As of January 1, 2023, the Aruba Tax Authority has made a number of changes regarding the transfer tax charged to the buyer when purchasing a property. The following are the more important changes:
1) The transfer tax rate for all transactions is: 3% up to an and including Afl. 250,000.00 6% on the difference. (**Favorable rate only for the principal residence has been abolished)
2) Exemption from transfer tax within 6 months after the first transfer of title has been abolished.
3) Acquisition under inheritance law of real estate is untaxed.
4) Acquisition of shares in a company that owns real estate will in principle result in the charging of transfer tax. There are a few exceptions to this. Please contact a tax advisor about this matter if you need more information.
5) The transfer of the economic ownership in a real estate results in charging of transfer tax.