Can I deduct the rent or mortgage on my income tax return?

  • The tax benefits for habitual residence, be it in rent or ownership, are usually the most important for the taxpayers in the declaration.
  • All the news about the Income Tax Return.
Atención presencial de Hacienda

In-person attention from the Treasury to prepare the 2016 Income Tax return. EUROPA PRESS

Mortgage, rent, housing reform … Whatever the case, when making the income statement of this new campaign it is necessary to check what deductions can be made in this matter. The tax benefits in this area are usually the most significant in the Personal Income Tax (IRPF) .

Should I declare the house?
Whether you own property or rent, be it first or second residence, it is mandatory that the Tax Agency be notified of all the properties in the declaration.

Live rent, do I have any deduction?
Here is one of lime and another of sand. Yes, there are deductions at the state level for rental housing, but not for everyone. If the lease contract was signed before January 1, 2015, this concept may be deferred, provided that the other requirements are met: having declared the property in the previous fiscal years. And, on the other hand, do not enter more than 24,107.20 euros per year. The amount to be deducted will be 10.05% of the amounts paid, limited to 9,040 euros, which is equivalent to a maximum of 908 euros (depending on the income of the declarant).

In addition to the state, are there deductions for rent in my region?
Yes. According to which autonomous community you live in, you will have or not tax benefits for lease of habitual residence that are compatible with the state deduction. Many of them are limited to the age of the tenant and have, like the state, cap of income to access it.

And the mortgage?
It happens the same as in rent, there are also deductions … but not for all taxpayers. Those mortgaged after January 1, 2013 can not deduct this concept, but in case you ask the bank for a mortgage for your home before this date you can benefit, provided that in campaigns of the Rent prior to 2013 you had declared . The deduction is 15% on the amount of the mortgage, with a limit of 9,040 euros. The maximum deduction you can apply is 1,356 euros.

They have returned money to me for the ground clauses, do I have to declare it?
The Tax Agency has decided to 'forgive' this exercise the amounts reimbursed by banks for the collection of more mortgages with floor clauses. If you are one of the compensated by the banks (and the refund has been in cash) you should not include it in your tax base. However, if in the last four years you have had tax benefits for said mortgage, you will have to return the excess of the deduction practiced by the Treasury. This will not be necessary in a complementary statement, just include the amounts in boxes 524 and 526.

I rent a house that I own, should I notify you in the rent?
If you have a house leased to someone who has it as a regular residence, the Hacienda gives you the right to deduct 60% of what you receive annually for rent. You can also take out other types of expenses such as insurance, Real Estate Tax (IBI) or community receipts.

Can I deduct a holiday home?
No. Hacienda only allows tax benefits for usual homes.

What if I do rehabilitation work in my usual home?
In order for the Tax Agency to carry out this deduction, the works performed must meet any of the following requirements: that the works have been qualified or declared as protected action in the area of ​​housing rehabilitation; or, on the other hand, that have for their object the reconstruction of the house through the consolidation and treatment of the structures, facades or roofs and other analogous ones, provided that the overall cost of the rehabilitation operations exceeds the limits established in the Regulation. of the Tax.

Can the deduction for the housing account be lost after its opening?
The declarant may lose the right to deduction in the following cases: 1) When he has the amounts deposited for purposes other than the first acquisition or rehabilitation of the habitual residence. In case of partial disposition, it will be understood that the amounts deposited are the first deposited. 2) The right will also be lost when the period of 4 years elapses to apply the balance of the account without having acquired or rehabilitated the habitual residence. 3) When the subsequent acquisition or rehabilitation of the home does not meet the conditions established in the law to be entitled to the deduction for acquisition of habitual residence.

Can the interest generated from a housing account be deducted?
No. The withholding corresponding to the interest paid in a housing account does not constitute an amount deposited in the same, but is deducted at the time of payment as payment on account of the tax, and consequently can not give right to deduction.

More information about:

  • Statement of income
  • Mortgages