surfer02025
    Member

    Hello –

    I have a question about calculating the area of a house for luxury and/or muni tax purposes. We only know what our real estate brokers told us when we purchased a 6 year old house. We never actually verified our measurements, but have been a little suspicious that things were exaggerated in the sales process. With two taxes to pay now, it seems accuracy might be more important. We have heard that all construction “under roof” is the rule. So that means covered verandas, porches, terraces, etc. are included, correct? Our particular house also has large expanses of open terrace on the second floor. Do these open terraces (flat roof areas upon which it is possible to walk and which are landscaped with planters) also count in the square meter calculations. Thanks in advance for any information you can provide.

    #166760
    costaricafinca
    Participant

    Yes, it seems that these areas must be included. When an architect presents the initial plan for a home, the total square meters ‘under roof’ is what the price paid to the ‘College of Architects’ is based on, so it is what is registered. Unless, [i]they were added later on, with no permit….[/i]

    #166761
    surfer02025
    Member

    Thanks for your quick response. I get the “under roof” part. Its the terraces that are not “under roof” that I am asking about.

    Do you think there is a permit on file at the muni that would include the architect’s measurements. Is that sort of record keeping common here?

    I’m just concerned that our property has suffered inflation at the hands of brokers since its changed hands 3 times.

    #166762
    costaricafinca
    Participant

    Now I get it…but have no idea if that would be included, sorry! Although I would think so, as they are including sidewalks, and I read ‘garden areas’ although this seems ridiculous, but who knows…:cry:
    Obviously, inflation [i]has occured[/i] over the past 6 years, but most agents and home owners, declare a lower value rather than a higher one.
    There [i]should[/i] be a file, as this would be the only way for the municipality to gauge your tax base.
    It may warrant checking with a lawyer, if the amount you may be required to pay, seems worth it.

    #166763
    DavidCMurray
    Participant

    If, indeed, these large areas of open veranda upon which it is possible to walk are not also covered by their own roof, then I would be inclined not to count them. Is it not the case that, in a sense, you’re actually walking on the roof that covers the “under roof” space below? If yes, then it doesn’t seem like these areas should be counted twice any more than I would count the roof over my living room as additional space even though I can, technically, walk on it. I would argue that what you have is concrete roofs over the spaces below, rather than metal, tile, etc. What’s the difference?

    Or maybe not . . .

    #166764
    gkbiz
    Member

    What about swimming pool in the yard?

    #166765
    surfer02025
    Member

    After you value the house istelf, then you have to value all of its other components separately. Each item has a different value per sq meter and a different useful life. So, yes the pool and its surround have to be included, too. Roger Peterson’s book has been extremely helpful in understanding it and I recommend it if you are similarly struggling with compliance.

    #166766
    costaricafinca
    Participant

    Oh, that’s a definite ‘yes’! And the patio it is on….

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