Skip to main content
Practical manual for Income Tax 2023.

For habitually residing in a municipality at risk of depopulation

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

Deduction amounts

  • 330 euros

  • The previous amount will be increased by:

    • 132 euros in the event that the taxpayer is entitled to apply the minimum for descendants of a person .

    • 198 euros in the event that the taxpayer is entitled to the application of the minimum for descendants for two people

    • 264 euros in the event that the taxpayer is entitled to apply the minimum for descendants for three or more people .

    Clarifications for the application of the increased amounts :

    • The amount of the increment is unique depending on the number of descendants.

    • When two or more taxpayers are entitled to apply the minimum for descendants of the same person and meet the required requirements the additional amounts be prorated among them in equal parts.

    • The descendants to be taken into account, for the purposes of determining the applicable increased amounts, are only those for whom there is a right to apply the minimum for descendants and who, in addition, do not give the right to the deductions “For birth, adoption or foster care”, “For multiple birth or adoption” and “For birth or adoption of children with disabilities ” (see in this regard the section “Incompatibility” of this deduction).

    Example:

    The taxpayer Mr. AR resides in a municipality at risk of depopulation and has two descendants for whom the minimum for descendants of different mothers can be applied: his ex-spouse Mrs. BS who resides in Valencia capital and his current spouse, Mrs. CH, who has no other children and with whom he lives.

    Determine the amount of the deduction that corresponds to each one and the amount that would correspond to Mr. AR and Mrs. CH if they filed a joint return.

    Solution:

    1. Amount of deduction applicable by Mr. AR: 330 + 132 + [(198 -132) ÷2] = 495

      The applicable deduction will be the result of adding the increase in the deduction to 330 euros: 132 euros for the son who lives in Valencia capital with Mrs. BS and for which only Don AR has the right to the deduction plus 33 euros for the child in common with Mrs. CH which results from the difference between the increase that would correspond to Mr. AR. in his individual declaration (198 euros) less the amount corresponding to the common child with CH (132 euros) divided by two.

    2. Amount of deduction applicable to Mrs. BS: You are not entitled to the deduction because you do not reside in a municipality at risk of depopulation

    3. Amount of deduction applicable to Mrs. CH: 330 + (132 ÷ 2) = 396

      In this case the increase will be 132 euros because the taxpayer is entitled to the application of the minimum for a descendant and the prorating will proceed because Mr. AR also has the right.

    4. Amount of the deduction applicable in the case of a joint declaration by Mr. AR and Ms. CH: 330 +132 + (198-132) = 528

      In the case of a joint declaration, the applicable deduction will be the result of adding to 330 euros the increase in the deduction corresponding to the son of Mr. AR and Mrs. BS which is 132 euros plus the difference between the increase that would correspond to Mr. AR. in his individual declaration (198 euros) less the amount corresponding to the common child with Mrs. CH (132 euros).

    Conditions for the application of the deduction

    • Regarding habitual residence the concept of habitual residence included in the state regulations governing IRPF will apply.

    • Municipalities at risk of depopulation.

      1. For the purposes of considering a municipality as at risk of depopulation, it must be a beneficiary of the Municipal Cooperation Fund for the fight against depopulation of the municipalities of the Valencian Community in the financial year in which the tax is accrued or in the previous year by meeting at least five of the following requirements:

      1. Population density . Number of inhabitants: less than or equal to twenty inhabitants per square kilometer.

      2. Population growth . Population growth rate over the last twenty years: less than or equal to zero percent.

      3. Vegetative growth rate . Percentage that represents the natural balance (difference between births and deaths) on the population in the period between the last twenty years: less than or equal to -10%.

      4. Aging Index . Percentage that the population over 64 years of age represents over the population under 16 years of age: greater than or equal to two hundred fifty percent.

      5. Dependency ratio . Quotient between the sum of the population under 16 and over 64 years of age and the population from 16 to 64 years of age, multiplied by 100: greater than or equal to sixty percent.

      6. Migration rate . Percentage representing the migratory balance in the period between the last ten years (difference between entries and exits of population for migratory reasons) with respect to the total population of the last year: less than or equal to zero.

      These data will be determined in accordance with the population figures approved by the Government and appearing in the latest municipal register in force, and official statistics published by the National Institute of Statistics, the Valencian Institute of Statistics and official data from the Public Administrations.

      2. Municipalities that lose their status as beneficiaries of the fund for meeting only four of the six required conditions will maintain this status during the year in which this circumstance occurs.  

      3. Municipalities that, even without meeting the requirements indicated, belong to functional areas with a population density equal to or less than 12.5 inhabitants per square kilometre will also have this status. The functional areas will be determined in accordance with the official data on territorial demarcations registered in the Registry of Local Entities of the Valencian Community, created by Decree 15/2011, of February 18, of the Consell.

      4. In any case, all municipalities with a population of less than 300 inhabitants will be considered as such.

      Municipalities benefiting from the Municipal Cooperation Fund for the fight against depopulation in municipalities in the Valencian Community

      The municipalities that benefit from the municipal cooperation fund are indicated in the annex to the resolutions that the Presidency of the Generalitat agrees annually by which the specific line of the Municipal Cooperation Fund for the Fight against Depopulation of the Municipalities of the Valencian Community is assigned.

      For the IRPF campaign corresponding to the 2023 fiscal year, taxpayers residing in municipalities that appear, at least, in the annex of one of the following resolutions may be beneficiaries of the deduction:

      RESOLUTION of June 21, 2022 , of the Presidency of the Generalitat, on the allocation of the specific line of the Municipal Cooperation Fund for the Fight against Depopulation of the Municipalities of the Valencian Community to the respective beneficiary entities, for the budget year 2022.

      RESOLUTION of October 23, 2023 , of the Presidency of the Generalitat, on the allocation of the specific line of the Municipal Cooperation Fund for the Fight against Depopulation of the Municipalities of the Valencian Community to the respective beneficiary entities, for the budget year 2023.

    • In the case of joint taxation the same deduction amounts as those established for individual taxation purposes apply.

    Incompatibility

    This deduction is incompatible, for the same descendant or assimilated, with the deductions "For birth, adoption or foster care", "For multiple births or adoptions" and "For birth or adoption of children with disabilities".