The income campaign begins this Wednesday for the presentation of declarations through the internet and will last until June 30. The chapter on tax deductions and benefits is one of those that require the most attention when making the declaration. The most notable changes are in the possibility of reducing the tax for works to improve energy efficiency and cutting individual pension plans.
Energy improvement works
Royal Decree-Law 19/2021, of October 5, has modified the Income Tax Law to introduce three new temporary deductions in the full state quota that are applicable to the amounts invested in rehabilitation works that contribute to achieving certain improvements in efficiency of the habitual or leased residence and in residential buildings, accredited through the energy efficiency certificate. The deduction does not cover the part of the home that is affected by the performance of an economic activity.
The deductions are incompatible with each other for the same work. The amounts must be paid by credit or debit card, bank transfer, personal check or deposit in accounts in credit institutions, to those who carry them out or issue the certificates.
From the amounts paid, you must deduct those amounts that had been subsidized through a public aid program or were to be by virtue of a final decision granting such aid. Amounts paid through deliveries of legal tender money do not give the right to the deduction. The costs of installation or replacement of fossil fuel equipment are not considered to be paid.
heating and cooling
In the first case, it is limited to works to reduce the demand for heating and cooling in the habitual residence or in any other of our ownership that is leased for use as a dwelling or in expectation of rent, provided that in this case, Let’s rent it before December 31, 2023.
The base of the deduction is the amounts paid for the works carried out from October 6, 2021 to December 31, 2022 with a maximum of 5,000. The deduction percentage is 20%.
The year in which we apply the deduction is that of the issuance of the energy efficiency certificate, after the works, but before January 1, 2023. It is not applicable to storage rooms, parking spaces and other elements, such as sports areas.
Non-renewable primary energy
In the case of improvement works that reduce the consumption of non-renewable primary energy, of habitual residence or in any other of our ownership leased for use as a home or in expectation of rent, provided that we rent it before December 31, 2023 , works that allow the non-renewable primary energy consumption indicator to be reduced by at least 30% or an improvement in the energy rating of the home to obtain an energy class A or B, on the same rating scale, are deductible. .
To accredit it, we must have an energy efficiency certificate issued by a competent technician before the start of the works (the one issued at most in the two years prior to the start of the works is valid) and, at the end of the same.
The base of the deduction are the amounts paid for the works carried out from October 6, 2021 to December 31, 2022 with a maximum of 7,500 euros and a deduction percentage of 40%. It is not applicable to storage rooms, parking spaces and other elements, such as sports areas.
residential buildings
The third deduction focuses on energy rehabilitation works in homes, parking spaces and storage rooms that are our property and that are in predominantly residential buildings.
The deduction can be applied in this year or in the next two, but the energy efficiency certificate issued after the works is necessary.
These must allow the reduction of non-renewable primary energy consumption by at least 30%, or else, the improvement of the energy rating of the building to obtain an energy class A or B, on the same rating scale. In this deduction, the energy certificate prior to the works and later, issued by a competent technician, is required.
Purchase of habitual residence
If we have sold a habitual residence in 2021 we do not have the right to deduct neither the purchase price nor the acquisition costs. The state deduction was abolished as of January 1, 2013, and although there is a transitory regime for those who used the deduction prior to that date, those of us who currently acquire it cannot benefit from it. For the beneficiaries, it is possible up to 15% of the payments they have made this year related to the acquisition, construction or rehabilitation up to a maximum of 9,040 euros.
Rent of habitual residence
In the case of rent, a deduction is established, but only available for those contracts in force and that have been constituted before January 1, 2015. These can be deducted 10.05% of the amounts paid as long as they do not exceed a base taxable amount of 24,107.2 euros.
Start-up companies
The applicable deduction percentage on the amounts paid in the year for the subscription of shares or participations in newly or recently created companies is 30%.
The maximum deduction base is 60,000 euros per year and is made up of the acquisition value of the subscribed shares or participations. The amounts on which we apply the deduction of an Autonomous Community are not deductible.
In the case of sale and reinvestment of the securities, only the part of the deduction base corresponding to the new subscribed shares or participations will be deductible, the part that exceeds the total amount obtained in the transfer.
Business and research
Deductions are included in the business sphere linked to certain events of exceptional public interest approved in the General State Budget Law.
Also, deductions are included for incentives and stimuli for business investment of the Corporate Tax Law (LIS). Thus, the deductions for job creation of article 37 of the LIS may only be applied to hirings made through employment contracts for an indefinite period of time to support entrepreneurs that have been concluded before January 1, 2019.
Along the same lines, in the special deduction regimes for economic activities carried out in the Canary Islands, the deduction expense limits are raised for investments in film productions, audiovisual series and live performances of performing arts and music.
Deductions are applicable for investment in research and development and technological innovation activities, with a joint maximum limit of 50% and 12%, respectively. Also, for investments in film productions, audiovisual series and live performances of performing arts and music.
From January 1, 2021, it is allowed to apply the deduction for the production of certain live shows, in which, in addition to the producers, those who participate in the financing of these productions made by (investors) are included.
Fixed assets
This deduction can be applied by IRPF taxpayers who carry out economic activities and who meet the requirements to be considered as a small entity, in the year in which the investment returns are obtained.
The net profits from economic activities for the years 2020 or 2021 that are invested in 2021 in new items of property, plant and equipment or real estate investments related to economic activities carried out by the taxpayer are entitled to the deduction.
In general, the deduction is 5%, although it is reduced to 2.5% if, in the year in which the reinvested income was obtained, the reduction of 20% of the positive net income declared for taxpayers who start the year was applied. of an economic activity and determine its net return according to the direct estimation method.
And, also, if the reinvested income gave rise to the right to deduction for income obtained in Ceuta or Melilla in the year in which it was obtained.
Pension funds
The traditional deduction for pension funds suffers a drastic drop in 2021, to a maximum of 2,000 euros, a reduction of 6,000 euros. On the other hand, the joint limit for contributions to individual and company plans rises to 10,000 euros, being 8,000 euros.
Contributions made to the spouse’s social security systems may reduce the general tax base of the taxpayer with a maximum limit of 1,000 euros per year, without this reduction being able to generate a negative taxable base, provided that the spouse does not obtain net income from work or economic activities, or obtain them in an amount less than 8,000 euros per year and that the contributions are made to any of the social security systems in which said spouse is a participant, mutual member or owner.
The own contributions that the individual entrepreneur makes to employment pension plans or mutual social security plans of which, in turn, he is a promoter and, in addition, a participant or mutual member, as well as those he makes to business social security plans or insurance dependency groups of which, in turn, is policyholder and insured, will be considered as business contributions.
In the case of pension plans for people with disabilities, the annual limit is 24,250 euros. This limit is joint between said person and her relatives if they wish to make contributions. For relatives, the limit is 10,000 euros.
In 2020 it has been possible to contribute up to a maximum of 2,500 euros per year to the spouse’s plan if they lack income or do not exceed 8,000 euros. In 2021 the limit is reduced to 1,000 euros. The maximum annual contributions to social welfare systems set up in favor of people with disabilities are 24,250 euros per year for contributions made by participating people with disabilities; of 10,000 euros per year for the contributions made by each of the people with whom the participant with a disability has a family relationship, by the spouse or by those who are in their care under a guardianship or foster care regime. All this, without prejudice to the contributions that these people can make to their respective pension plan.
However, the maximum joint limit admitted cannot exceed 24,250 euros per year, calculating both the contributions made by the person with a disability and those made by all those others who make contributions in favor of the participant with a disability.
The annual contributions made in 2021 and, if applicable, the excess of contributions made and not reduced in…