Reduced property tax bills announced in Estepona

In the sunny coastal town of Estepona, Spain, a remarkable turnaround has taken place under the leadership of Mayor José María Garciá Urbano. Since 2011, the town has managed to reduce income tax by 50 percent for registered residents, following in the footsteps of Benalmadena's Mayor Juan Antonio Lara who achieved similar feats earlier in 2025.

The town was once on the brink of financial collapse, with suppliers unpaid and even basic services like fuel for police vehicles cut off. However, through disciplined spending, the elimination of wasteful municipal contracts, and rigorous financial oversight, Estepona has restored fiscal stability.

The council's efforts have resulted in a 20 percent reduction in Property Tax (IBI) for registered residents, benefiting approximately 38,000 households. The town has also introduced a 3 percent reduction in the waste collection fee for residents who deposit at least three loads of specific waste at the town's recycling centre (punto limpio).

Mayor Garciá Urbano announced that these actions have enabled historic tax cuts in Estepona. The collective savings from this reduction amount to €6.1 million. Notably, the tax reduction allows resources to be redirected towards making living expenses less burdensome.

Economically vulnerable groups, including the long-term unemployed and retirees, already benefit from waste fee exemptions. Receipts for waste deposits are available at the punto limpio, and the discount is claimable from the Provincial Tax Agency in the first quarter of 2026, with proof of waste deposits and the previous year's waste fee receipt required.

When Mayor Garciá Urbano took office, Estepona was among Spain's most indebted municipalities, with a per capita debt of €4,600. However, through his relentless efforts, the council has cleared a debt of €304 million, inherited from previous administrations, and has now achieved a zero debt status.

The mayor emphasized that achieving zero debt was crucial for implementing these measures. Since 2011, Estepona has achieved a 50 percent reduction in IBI rates through consistent and transparent fiscal policies. The payment deadline for IBI has been extended to September 30.

Looking ahead, Mayor Garciá Urbano announced that the council is exploring further tax reductions, aiming to continue improving the quality of life for Estepona's residents. This turnaround is a testament to the power of sound fiscal management and the determination of its leadership.