The house your parents left you in Xela, the lot you bought in 2012 and never built on, the family land that three siblings in three US states now own together: selling property in Guatemala from the US can be done without flying in. It runs through four steps, each with its own rule: a power of attorney that expressly allows the sale, a public deed registered at the property registry, Guatemalan taxes on the transfer and on the gain, and US reporting afterwards.
In short: A representative can sell for you, but a general power of attorney needs a special clause to sell (Civil Code Art. 1693). The sale goes in a public deed before a notary and is registered at the property registry (Arts. 1576 and 1125). The transfer pays 3% stamp tax on second and later sales, or 12% IVA on a property’s first sale. A gain pays 10% capital gains tax for Guatemalan tax residents (sale price minus cost; sale costs deductible up to 15%), due in the first ten days of the next month; whether you count as resident when you live in the US depends on 183 days and your tax-residence certificate (Art. 6). Moving the money out is legal under Decreto 94-2000. In the US, the gain is worldwide income: report it, claim Guatemalan income tax on Form 1116, and file an FBAR if Guatemalan accounts pass US$10,000 combined. There is no US-Guatemala income tax treaty.
General information from the laws and IRS pages cited, not tax or legal advice. The capital-gains figures come from a consolidated copy of Decreto 10-2012 hosted by ICNL; its update date is not shown, so have a Guatemalan accountant confirm current wording before you sign.
Step 1: A power of attorney that can actually sell
If you will not be in Guatemala to sign, someone signs for you as your mandatario. The Civil Code’s key sentence for sellers:
«ARTÍCULO 1693. El poder general necesita cláusula especial para enajenar, hipotecar, afianzar, transigir, gravar o disponer de cualquier otro modo la propiedad del mandante, y para todos los demás actos en que la ley lo requiera.»
So a broad “general power” you signed years ago for paperwork cannot sell the house unless it carries that special clause. A poder especial written for this sale is the other route.
Where the power is signed changes the steps:
- At a Guatemalan consulate (poder consular): how it works, what to bring, and how long it lasts are in our poder consular guide.
- Before a US notary: a document made abroad has to be legalised or apostilled to be used in Guatemala (Ley del Organismo Judicial, Art. 37), and powers of attorney «deberán ser protocolizados ante notario» in Guatemala (Art. 38). Our apostille guide for documents from the US covers the first part.
Inherited property. If the property is still registered in a deceased parent’s name, start with the succession: see inheritance and succession in Guatemala.
Step 2: The deed and the registry
| Rule | What it says | Source |
|---|---|---|
| Form of the sale | «Los contratos que tengan que inscribirse o anotarse en los registros, cualquiera que sea su valor, deberán constar en escritura pública.» | Civil Code, Art. 1576 |
| What the registry records | The registry inscribes «Los títulos traslativos de dominio de los inmuebles» | Civil Code, Art. 1125 |
So the sale is signed as a public deed (escritura pública) authorised by a Guatemalan notary, and that deed is what goes to the Registro General de la Propiedad. You can order a certified copy of the property’s registry record yourself to show a buyer: see certificación de finca from the property registry.
Step 3: Guatemalan taxes on the transfer
Which tax applies depends on whether this is the property’s first sale:
| Sale | Tax | Rate | Source |
|---|---|---|---|
| First sale of the property | IVA | 12% | Ley del IVA (Decreto 27-92), Art. 3 numeral 8 («La primera venta o permuta de bienes inmuebles») and Art. 10 |
| Second and later sales | Stamp tax (timbres fiscales) | 3% | Ley de Timbres (Decreto 37-92), Art. 2 numeral 9 («La segunda y subsiguientes ventas o permutas de bienes inmuebles») and Art. 4 |
Two details in the stamp-tax law bear on a sale from abroad:
- The value. Article 4 applies the 3% to the value stated in the document, which «no podrá ser inferior al que conste en los registros públicos, matrículas, catastros o en los listados oficiales». Declaring a low price in the deed does not lower the base below the registered value.
- Who owes it. Article 3 makes the taxpayer whoever issues, signs or grants the document containing the contract. The law does not assign it to the buyer or the seller specifically; settle who pays it in the contract.
Step 4: The tax on your gain
The Ley de Actualización Tributaria (Decreto 10-2012), Title IV, taxes capital gains from «cualquier transferencia, cesión, compra-venta, permuta u otra forma de negociación de bienes o derechos» by people whose regular business is not trading in those assets (Art. 84).
| Element | Rule | Article |
|---|---|---|
| Rate | «diez por ciento (10%)» | 92 |
| Base | Sale price minus the cost of the property | 89 |
| Cost, if you keep no full accounts | The purchase value, or a revalued value on which this tax was paid | 89 |
| Sale expenses | Commissions, notary, registry and similar costs come off the sale price, «que se limita como máximo al equivalente del quince por ciento (15%) del valor de la enajenación» | 89 |
| When to pay | «dentro de los primeros diez (10) días del mes inmediato siguiente a aquel en que se dio su surgimiento» | 95 |
| Losses | Can only offset future gains of the same kind, for up to two years | 91 |
A worked example with round numbers (not a quote for your case): you bought a lot for Q200,000 and sell it for Q500,000, with Q30,000 of commission, notary and registry costs. The expense cap is 15% of Q500,000, which is Q75,000, so all Q30,000 counts. The gain is Q500,000 − Q30,000 − Q200,000 = Q270,000, and 10% of that is Q27,000.
Are you a Guatemalan tax resident?
The 10% rule in Title IV is written for taxpayers resident in Guatemala (Art. 85). Article 6 decides who is resident. An individual is resident if either:
- they stay in Guatemala more than 183 days in the calendar year, or
- their centre of economic interests is in Guatemala, «salvo que el contribuyente acredite su residencia o domicilio fiscal en otro país, mediante el correspondiente certificado expedido por las autoridades tributarias de dicho país».
For a Guatemalan living in the US, the second test is the one to watch: the law’s way out is a tax-residence certificate from the IRS. Non-residents are taxed under Title V of the same law. Its rate list (Art. 104) names specific kinds of income and does not name capital gains; its catch-all rate for «Otras rentas gravadas no especificadas en los numerales anteriores» is 25%. We could not find a SAT ruling on which rate SAT applies to a non-resident individual’s gain on real estate (checked the law’s text on 24 September 2026), so this is a question for a Guatemalan accountant before the price is agreed.
Step 5: Getting the money to the US
Article 1 of the Ley de Libre Negociación de Divisas (Decreto 94-2000) is the rule: «Es libre la disposición, tenencia, contratación, remesa, transferencia, compra, venta, cobro y pago de y con divisas». Guatemalan law does not stop you moving the proceeds abroad. What documents your bank asks for on a large wire is up to the bank.
Step 6: The US side
The gain is reportable. On US residents, the IRS says: «This means that their worldwide income is subject to U.S. tax and must be reported on their U.S. tax return.» US citizens are in the same position; the IRS page for citizens abroad says: «You are subject to tax on worldwide income from all sources».
Guatemalan tax can offset US tax, within limits. The IRS says you claim the foreign tax credit on Form 1116, and that «Generally, only income, war profits and excess profits taxes qualify for the credit.» The 10% ISR on your gain is an income tax. The 3% stamp tax and IVA are taxes on the transaction; ask your US tax preparer how they are treated.
No treaty. The IRS list of US income tax treaties does not include Guatemala (checked 24 September 2026), so there is no treaty rate or tie-breaker rule to lean on.
FBAR if the money sits in Guatemala. A US person must file an FBAR when «the aggregate value of those foreign financial accounts exceeded $10,000 at any time during the calendar year reported». Sale proceeds parked in a Guatemalan account can cross that line on the day they arrive.
Before you list: three checks
- Open family cases. If there is a child support case against you in Guatemala, a court can require a guarantee and annotate your assets there (Civil Code Art. 292). See a Guatemalan child support order when you live in the US.
- Registry title in your name. If the property is still in a deceased parent’s name, start with the succession: inheritance and succession.
- Your own arraigo status, if you plan to fly in for the signing: check for an arraigo before you fly.
Related
- Poder consular from the US
- Returning to Guatemala: property and investment: the buying side
- Property tax (IUSI) from the US
- Real-estate closing costs in Guatemala
Sources, read on 24 September 2026 unless stated: Civil Code (Decreto-Ley 106), Arts. 1125, 1576 and 1693, CENADOJ annotated edition (read 23 September 2026); Ley del Organismo Judicial, Arts. 37-38, CENADOJ edition (read 23 September 2026); Ley del Impuesto de Timbres Fiscales (Decreto 37-92), Arts. 2-4, SAT consolidated text (read 2 September 2026); Ley del IVA (Decreto 27-92), Arts. 3 and 10, consolidated text with reform notes; Ley de Actualización Tributaria (Decreto 10-2012), Arts. 6, 84-95 and 103-104, consolidated copy hosted by ICNL (checked against the Congress’s as-enacted PDF); Ley de Libre Negociación de Divisas (Decreto 94-2000), Art. 1 (Banco de Guatemala copy, read 21 August 2026); IRS pages on taxation of resident aliens, the foreign tax credit, the FBAR, and the list of US income tax treaties. General information, not legal or tax advice.
Frequently Asked Questions
Can I sell my house in Guatemala without travelling there?
Yes, through a representative with a power of attorney. The Civil Code draws one line that matters: under Article 1693, a general power needs a special clause to sell (enajenar), mortgage or otherwise dispose of the owner’s property. A general power without that clause cannot sell the house. A power signed at a Guatemalan consulate is called a poder consular; our guide covers the steps.
What taxes apply when a house in Guatemala is sold?
Two layers. The transfer itself pays either the 3% stamp tax (timbres fiscales), which applies to the second and later sales of a property, or 12% IVA, which applies to its first sale (Decreto 37-92 Arts. 2 and 4; Decreto 27-92 Arts. 3 and 10). Separately, a gain on the sale is subject to income tax on capital gains, at 10% for taxpayers resident in Guatemala (Decreto 10-2012, Art. 92).
How is the capital gain calculated?
Article 89 of the Ley de Actualizacion Tributaria sets the base as the sale price minus the cost of the property. For a seller who does not keep full accounts, the cost is the purchase value (or a revalued figure on which the tax was paid). Sale expenses such as commissions, notary and registry costs can be subtracted from the sale price, up to a maximum of 15% of the sale value. Article 95 says the gain is declared and paid in the first ten days of the month after it arises.
I live in the US. Am I a Guatemalan tax resident for the sale?
Article 6 of the same law answers it for individuals: you are resident if you spend more than 183 days in Guatemala in the calendar year, or if your centre of economic interests is in Guatemala, unless you prove residence in another country with a certificate from that country’s tax authority. Non-residents fall under a different title of the law, and the rate list in its Article 104 does not name capital gains, so have a Guatemalan accountant confirm the rate SAT will apply to you.
Can I send the money from the sale to the US?
Guatemala’s foreign-exchange law makes it legal. Article 1 of the Ley de Libre Negociacion de Divisas (Decreto 94-2000) says the disposal, holding, remittance and transfer of foreign currency are free. How your bank handles a large incoming or outgoing wire, and what documents it asks for, is set by the bank.
Do I have to report the sale to the IRS?
If you are a US citizen or resident, yes. The IRS says US residents are taxed like citizens, on worldwide income, which must be reported on the US return. Foreign income taxes paid can be claimed as a foreign tax credit on Form 1116, and the IRS says only income, war profits and excess profits taxes generally qualify. The US has no income tax treaty with Guatemala. If the proceeds sit in Guatemalan accounts worth more than US$10,000 in total at any time in the year, you file an FBAR.
