Reus City Council in Tarragona is set to approve a tax reduction of up to 95% on the Property Tax (IBI) for protected homes linked to the Generalitat's "Pla 50.000" programme. This fiscal incentive, to be introduced today, 15 May 2026, applies to social rental housing developments declared of special municipal interest by the Plenary.
This initiative aims to correct an imbalance in the public housing model, according to municipal sources speaking to Diari de Tarragona. Unlike other official protection housing schemes, properties under the "Pla 50.000" do not allow developers to pass the IBI cost on to tenants. This situation can discourage developers from participating. By offering the new discount, the council seeks to equalise conditions and promote the construction of affordable housing in the city.
The new IBI discount will be incompatible with existing reductions for official protection housing, which currently offer 50% off for the first ten years and 25% between the eleventh and fifteenth years. Developers will need to choose the most favourable scheme for each project.
Changes to Economic Activity Tax
Beyond housing, the Reus municipal government also plans to modify the fee for administrative intervention services related to economic activity. They will reintroduce a maximum quota limit of €25,000. This measure aims to prevent certain businesses, particularly those occupying large areas, from incurring what is considered an excessive tax burden.
This cap ensures the system's proportionality and that municipal revenue does not exceed the actual cost of the service provided. Additionally, temporary activities lasting up to six months will pay 50% of the corresponding fee, adapting the tax more closely to the activity's duration.
Cemetery Services Modernised
Finally, the City Council intends to modify the cemetery services fee by incorporating a transitional regime to regularise old concessions. This change specifically affects burial rights granted in perpetuity or for periods up to 99 years, which exceed the current 50-year limit.
The new system stipulates that upon transmission or regularisation, these concessions will adapt to the current regime. New titles will be issued for a maximum of 50 years with specific pricing. The transitional period will extend until 31 December 2031, allowing time for the many affected concessions to adapt.
Manel Muñoz, the Councillor for General Services, stated that these modifications address the need for fiscal tools better suited to current realities. "Modern administrations must be able to adapt, correct imbalances, and use fiscal ordinances as useful instruments to help affordable housing and improve relations with citizens," he told reporters.
