Costa Rica property taxes, clearly explained.

Property taxes in Costa Rica are refreshingly low compared with most of North America — but there's a second tax on higher-value homes that surprises people. Here's how both work in 2026.

The annual property tax: 0.25%

Every property owner pays an annual property tax (Impuesto sobre Bienes Inmuebles) of 0.25% of the registered value, collected by the local municipality. On a $500,000 registered value that's about $1,250 a year.

The Luxury (Solidarity) Home Tax

Higher-value homes owe an additional Luxury Home Tax (Impuesto Solidario). It is triggered when the home's construction value — building plus fixed installations, not the land — exceeds roughly ₡143 million (the threshold is set by decree and adjusts for inflation). Once triggered, it's charged progressively on the total property value, from 0.25% up to 0.55% across brackets.

Because the trigger is construction value, two homes at the same price can land differently depending on how much is land versus building. A buyer-side attorney can tell you where a specific property falls.

Key dates and filing

• The Luxury Home Tax is declared and paid by January 15 each year (Form D-174 via the Ministry of Finance's online platform).
• The base property tax is generally paid to the municipality, often quarterly.

Estimate your own

Our Closing Cost Calculator estimates both the annual property tax and, where it applies, the luxury tax — alongside your one-time cash to close. For the full buying picture, see how much it costs to buy in Costa Rica.

This is general information, not tax advice. Rates and thresholds change; confirm current figures with a licensed Costa Rican attorney or accountant.

Common questions

How much is property tax in Costa Rica?
The base property tax is 0.25% of the registered value per year. Higher-value homes may also owe the Luxury Home Tax (0.25%–0.55% progressive).

When is the luxury home tax due?
It must be declared and paid by January 15 each year using Form D-174.

Does the luxury tax apply to the land?
It's triggered by the construction value exceeding the threshold (~₡143M), then charged on the total property value. Your land/building split matters — confirm with your attorney.

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