Due to uprooting due to the volcanic eruption of the island of La Palma

Regulations: First Additional Provision. Two Consolidated Text of the current legal provisions issued by the Autonomous Community of the Canary Islands on transferred taxes, approved by Legislative Decree 1/2009, of April 21.

Note: This deduction is not applicable in the case of taxpayers who died before September 19, 2021.

A. For loss of property as a result of the volcanic eruption on the island of La Palma

Amount of deduction

• €2,000 for the dwelling in which the taxpayer proves that he/she resided on 19 September 2021, regardless of the length of stay prior to that date.

  Casuistry:

  1. If the building has several dwellings, parking spaces, storage rooms and other annexes that have a single cadastral reference because there is no horizontal division, the deduction may be applied for each dwelling, provided that the existence of each of them is proven by any means of proof admitted by law.

  2. If the property has parking spaces, storage rooms and other annexes, each with its own cadastral reference, the deduction would only apply to the property, not to the garage or the storage room or other annexes that have an independent cadastral reference.

  3. If the home and its annexes do not have a cadastral reference, in this case the deduction may be applied for each home (not for the annexes), provided that their existence is proven by any means of proof admitted by law.

• 2,000 euros for properties used for business or professional activities, including agricultural, livestock, forestry or fishing activities.

  To be eligible for the deduction, the economic activities to which the property is subject must be carried out by the owner of the property or his/her spouse, either directly or through entities under an income attribution regime.

• 1,000 euros for the rest of the real estate.

Requirements for applying the deduction

• The deduction can be applied by the owner, usufructuary and/or bare owner of the property.

• These must be properties that have been permanently destroyed, uninhabitable or inaccessible as a result of the volcanic eruption that began on September 19, 2021 on the island of La Palma.

  The reference to the property having been lost because it was “destroyed, uninhabitable or permanently inaccessible” must be interpreted to mean that the deduction can only be applied when the loss of the property is total , which occurs when the property is no longer “usable”, either because it disappears due to destruction, or because it is permanently uninhabitable or inaccessible.

• In the case of the home in which the taxpayer resided, it will be necessary that, by any means of proof admissible by law, such as, for example, a registration certificate, among others, it be proven that on September 19, 2021, the taxpayers had their residence in said home, regardless of the length of stay prior to said date.

• In the case of properties used for business or professional activities, it will be necessary to prove, by any means of proof admissible by law, that on September 19, 2021, the aforementioned properties were used for such activities, regardless of the previous time in which they were used.

• For the rest of the real estate, the existence and ownership, as owner, usufructuary or bare owner, of the taxpayer on September 19, 2021 must be proven by any means of proof admitted by law.

• If the same property has different uses, only the amount of the deduction corresponding to one of them can be applied.

• The deduction is applied for each property that has been lost, prorating, when there are several owners, the deduction in proportion to their percentage of ownership.

  When there are usufructuaries and bare owners of the property, to prorate the amount of the deduction corresponding to the property in question, the percentages of usufruct and bare ownership will be computed at half their value (since the property is divided between the usufructuary and the bare owner) so that the sum of the ownership percentages is equal to 100.

Limits on deduction

This deduction will be limited to 50% of the total regional quota.

Time frame for the application of the deduction

This deduction will be applicable exclusively in the years 2021 and 2022.

B. Due to loss of motor vehicles as a result of the volcanic eruption on the island of La Palma

Amount and requirements for applying the deduction

• 300 euros for motor vehicles with more than two seats.

• 100 euros for motor vehicles with up to two seats.

• 50 euros for motor vehicles with a single seat.

Requirements for applying the deduction

• The vehicle must have disappeared as a result of the volcanic eruption that began on September 19, 2021 on the island of La Palma.

• The vehicles must not appear at the time of their disappearance as deregistered in the General Directorate of Traffic or in the corresponding administrative registry, nor be seized by a public administration.

• The existence and ownership of the aforementioned assets, as owner, usufructuary or bare owner, must be proven by any means of proof admitted by law.

• When there are several owners, the amount of the deduction will be prorated among them in proportion to their percentage of ownership.

Limits on deduction

This deduction will be limited to 10 percent of the autonomous community's full quota.

Time frame for the application of the deduction

This deduction will be applicable exclusively during the 2021 fiscal year.