La Massana Parish Council Approves 2025 Budget with €1.8M Surplus from Booming Property Taxes
Revenues hit €23.5M amid 86% jump in transfer taxes, offsetting lower construction fees, while expenses drop 4.4% due to reduced capital spending.
Key Points
- La Massana parish approves 2025 budget with €1.8M surplus on €23.5M revenues and €21.6M expenses
- Property transfer taxes surge 86% to €3.5M from booming real estate, offsetting drop in construction fees
- Capital spending falls 40% to €6.3M due to skipped land purchases; overall expenses down 4.4%
- Future plans include higher taxes on second homes and water use to ensure sustainability
La Massana parish council approved its 2025 budget settlement on Thursday, revealing a €1.8 million surplus driven by surging property transfer taxes amid robust real estate activity.
Revenues reached €23.5 million, including €21.7 million in current funds and €1.8 million in capital funds, against net expenses of €21.6 million after accounting for financial costs and assets. Operating expenses stood at €13.4 million, with capital spending at €6.3 million—a 40% drop from €10.4 million in 2024, mainly due to forgoing €3.3 million in land purchases from the previous year. Overall expenses declined 4.4%.
Property transfer taxes jumped 86% from €1.9 million in 2024 to €3.5 million, representing 15% of total revenues and fueled by more transactions and higher property values. This offset a €1.2 million decline in construction permit fees to €1 million, resulting from quotas limiting approvals to manage building growth. Property ownership taxes and rental income levies added €1.4 million more than in 2024, thanks to increased rates.
Personnel costs rose from €4.9 million to €5.3 million, reflecting seven new hires, salary hikes, interim staff regularizations, and inflation adjustments. Finance councillor Agustí Garcia attributed the tax surge to doubled property sales, while Cònsol Major Eva Sansa called the results satisfactory, noting the parish's appeal and prudent budgeting that foresaw only €1.3 million from transfers.
The council also approved an exemption from construction permit quotas for properties with forestry and agricultural uses. Sansa outlined future fiscal measures for sustainability, including higher taxes on second homes, adjustments to commercial space levies in apartments, and steeper rates for high water consumption, while stressing protection for ordinary residents.
Total debt stood at €21.5 million, mostly guarantees for entities like SETAP 365, which Sansa said stayed within legal limits under new European rules. Garcia urged reviewing underperforming services for cost efficiency.
Original Sources
This article was aggregated from the following Catalan-language sources:
- El Periòdic•
L’augment de compravendes d’habitatge eleva els ingressos i deixa un superàvit de 3,8 milions al Comú de la Massana
- Diari d'Andorra•
El 15% dels ingressos de la Massana provenen de la compravenda d'immobles
- Altaveu•
La Massana tanca el 2025 amb 1,8 milions de superàvit gràcies al volum d'operacions immobiliàries