For expenses for hiring personnel to care for family members affected by Covid-19

Regulations: First transitional provision. One Law 2/2021, of January 29, on Fiscal and Administrative Measures for the year 2021 ( BOR February 1, 2021) of the Autonomous Community of La Rioja.

Amount and limit of the deduction

• 15% of the amounts paid in the tax period for the hiring of personnel to care for ascendants or descendants affected by Covid-19:

  • as a result of their positive results in Covid-19 tests since March 14, 2020 inclusive or

  • for having remained in quarantine since the end of the state of alarm onwards.

  You will be entitled to a deduction for all amounts paid from the moment in which any of these situations occur.

• The amount of the deduction may not exceed 300 euros per taxpayer.

Requirements and other conditions for the application of the deduction

• That the taxpayer carries out a work activity, self-employed or employed, outside the family home, at least during the period in which the personnel assigned to the care of his/her family member is hired

  If the parents carry out an activity outside the family home only during part of the period in which the staff assigned to care for them is employed, the deduction may be applied for the amounts paid during the part of the period in which the requirement of carrying out an activity is met.

  In order to fulfill the requirement of carrying out an activity on someone else's behalf, the activity must be remunerated. In the case of self-employed activity, it is necessary to demonstrate - by any means of proof - the exercise of said activity.

  The requirement of carrying out an activity on one's own account is deemed to be met when it is carried out through an entity under an income attribution regime.

• That the existence of a person with an employment contract and registration with Social Security in the section corresponding to Household Employees-Family Caregivers or similar for the care of minors or the elderly is accredited.

  Clarifications:

  1. The taxpayer entitled to apply the deduction will be the one who has hired staff to care for family members, pays the expenses and is registered with Social Security as the head of the family home (unless the staff has been hired through a company).

  2. In the case of spouses (or members of a couple), if both have hired staff to care for family members (simultaneously or successively) and meet the requirements of working or carrying out an activity outside the family home and being entitled to the minimum for descendants, both will be entitled to apply the deduction for the amounts they pay.

  Note: Taxpayers entitled to the deduction must indicate the NIF of the person or persons employed to care for family members affected by Covid-19, in box [1168] of Annex B.6 of the declaration.

• Said contract must have been made in the period from March 14, 2020 inclusive, as a result of the positive result in Covid-19 tests of the ascendants or descendants since that same date or due to their quarantine since the end of the state of alarm onwards.

• That the minimum amount is due for ascendants or descendants in the personal income tax return of the persons for whose care the aforementioned personnel is hired.

• It must be proven, in any way possible, that the ascendant or descendant has tested positive for Covid-19 or has been subject to confinement due to contact with people or groups at risk.

Remember: This measure will apply to contracts signed from 14 March 2020 inclusive.