Who is entitled to this deduction?
Taxpayers who meet the following requirements will have the right to apply the deduction regime for investment in primary residence for the amounts paid in fiscal year 2021:
If it is the acquisition of a habitual residence, when the home has been legally acquired before January 1, 2013 or after said date, provided that in the latter case amounts have been paid for its construction before January 1 January 2013 and the completion of the works would have occurred within the deadlines established by the applicable Personal Income Tax regulations.
If it involves rehabilitation works for the habitual residence, when amounts have been paid for this concept prior to January 1, 2013, provided that the works are also completed before January 1, 2017.
- Taxpayers who had paid amounts prior to January 1, 2013 for works to expand their habitual residence, provided that the aforementioned works had been completed before January 1, 2017.
In any case, it is necessary that the taxpayer has made the deduction for investment in habitual residence in relation to the amounts paid for the acquisition, construction, rehabilitation or expansion of said residence in a tax period accrued prior to January 1, 2013, unless it could not have been practiced because it did not exceed the amounts invested in previous homes, to the extent that they would have been subject to deduction by integrating effective deduction bases, plus, where appropriate, the amount of capital gains exempt from reinvestment.
COVID-19: application of the deduction in the "construction of habitual residence" modality - code mpute of the period for the completion of the works.
Article 55 of the Personal Income Tax Regulations , in the wording in force on December 31, 2012, equated its “construction” with the acquisition of the habitual residence in the cases in which the taxpayer had directly paid the expenses derived from the execution of the works, or had delivered amounts on account to the promoter of the works, provided that the works were completed within a period of no more than four years from the beginning of the investment or, in the exceptional cases provided for in paragraphs 3 and 4 of the aforementioned article 55 of the Regulation, an extension of said period was granted, which could not exceed, in any case, another four years.
As a consequence of the above, the application of the transitional regime of the deduction in the "construction of habitual residence" modality required:
1. That the taxpayer had made the deduction for investment in habitual residence in relation to the amounts paid for the construction of said residence in a tax period accrued prior to January 1, 2013 (unless the provisions of article 68.1 had been applicable). .2 of the LIRPF in its current wording as of December 31, 2012) and
2. That the aforementioned works, taking into account the period of 4 years, would have finished, in any case , before January 1, 2017 or, in the case of extension, at most until March 19, 2021, also producing the legal acquisition of housing.
Precision: For the purposes of calculating the four-year period for the case of extension of the period for completion of the works and legal acquisition of the home in the indicated terms, the period from March 14 to March 30 has not been taken into account. May, by virtue of the provisions of the ninth Additional Provision of Royal Decree-Law 11/2020, of March 31, by which complementary urgent measures are adopted in the social and economic field to confront COVID-19 (BOE of April 1) and the modification of the time references provided for in the first Additional Provision of Royal Decree-Law 15/2020, of April 21, on complementary urgent measures to support the economy and employment (BOE of April 22). Therefore, the deadline for the completion of the works and legal acquisition of the home would expire on March 19, 2021.
For these purposes:
In cases of construction through direct execution by the taxpayer - self-promotion -, the legal acquisition is understood to be obtained with the completion of the works, a fact that must be duly proven, failing which the date of writing of the declaration of new construction is taken. .
In cases of construction through deliveries to a promoter or cooperative, the legal acquisition is understood to have been obtained in accordance with the provisions of the Civil Code, when the contract (title) and the tradition or delivery of the home (mode) concur.
In accordance with the above, in fiscal year 2021 in cases of construction of a habitual residence, once the deadlines have been met, to continue applying the deduction the completion of the works and the legal acquisition of the home must have occurred in the aforementioned terms . For this reason, the taxpayer who uses external financing may continue to make the deduction for the amounts paid in the year (principal and interest) within the heading "Acquisition and/or construction of the habitual residence of the habitual residence ” in Annex A.1 of the declaration, but date of the acquisition deed or of new construction of the home.