Tax deductions for Housing Reform

In 2010, the Government of Spain took the decision to grant the deduction for residence reforms in compensation to the drastic reduction of deductions for home purchase.

The new deduction is applicable to the financial amounts paid for work on the residence between April 14, 2010 and December 31, 2012. A deduction is the taxpayer may receive lower wages than 53,007 euros.Al make the tax return, taxpayers with income exceeding 33,007 euros can be tax deductible than 10% over a maximum of 4,000 euros one year.

Also, the total amount on which the deduction can a taxpayer may deduct housing will be 12,000 euros. Finance can be reached to grant a deduction for reforms in residence, in the case of citizens with an annual salary of up to 33,007 euros to 1,200 euros per usual home reforms. The Tax Office states that the amounts paid in the year not deducted for exceeding the maximum annual basis (4,000 €) indicated deduction may be deducted, with the same limit, in the next four years (to work).

10% maximum of 4,000 euros per year.

In making the income tax, taxpayers with income exceeding EUR 33,007 maximum tax deductible can be 10% on a maximum of 4,000 euros one year. For the rest, the maximum of 4,000 euros per year will be gradually reduced until 53,007 euros maximum rents that can take advantage of this deduction.

Total cap in each year: 12,000 euros

Also, the total amount on which the deduction can a taxpayer may deduct housing will be 12,000 euros. Finance can be reached to grant a deduction for reforms in residence, in the case of citizens with an annual salary of up to 33,007 euros to 1,200 euros per usual home reforms. The Tax Agency website indicates that the amounts paid in the year not deducted for exceeding the maximum annual basis (4,000 €) indicated deduction may be deducted, with the same limit, in the next four years (to work).

Requirements to be met to qualify for the deduction for renovations in residence:

- Do not pay cash. Be paid by credit card or debit card, bank transfer, personal check or deposit accounts with credit institutions to companies that perform these works.

- Reforms should be focused solely on improving housing energy, replacement of the facilities of electricity, water, gas or other supplies or improving accessibility to the building or home.

- To apply the deduction must keep invoices received by the reforms in the residence.

Quotes for reform

Budget reform