New regulations for 2022

Main tax changes introduced by Royal Decree-Law 18/2022, of October 18, approving measures to strengthen the protection of energy consumers and contribute to the reduction of natural gas consumption in application of the "Plan + security for your energy (+SE)"

por el que se aprueban medidas de refuerzo de la protección de los consumidores de energía y de contribución a la reducción del consumo de gas natural en aplicación del "Plan + seguridad para tu energía (+SE)", así como medidas en materia de retribuciones del personal al servicio del sector público y de protección de las personas trabajadoras agrarias eventuales afectadas por la sequía.(BOE, 19-octubre-2022)

PERSONAL INCOME TAX

1. With effect from January 1, 2023 , the fiftieth Additional Provision of Law 35/2006, of November 28 of the Personal Income Tax is modified.

   With this modification the scope of application of deductions for works to improve the energy efficiency of homes is extended for another year.

   However, despite this extension, in the deduction for energy rehabilitation works (60%) the maximum accumulated base remains at €15,000.

   • Deduction for works to reduce heating and cooling demand: 20%

     Housing in which the works can be carried out:

     The taxpayer's habitual residence or any other residence owned by him/her that is rented for use as a residence or in expectation of renting, provided that, in the latter case, the residence is rented before December 31, 2024.

     Works that are not eligible:

     Those carried out from October 6, 2021 to December 31, 2023.

     Deduction base:

     Amounts paid from October 6, 2021 to December 31, 2023 for the works.

     The maximum annual base will be 5,000 euros per year.

     Tax period during which this applies:

     The one in which the energy performance certificate was issued after the work was carried out. These certificates must be issued before January 1, 2024.

   • Deduction for works to improve the consumption of non-renewable primary energy: 40%

     Housing in which the works can be carried out:

     The taxpayer's habitual residence or any other residence owned by him that he has rented for use as a residence or in expectation of renting, provided that, in the latter case, the residence is rented before December 31, 2024.

     Works that are not eligible:

     Those carried out from October 6, 2021 to December 31, 2023.

     Deduction base:

     Amounts paid from October 6, 2021 to December 31, 2023 for the works.

     The maximum annual base will be 7,500 euros per year.

     Tax period during which this applies:

     The one in which the energy performance certificate was issued after the work was carried out. These certificates must be issued before January 1, 2024.

   • Deduction for energy rehabilitation works: 60%

     Works that are not eligible:

     Those carried out from October 6, 2021 to December 31, 2024.

     Deduction base:

     • When the certificate has been issued during the tax period: amounts paid from October 6, 2021 until the end of the tax period.

     • When the certificate was issued during a previous tax period: the amounts paid in the year.

     The maximum annual base will be 5,000 euros per year.

     The amounts paid but not deducted for exceeding the maximum annual deduction base may be deducted, with the same limit, in the following four years, without in any case the accumulated deduction base being able to exceed 15,000 euros.

     Tax periods during which this applies:

     In principle it can be applied in 2021, 2022, 2023 and 2024. However, in order to be able to apply the deduction, the energy efficiency certificate must have been issued after the works have been carried out. These certificates must be issued before January 1, 2025 .

2. With effect from January 1, 2022, section 3 of article 87 of Law 35/2006, of November 28 of IRPF is modified, which It is worded as follows:

   "3. Entities subject to the income attribution regime shall not be subject to corporate tax, except as provided in section 12 of article 15 bis of the Corporate Tax Law.

   The purpose of this amendment is to avoid an inverted hybrid asymmetry by converting certain entities under the Spanish income attribution regime for certain income into taxpayers of Corporate Tax in Spanish territory.

   For more information, see Corporate Tax.