For leasing of real estate in the territory of the Balearic Islands intended for housing (landlord deduction)
Regulations: Art. 4 quater Consolidated Text of the Legal Provisions of the Autonomous Community of the Balearic Islands on Taxes Transferred by the State, approved by Legislative Decree 1/2014, of June 6
Amount and maximum limit of the deduction
75 per 100 of the expenses paid by the taxpayer during the year for credit insurance premiums that fully or partially cover the non-payment of income to which the taxpayer is entitled due to the lease of one or more real estate properties, located in the Balearic Islands, to a third party intended for housing.
The maximum amount of this deduction will be 440 euros per year in both individual and joint taxation .
Note: Please note that for taxpayers who died before December 31, 2022, the maximum amount of this deduction will be 400 euros.
Requirements for applying the deduction
That the duration of the housing lease contract with the same tenant is equal to or greater than one year .
That the deposit of the deposit referred to in article 36.1 of Law 29/1994, of November 24, on urban leases, has been constituted in favor of the Balearic Institute of Living place.
That the taxpayer declare in the personal income tax the income derived from the rental income of the home as income from real estate capital.