ᐅ Property Transfer Tax for New Construction in Connection with a Mortgage Lien

Hello dear members,

I have a question regarding property transfer tax. I understand that for a new build, property transfer tax applies to the land. If it is not a linked transaction, then it does not apply to the value of the house built on it.

Now, when purchasing the land, I will naturally have the bank’s mortgage registered for a significantly higher amount. This is because the bank wants to secure the loan with the house. But doesn’t the tax office then automatically get notified of the approximate value of the house and want to charge property transfer tax on the entire amount?

Thank you very much

Huh? Why would they want or be able to charge real estate transfer tax on everything with that?

Financing has nothing to do with taxes.

You have already described the correct and only connections yourself.