8.7.5.1 Custody expenses in daycare or early childhood education centers

The maternity deduction has an additional increase of up to 1,000 euros per year when the taxpayer, who is entitled to the maternity deduction, pays custody expenses in daycare or authorized early childhood education centers for a child under three years of age.

Please note that for the 2020, 2021 and 2022 tax periods, it will be understood that women who as of January 1, 2020 continue to carry out an activity as self-employed or employed by others for which they are registered with Social Security or mutual insurance. have become in any of the following situations:

1. Employed workers who become legally unemployed due to:

   • Your employment contract has been suspended. This situation occurs in the following cases: ERTE with total suspension and victims of gender violence.

   • Finding themselves in a period of productive inactivity for permanent-discontinuous workers.

2. Self-employed workers who begin to receive the benefit for cessation of activity as a result of the suspension of the economic activity carried out.

However, in the year in which the youngest child turns three years old, this increase may be applicable with respect to expenses incurred after reaching said age until the month before the second cycle of early childhood education can begin.

If both parents are of the same sex and both are entitled to the maternity deduction for daycare expenses, the amount will be prorated between them in each of the months in which both are entitled. If, on the other hand, in any month only one person meets the requirements, only he or she will be entitled to apply the deduction in that month.

Custody expenses are considered to be amounts that meet the following requirements:

• They are sent to authorized daycare centers or early childhood education centers. The maternity deduction is a measure linked to the educational field (first cycle of early childhood education), so its application refers to public or private early childhood education centers that develop the aforementioned cycle and are consequently authorized by the Administration. competent educational

• They are paid for pre-registration or registration, attendance, during general or extended hours, and food, provided they have occurred for full months.

• That they are not considered exempt work income in kind for the taxpayer.

This increase in the maternity deduction will be limited for each child:

• The total contributions and fees to Social Security and Mutual Insurance accrued in each tax period after the birth or adoption.

  For these purposes, contributions and fees will be computed for their full amounts, without taking into consideration any bonuses that may apply.

• The total annual amount of actual unsubsidized expenditure paid in each tax period to the daycare or educational center in relation to this child.

• If both parents are of the same sex, the deduction will be limited for each parent, regardless of whether individual or joint taxation is chosen, the lower of the following amounts: the amount of their own Social Security or Mutual Insurance contributions in the tax period or the sum of half of the actual non-subsidized expenses (regardless of which parent pays them) paid to the daycare in the months in which both parents were entitled to said increase plus all of the actual non-subsidized expenses (regardless of which parent pays them) in the months in which only the parent in question was entitled to the increase.

This increase is recorded in the personal income tax return for each year and there is no possibility of its advance payment.