Skip to main content
Practical manual for Income Tax 2023.

For hiring indefinitely people affiliated with the Special System for Household Employees of the General Social Security Regime for the care of people

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

Amount of deduction

50 percent of the amounts paid for contributions made during the tax period for the hiring of a person on an indefinite basis to care for the descendants or ascendants in the care of the taxpayer indicated, and who is included in the Special System for Household Employees of the General Social Security Regime.

The 50% percentage will be applied to the amount of the installments paid in the months on whose last day the following requirements are met, as indicated below in the section “Requirements and other conditions for the application of the deduction”.

Important : taxpayers entitled to the deduction must indicate the NIF of the employee in Annex B.7 of the declaration.

Requirements and other conditions for the application of the deduction

The amount of this deduction will be applied to contributions made in the months on the last day of which the following requirements are met:

  • That the taxpayer has been in charge of:

    1. one or more persons under 5 years of age born, adopted or fostered who meet the cohabitation and income requirements that entitle them to the application of the minimum for descendants .

    2. one or more ascendants in a direct line, by consanguinity or adoption, who meet the requirements of cohabitation and income that give the right to the application of the minimum for ascendants and are:

      - Over 75 years old, or

      - People over 65 years of age if they are considered to have a physical, organic or sensory disability of 65% or more or a cognitive, psychosocial, intellectual or developmental disability of 33% or more.

    3. ancestors linked by ties of affinity who, meeting the above requirements (75 years of age or 65 years of age with a degree of physical, organic or sensory disability equal to or greater than 65% or with a cognitive, psychosocial, intellectual or developmental disability equal to or greater than 33%), meet the cohabitation and income requirements required to generate the right to apply the minimum for ancestors for relatives by blood or adoption.

      This is:

      -Living with the taxpayer for at least half of the year.

      -Not having obtained income in the year exceeding 8,000 euros per year, excluding those exempt from IRPF .

      -Do not file a IRPF return with income exceeding 1,800 euros.

  • That the taxpayer carries out activities on his/her own or third party account for which he/she receives income from work or economic activities.

  • That the sum of the general taxable base and the savings taxable base (boxes [0500] and [0510] of the declaration) does not exceed the following amounts:

    • - 30,000 euros in individual declaration.

    • - 47,000 euros in joint declaration.

  • When two taxpayers are entitled to apply this deduction, its limit will be prorated between them in equal parts.

    To the extent that the deduction is applied by the taxpayer who pays amounts and is listed as an employer, provided that he or she has ascendants and/or descendants in his or her care who meet the requirements set out in the regulations, the prorating of the limit will only proceed if two taxpayers have hired during the year one or more people to care for the same ascendants/descendants who meet the requirements established so that the right to apply the minimum for their direct relatives can be generated.

Maximum deduction limits

The amount of this deduction, calculated based on the months on the last day of which the indicated requirements are met, may not exceed the following limits:

  • For dependent descendants:

    • - 660 euros if the taxpayer is in charge of a child under 5 years of age who was born, adopted or fostered.

    • - 1,100 euros the event that the taxpayer has two or more minors in his/her care or is a single-parent family.

      For these purposes, the provisions of Decree 19/2018, of March 9, of the Consell, which regulates the recognition of the status of single-parent family in the Valencian Community, will apply.

  • For dependent ascendants:

    • - 330 euros when the taxpayer is dependent on an ascendant .

    • - 550 euros if you have two or more ascendants in your care .

Note:The amounts and quantitative limits of this deduction established for the purposes of individual taxation will be applied in identical amounts in joint taxation, without having to increase or multiply them based on the number of members of the family unit .

Example

Couple formed by Mrs. PRM and Mr. JSR with two common children for whom both apply the minimum for descendants. Mr. JSR's father also lives with them throughout the year, and he is entitled to apply the minimum for descendants.

Mrs. PRM is listed as the employer of a person who was hired on April 1, 2023, to care for her children and her ascendant, and for whom she paid contributions totaling 2,541.42 euros in that year.

Determine the deduction to apply.

Solution

Previous note: Only Mrs. PRM is entitled to apply this deduction, since she is the one listed as the employer of the domestic worker in Social Security.

Taxpayer Mrs. PRM: 50% of 2,541.42 = 1,270.71

Maximum limit: 1,430 euros (1,100 for the two children + 330 for each ascendant by affinity who meets the cohabitation and income requirements)

Since 1,270.71 does not exceed the maximum limit, you will be entitled to deduct that amount (1,270.71 euros).

Application of deduction limits based on taxable base

  • The maximum deduction limits (660, 1,100, 330 or 550 euros, as appropriate) will only apply to taxpayers whose sum of the general taxable base and the savings taxable base is less than 27,000 euros, in individual taxation, or 44,000 euros, in joint taxation.

  • When the sum of the general taxable base and the savings taxable base of the taxpayer is between 27,000 and 30,000 euros , in individual taxation, or between 44,000 and 47,000 euros, in joint taxation, the deduction limits will be as follows:

    1. In individual taxation, the result of multiplying the maximum deduction limit (660, 1,100, 330 or 550 euros, as appropriate) by a percentage obtained by applying the following formula:

      100 × (1 – the coefficient resulting from dividing by 3,000 the difference between the sum of the general taxable base and the family unit savings and 27,000)

    2. In joint taxation , the result of multiplying the maximum deduction limit (660, 1,100, 330 or 550 euros, as appropriate) by a percentage obtained by applying the following formula:

      100 × (1 – the coefficient resulting from dividing by 3,000 the difference between the sum of the general taxable base and the family unit savings and 44,000)

Incompatibility

This deduction is incompatible with the previous deductions, "For amounts allocated to non-occasional custody in nurseries and early childhood education centres of children or those fostered in the permanent foster care modality, under three years of age", "For reconciliation of work with family life" and "For ascendants over 75 years of age or over 65 years of age with disabilities".