For the acquisition of new vehicles belonging to the categories included in Order 5/2020, of June 8

Regulations: Art. 4.Uno.y) Law 13/1997, of December 23, which regulates the regional section of the Personal Income Tax and other transferred taxes, of the Valencian Community.

Deduction amount

10 percent of the amounts allocated by the taxpayer during the tax period to the acquisition of new vehicles belonging to the categories included in Order 5 /2020, of June 8, of the Department of Territorial Policy, Public Works and Mobility, by which the regulatory bases for the granting of subsidies for the acquisition or electrification of urban bicycles and electric personal mobility vehicles are approved

Requirements for applying the deduction

• They must be new vehicles belonging to one of the following categories included in Order 5/2020, of June 8, of the Department of Territorial Policy, Public Works and Mobility, by the which approves the regulatory bases for the granting of subsidies for the acquisition or electrification of urban bicycles and electric personal mobility vehicles:

  1. Conventional bicycles – not electrified. The bicycles to be aided must have an urban character.

  2. Electric bikes

  3. Urban bicycle electrification kits.

  4. Personal Mobility Vehicles (VMP)

• The deduction can only be applied by taxpayers whose sum of the general taxable base and the savings taxable base , boxes [0500] and [0510] of the declaration, does not exceed the following amounts:

  • 25,000 euros in individual declaration.

  • 40,000 euros in joint declaration.

Basis of deduction

• The deduction base is the amounts used to purchase the vehicle.

• The application of the deduction is conditional on the delivery of the monetary amounts derived from the legal act or business that gives the right to its application to be made by credit or debit card , bank transfer, nominative check or deposit into accounts at credit institutions .

  See Additional Provision sixteen of Law 13/1997, of December 23, which regulates the regional section of Personal Income Tax and other assigned taxes.

• For tax period each taxpayer may deduct the amounts allocated to the acquisition of a single vehicle .

• Only taxpayers who appear on the purchase invoice for vehicle ##

Maximum deduction base

• The maximum base of the deduction will be constituted by the maximum eligible amount for each type of vehicle, in accordance with the aforementioned Order 5/2020, of June 8.

  This amount will be the following

  1. To purchase electric bicycles: The maximum eligible amount may not exceed €1,400, VAT included.

  2. For the acquisition of conventional (non-electric) bicycles: The maximum eligible amount may not exceed €500, VAT included, or €700 in the case of family bicycles with a loading element for child transport.

  3. Bicycle electrification kits: The maximum eligible amount may not exceed €600, installation and VAT included.

  4. Electrical VMP: The maximum eligible amount may not exceed €450, VAT included.

  Attention : Please note that the deduction will be applicable to vehicles listed in Order 5/2020, of June 8, although they would not have been entitled to obtain aid for exceeding the purchase price of the maximum eligible amounts provided for in the aforementioned order, although these Amounts serve as a reference for the maximum base limit of the deduction.

• In the event that there is more than one taxpayer with the right to apply the deduction on the same vehicle, the maximum base of the deduction should be prorated among them .

• The maximum base of the deduction to be applied in the joint return will be identical to that in individual taxation , without its elevation or multiplication depending on the number of members of the family unit. This maximum base is per taxpayer .

  Examples

  1. Marriage formed by Mr. MT and Mrs. RV, in which during 2021 each spouse acquired an electric bicycle for an amount of 1,600 euros.

     In accordance with Order 5/2020, of June 8, the price of electric bicycles may not exceed €1,400, VAT included (maximum deductible amount).

     Therefore, in the joint return the amount of the applicable deduction will be 10 percent of the maximum deductible amounts. This is 10% of (1,400 + 1,400) = 280 euros

     Note: The only restriction established is that in the same tax period each taxpayer may only deduct the amounts intended for the acquisition of a single vehicle. Here there are two taxpayers and the acquisition by each of two electric bicycles corresponds to 10% of the maximum deductible amount (1,400 euros) for each of the bicycles purchased.

  2. The same marriage as in the previous example: If Mr. MT purchases an electric bicycle for an amount of 1,600 euros and Mrs. RV purchases a conventional bicycle for 700 euros.

     In accordance with Order 5/2020, of June 8, the price of electric bicycles may not exceed €1,400, VAT included, and that of conventional bicycles (non-electric bicycles may not exceed €500, VAT included, or 700 euros in the case of family bicycles with a loading element for child transportation.

     Therefore, in the joint return the amount of the applicable deduction will be 10% of the maximum deductible amounts. That is, 10% of (1,400 + 500) = 190 euros

  3. The same marriage as in the previous examples: If Mr. MT purchases an electric bicycle for an amount of 1,200 euros and Mrs. RV purchases a conventional bicycle for an amount of 350 euros.

     As the amounts paid for the acquisition of the bicycles are lower than the maximum eligible price established by Order 5/2020, of June 8 (1,400 euros for electric bicycles and 500 euros for conventional bicycles), the amounts paid will be taken.

     Therefore, a deduction of 10% of the amounts paid for the acquisition of each bicycle may be recorded in the joint declaration. That is, 10% x (1,200 + 350) = 155 euros