How to Deduct Real Estate Agency Fees When Selling Your Property?

When you sell a property and hire the services of a real estate agency, the fees you pay for their management—such as client acquisition, organizing visits, or processing the transaction—are considered an expense necessarily incurred in relation to the sale of the property. To be able to deduct these fees in your tax return, it is essential that the agency issues you an invoice justifying the payment made.

When calculating the capital gain obtained from the sale, the transfer value (selling price) is reduced by the expenses associated with the operation, which include the agency fees. To do this, you simply subtract the amount of the agency’s invoice from the price at which you sold the property. This reduction decreases the taxable base on which the capital gain is calculated, which in turn reduces the amount on which you will be taxed in your tax return.