For rental of main residence

Regulations: Art. 4.One.n), Four and Fifth Law 13/1997, of December 23, regulating the autonomous section of the Personal Income Tax and other transferred taxes, of the Valencian Community .

Amounts and maximum amounts of deductions

• 20 percent , with a limit of 700 euros .

• 25% with a limit of 850 euros if the tenant meets one of the following conditions:

  1. Be 35 years of age or younger.

  2. Being physically or sensorially disabled, with a degree of disability equal to or greater than 65%, or mentally disabled, with a degree of disability equal to or greater than 33%.

  3. Be considered a victim of gender violence according to the provisions of Law 7/2012, of November 23, of the Generalitat, comprehensive against violence against women in the Valencian Community.

• 30 percent with a limit of 1,000 euros , if you meet two or more of the above conditions.

• The maximum deduction amount will prorated by the number of days the remains in force within the tax period and in which the personal circumstances required for the application of the different deduction percentages are met.

Note: In order to be able to apply this deduction, the taxpayer must pay, as a tenant, amounts in rent for his or her habitual residence during the tax period. Therefore, in the case of marriage, whatever the economic regime, only the amounts paid by spouse who signed the lease contract will be deductible, without prejudice to the fact that said contract has internal effects between the spouses.

Requirements and other conditions for the application of the deduction

• That the date of the lease contract is after April 23, 1998 and its duration is equal to or greater than one year.

  Remember: In order to deal with the impact of Covid-19, the requirement regarding the obligation of the taxpayer, as a tenant, to submit the corresponding self-assessment of the Tax on Property Transfers and Documented Legal Acts derived from the lease contract of the habitual residence was eliminated, with effect from January 1, 2019, by the First Additional Provision of Decree Law 1/2020, of March 27 (DOCV of the 30th).

• That it is the lease of the taxpayer's habitual residence, effectively occupied by the taxpayer. For these purposes, it will be adjusted to the concept of habitual residence included in the state regulations governing IRPF .

• That, for at least half of the tax period, neither the taxpayer nor any of the members of his/her family unit are the owners , individually or jointly , of the full ownership or a real right of use or enjoyment, of another home less than 100 kilometers from the rented home.

  In the case of a woman who is a victim of gender violence, for the purposes of applying this deduction, the aggressor's spouse who is not legally separated will be considered not to be part of the family unit. The property that the taxpayer shared with the aggressor will not be counted as habitual residence either.

  Precision: the concept of family unit is established in article 82 of the Personal Income Tax Law and is examined in Chapter 2 of this Manual.

• That taxpayer is not entitled in the same tax period to any deduction for investment in primary residence .

• That the sum of the general taxable base and the savings taxable base or , 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.

• When two or more taxpayers declaring tax are entitled to apply this deduction for the same dwelling , the limit will be prorated between them in equal parts.

Application of the quantitative limits of the deduction according to the taxable base :

• The maximum deduction limits (700, 850 or 1,000 euros, as appropriate) will only apply to taxpayers whose sum of the general taxable base and the savings taxable base is less than 23,000 euros, in individual taxation, or less than 37,000 euros, in joint taxation.

• When the sum of the general taxable base and the savings taxable base of the taxpayer is between 23,000 and 25,000 euros , in individual taxation, or between 37,000 and 40,000 euros, in joint taxation, the amounts and limits of the deduction will be the following:

  1. In individual taxation, the result of multiplying the maximum deduction limit (700, 850 or 1,000 euros as appropriate) by a percentage obtained by applying the following formula:

     100 × (1 – the coefficient resulting from dividing by 2,000 the difference between the sum of the taxpayer's general and savings taxable base and 23,000)

  2. In joint taxation , the result of multiplying the maximum deduction limit (700, 850 or 1,000 euros as appropriate) by a percentage obtained by applying the following formula:

     100 × (1 – the coefficient resulting from dividing by 2,000 the difference between the sum of the taxpayer's general and savings taxable base and 37,000)

  The apportionment of the maximum deduction limits must only be carried out when there is more than one person who, by filing a tax return, can apply the deduction for the same home by meeting all the requirements for doing so, including the maximum amount of the taxable base, even if they do not apply it effectively. Therefore, persons who do not file a declaration or those who have a taxable base higher than required are not taken into consideration for the purposes of the apportionment.

• The application of the deduction is conditional on the delivery of the monetary amounts derived from the act or legal transaction gives the right to its application being made by credit or debit card, bank transfer, personal check or deposit into accounts in credit .

  The requirement for this is established in Additional Provision sixteen of Law 13/1997, of December 23, which regulates the autonomous section of the IRPF and other transferred taxes. 

Compatibility

This deduction is compatible with the one discussed below "For renting a home as a result of carrying out an activity, on one's own account or on behalf of another, in a different municipality."

Note: Taxpayers entitled to the deduction must complete the section "Additional information on the regional deduction for rent" in Annex B.8 of the declaration in which, in addition to the data necessary to quantify the deduction, the NIF / NIE of the landlord of the home must be stated and, if applicable, that of the second landlord or, if applicable, if a NIF of another country has been entered, an X will be marked, respectively, in the corresponding boxes.