For amounts invested in the acquisition or construction of habitual housing for young people

Regulations: First transitional provision.b) Law 10/2017, of October 27, which consolidates the legal provisions of the Autonomous Community of La Rioja regarding own taxes and assigned taxes.

Deduction amount

• 3 percent of the amounts paid in the year when the following circumstances occur:

  1. That are used for the acquisition of a home

  2. That the home, located in the Autonomous Community of La Rioja, constitutes or will constitute the habitual residence of the taxpayer

  3. That they are taxpayers who are considered "young", being understood as taxpayers who have not reached the age of 36 at the end of the tax period (usually December 31).

• 5 per 100 of the amounts paid in the year in the year, when the above circumstances occur , the general liquidable base of the taxpayer subject to taxation according to article 50 of the Personal Income Tax Law ## does not exceed of the following quantities:

  • - 18,030 euros in individual declaration .

  • - 30,050 euros in joint declaration .

  Provided, furthermore, that the taxable base of savings subject to taxation according to article 50 of the Personal Income Tax Law does not exceed 1,800 euros .

  The amount of the general taxable base subject to taxation according to article 50 of the Personal Income Tax Law is reflected in box [0500] of the statement.

  For its part, the amount of the taxable base of the savings subject to taxation according to article 50 of the Personal Income Tax Law is the one reflected in box [0510] of the statement.

Requirements and other conditions for the application of the deduction

• The same criteria required by the eighteenth transitional provision of the Personal Income Tax Law must be met to be entitled to the application of the transitional regime of the state deduction for investment in the acquisition or construction of a habitual residence. Specifically:

  1. The following taxpayers will be entitled to this deduction:

  1. Those who had acquired their habitual residence before January 1, 2013.

  2. Those who had paid amounts prior to said date for its construction.

     In the latter case, except for the exceptional extensions contemplated in the tax regulations in force on December 31, 2012, the works must be completed within a period of four years from the start of the investment, in accordance with the deduction regime applicable in the case of construction of habitual housing.

  3. Taxpayers who had paid amounts prior to January 1, 2013 for works to expand their habitual residence, provided that the aforementioned works are completed before January 1, 2017.

• In any case, it will be necessary for the taxpayer to have made the deduction for investment in habitual residence in a tax period accrued before January 1, 2013, unless they have not been able to make it yet because the amount invested in it has not exceeded the amounts invested in previous homes, to the extent that they had been subject to deduction and, where applicable, the amount of capital gains exempt from reinvestment. The same criteria required by the eighteenth transitional provision of the Personal Income Tax Law must be met to be entitled to the application of the transitional regime of the state deduction for investment in the acquisition or construction of a habitual residence. Specifically:

• In addition, all the requirements established, in general, in the state regulations regulating the Personal Income Tax must be met, in its wording in force on December 31, 2012, on the concepts of habitual residence, its acquisition and elements that make up the basis of the applicable deduction, as well as on verification of the taxpayer's financial situation at the end of the tax period.

• The maximum annual base of regional deductions for the purchase of housing and second homes in rural areas will be constituted by the amount resulting from reducing the amount of 9,040 euros in those amounts that constitute for the taxpayer the basis of the deduction for investment in habitual residence contemplated in the state regulations, provided that the taxpayer has the right to the application of the transitional regime of the deduction for investment in habitual residence provided for in the provision eighteenth transitional law of the Personal Income Tax Law , excluding, where applicable, the amounts allocated to adaptation works for the habitual residence due to disability.

• In case of joint taxation , only taxpayers integrated into the family unit who are considered "young" in the terms previously mentioned, for the amounts actually invested by them.

  Note: Those young people who had acquired or rehabilitated their home before January 1, 2013 must continue applying this deduction instead of the deduction for investment in the habitual residence of young people under 36 years of age, which is incompatible with it.