Countries › Costa Rica › Guide › 11. Real estate and land › Property tax in Costa Rica: 0.25% municipal impuesto sobre bienes inmuebles

Property tax in Costa Rica: 0.25% municipal impuesto sobre bienes inmuebles

Last verified: 2026-10-30 · Status: Stable

Municipalities levy an annual property tax of 0.25% on the value of land and permanent buildings registered at 1 January. An individual's only property is exempt up to 45 salarios base (₡20,799,000 in 2026), and owners must declare value at least every five years. Sale prices and new mortgages automatically raise the taxable value, and unpaid tax is a preferential lien on the property.

USD figures use the Banco Central de Costa Rica reference selling rate of ₡454.82 per US dollar published for 29 October 2026 (indicator 318 on bccr.fi.cr), rounded to the cent.

Key facts

Municipal property tax rate	0.25 %Ley 7509 art. 23, as of 2026-10-30 · in force
Property tax exemption for an individual's only property (2026)	20799000 CRCLey 7509 art. 4(e); 45 salarios base of ₡462,200, as of 2026-10-30 · in force
Owner value declaration cycle	5 yearsLey 7509 art. 16, as of 2026-10-30 · in force

The rule

1. A municipal tax applies to land and fixed, permanent installations and buildings.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 1 and 2, 1995-05-09 official text · verified 2026-10-30

2. The rate is 0.25% of the value registered by the municipality, nationwide.
Example: ₡150,000,000 property: ₡375,000 a year. / About US$824.50 a year.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 23, 1997-12-15 official text · verified 2026-10-30

3. An individual's only property is exempt up to 45 salarios base; tax applies on the excess.
Example: 2026: 45 × ₡462,200 = ₡20,799,000 exempt; on a ₡150,000,000 only home the tax is ₡323,002.50. / Exempt slice about US$45,730.18; tax about US$710.18.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 4(e), 1997-12-15 official text · verified 2026-10-30

4. Taxpayers are registered owners, unregistered owners, and occupants or possessors for over a year; maritime zone and border strip concessionaires pay only on buildings, since the canon replaces tax on the land.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 6, 1995-05-09 official text · verified 2026-10-30

5. The base is the value registered at 1 January; the tax is annual and payable yearly, half yearly or quarterly as each municipality decides.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 9 and 22, 1995-05-09 official text · verified 2026-10-30

6. The base rises automatically with a higher value in a transfer deed, new mortgages above the registered value, subdivisions and permitted improvements.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 14, 1995-05-09 official text · verified 2026-10-30

7. Owners must declare property value to the municipality at least every five years; failure brings a fine equal to the tax underpaid and an official valuation.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 16 and 17, 2012-09-10 official text · verified 2026-10-30

8. Unpaid tax is a preferential legal mortgage on the property; the current owner is jointly liable for arrears, and the collection period prescribes in three years.Ley 7509, Impuesto sobre Bienes Inmuebles, art. 8 and 28, 1995-05-09 official text · verified 2026-10-30

9. The salario base used by the property tax exemption, the VAT rent threshold and many fines is ₡462,200 for 2026.Corte Suprema de Justicia, Circular 246-2025 (salario base 2026), full text, 2025-12-17 official text · verified 2026-10-30

Worked example

An individual owns one home registered at ₡150,000,000 (about US$329,800.80). The first ₡20,799,000 is exempt in 2026, so the annual tax is (₡150,000,000 − ₡20,799,000) × 0.25% = ₡323,002.50 (about US$710.18). A company owning the same home pays ₡375,000 (about US$824.50).

Step by step

Register as taxpayer with the municipality after buying.
File the value declaration at least every five years.
Apply for the only property exemption if you hold just one property as an individual.
Pay on the municipal schedule; some municipalities discount early payment.

Common traps

Companies do not get the only property exemption.
Missing the five year declaration triggers a fine equal to the underpaid tax.
Arrears of previous owners are enforceable against the property.

Sources

← Transfer tax and closing costs in Costa Rica: 1.5% transfer tax, 0.5% registry fee and notary scaleSolidarity tax on luxury homes in Costa Rica: 0.25% to 0.55% when construction exceeds ₡143 million →

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