Skip to main content
Form 100. 2020 Personal Income Tax Return Declaration

8.9.2. Increase in the net amount due to loss of the right to certain deductions from previous years

When, in tax periods subsequent to their application, the right, in whole or in part, to the deductions made is lost, the taxpayer will be obliged to add to the state liquid quota and the autonomous or complementary liquid quota accrued in the year in which If the requirements have not been met, the amounts improperly deducted, plus the corresponding late payment interest.

The following possibilities must be distinguished in the refund of deductions:

  • General deductions from the quota corresponding to the years 1996 and previous years.

    In these years, the current regional financing system, established by Law 14/1996, was not in force, and, therefore, the amount of undue deductions, together with late payment interest, will be added in full to the state liquid quota.

  • General tax deductions corresponding to the years 1997 and following

    It must be distinguished:

    1. General deductions from the quota corresponding to the years 1997 to 2001.

      85 percent of the deductions improperly made will be added to the state liquid quota, along with late payment interest, and the remaining 15 percent, plus the corresponding interest, will be added to the autonomous or complementary liquid quota, since those were the participation percentages. current in those exercises.

    2. General deductions from the quota corresponding to the years 2002 to 2008.

      67 percent of the deductions unduly made will be added to the state liquid quota, along with late payment interest, and the remaining 33 percent, plus the corresponding late payment interest, to the autonomous or complementary liquid quota.

    3. General deductions from the quota for the years 2009 to 2019.

      50 percent of the deductions unduly made will be added to the state liquid quota, along with late payment interest, and the remaining 50 percent, plus the corresponding late payment interest, will be added to the autonomous or complementary liquid quota.

    4. Deductions for investment in habitual residence from the years 2002 to 2012.

      The amount of the state section of the improper deduction (plus late payment interest) will be applied to increase the state liquid quota and the amount of the regional section (plus late payment interest) will be applied to increase the regional or complementary quota.

  • Regional deductions from the quota corresponding to the years 1998 to 2019.

    All deductions unduly made will be added to the autonomous or complementary liquid quota, along with late payment interest.

    As of January 1, 2013, the deduction for home acquisition has been eliminated. However, a transitional deduction regime is established for investment in primary residence (DT 18)

    Regarding taxpayers who had deposited amounts in housing account prior to January 1, 2013:

    • They will not be able to apply the transitional scheme for the deduction for housing after 1 January 2013.

    • They will not lose the deductions from previous financial years, which, in order to be consolidated, continue to be linked to the fulfilment of all property-purchase savings account requirements that were in force when the deductions were made.

    Special case : amounts received for the return of loan interest rate limitation clauses (floor clause) that had formed part in previous years of the base of the deduction for investment in habitual residence or deductions established by the Autonomous Community (fortieth Additional Provision Fifth Personal Income Tax Law)

The refund, in cash or through other compensation measures, of the amounts previously paid to financial entities as interest due to the application of loan interest rate limitation clauses (the called floor clause), along with its corresponding compensatory interests, derived both from agreements entered into with financial entities and from compliance with judgments or arbitration awards.

Now, when such amounts previously paid by the taxpayer subject to the refund had formed part, in previous years, of the base of the deduction for investment in habitual residence or of deductions established by the Autonomous Community, the following assumptions must be differentiated For the purposes of its tax treatment:

  1. If the return of these amounts is made in cash:

    • The taxpayer will lose the right to the deductions made in relation to them, and must add to the state and regional liquid quota, accrued in the year in which the agreement with the financial entity was entered into or in which it proceeded to the refund in execution or compliance with a court ruling or arbitration award, exclusively the amounts unduly deducted in previous years in the terms provided for in article 59 of the Personal Income Tax Regulations, without inclusion of late payment interest .

Said regularization will only be carried out with respect to the years in which the right of the Administration to determine the tax debt through the appropriate liquidation has not expired.

Completion

  • Amount of improper deductions

    The amount of the deductions made in previous years will be recorded when the right to the deduction has been lost in the 2020 financial year as a result of non-compliance with any of the requirements established for its application.

    For general deductions from 1997 to 2019, you must distinguish the part corresponding to the state section and the regional section of the deduction according to the rules cited in the previous section.

  • Late payment penalty

    The program, when filling in the dates, years and amounts, calculates late payment interest by applying to the amount of the improper deduction the late payment interest rate in force in each of the years included between the expiration date of the declaration period for the year. on which the improper deduction was made (or, where applicable, from the day following the date on which the refund was obtained) and the date on which the declaration corresponding to the year is presented.

  • The amount of late payment interest corresponding to the deductions improperly made that have been included in the previous section will be recorded, distinguishing between those corresponding to the state section and the regional section of the deduction.

    The program also includes an interest calculation option through a data capture window, in which the following information is collected:

    • " End date" Date for calculation purposes": The date on which the tax return will be submitted will be indicated.

    • "Exercise": must record the fiscal year corresponding to the declaration in which the deduction was made, the requirements of which were not met in this fiscal year.

    • "Amount": The amount of the deduction improperly made will be indicated.

    • "To Enter/To Return": indicate the result of the return in which the deduction was made ("I" or "D").

    • "Start date":

      1. Declarations to enter: If the declaration was to be entered, the program itself reflects the start date for the calculation of interest, which will be the expiration of the declaration period for the year in question.

      2. Declarations to be returned: If the return in which the deduction was made was to be returned, the date on which the refund was obtained must be indicated in this section.

      In the particular case that the amount of the refund received is less than the amount of the deduction that is restored, the latter must be broken down into two parts:

      1. On the one hand, up to the amount of the refund, indicating as the start date the date on which the refund was obtained.

      2. And on the other hand, the excess of the improper deduction over the amount of the refund, indicating as the start date the expiration of the declaration period for the financial year in question:

        Expiration of the filing period of the declarations to be enteredT types of default interest in force in each of the years indicated
        Financial yearDateFinancial yearCurrent rate
        1993 06-20-1994 1994 11.00
        1994 06-20-1995 nineteen ninety five 11.00
        nineteen ninety five 06-20-1996 1996 11.00
        1996 06-20-1997 1997 9.50
        1997 06-22-1998 1998 7.50
        1998 06-21-1999 1999 5.50
        1999 06-20-2000 2000 5.50
        2000 06-20-2001 2001 6.50
        2001 01-07-2002 2002 5.50
        2002 06-30-2003 2003 5.50
        2003 01-07-2004 2004 4.75
        2004 06-30-2005 2005 5.00
        2005 06-30-2006 2006 5.00
        2006 02-07-2007 2007 6.25
        2007 06-30-2008 2008 7.00
        2008 06-30-2009 2009 (up to 31 March) 7.00
        2009 06-30-2010 2009 (from 1 April) 5.00
        2010 06-30-2011 2010 5.00
        2011 02-07-2012 2011 5.00
        2012 01-07-2013 2012 5.00
        2013 06-30-2014 2013 5.00
        2014 06-30-2015 2014 5.00
        2015 06-30-2016 2015 4,375
        2016 06-30-2017 2016 3.75
        2017 02-07-2018 2017 3.75
        2018 01-07-2019 2018 3.75
        2019 06-30-2020 2019 3.75
        2020 3.75
        2021 3.75

        ( Note: the program reflects the expiration date of the declaration period if "I" is indicated in the "To Enter/To Return" section.

        Note: If the increase in the liquid quota is motivated by the loss of the right to deductions for investment in habitual residence, both state and regional, due to the circumstances provided for in Additional Provision 45 of the Tax Law having occurred, you must mark the boxes with an enabled for it. (Loss of deductions due to return of floor clauses”

        By checking this box, the program will not calculate late payment interest.