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Tax measures of Royal Decree-Law 18/2026

The Royal Decree-Law 18/2026, of June 29, adopting certain measures within the framework of the Comprehensive Response Plan to the Crisis in the Middle East, was published in the Official State Gazette (BOE) on June 30.

Among the tax measures contained in this Royal Decree-Law, the following stand out:

  • Hydrocarbon tax. Reduction of the tax rate of 15 euro cents per liter in July, 10 euro cents per liter in August and 5 euro cents per liter in September. However, lower rates are expected in August and September if in June or July 2026 the variation in the CPI of gasoline or diesel exceeds by more than 15% the CPI of the same month in 2025.

  • Tax on the Value of the Production of Electrical Energy. Reductions are introduced in the installment payment of this tax for the third and fourth quarters of 2026. Furthermore, the tax rate for this tax will be 3.5% for 2027, reduced to half of the established tax rate (7%), and for 2028 and subsequent years it will be 0%.

  • VAT and Electricity Tax. The possibility is foreseen that, in the event of an increase in gas and electricity prices, reductions in these taxes may be resumed. It is worth remembering that from June 1st, the VAT on gas and electricity went from 10 to 21% and the Electricity Tax from 0.5 to 5.1%.

Finally, this Royal Decree-Law reinforces measures aimed at certain sectors to cushion the price of certain energy products, already implemented in Royal Decree-Law 7/2026, of March 20, which approves the Comprehensive Response Plan to the Crisis in the Middle East. In that regard, the extraordinary and temporary aid for agricultural diesel, managed by the Tax Agency, is extended until the end of September. Likewise, the extraordinary aid to road transport companies to compensate for the price of diesel for professional use will also be extended until September 30, both those that have the right to the partial refund of the Hydrocarbons Tax and road transport companies that do not benefit from that partial refund of Hydrocarbons, such as self-employed individuals, companies with transport licenses or owners of urban buses, among others. These subsidies are also managed by the Tax Agency.