Regional deductions for rent, birth and childcare

Key rules

• Your region: The region where you spent the most days of the year, judged at 31 December, decides which deductions you can claim.
• Basque Country and Navarra: These two have their own tax systems, so the common regional deductions do not apply there.
• Not every region: Childcare deductions exist only in some regions, while birth and rent deductions are more widespread.
• Spouses: A deduction cannot be claimed twice by a couple, so agree who claims it.

Regions change amounts, income limits and age limits every year, so check the current figures with your regional tax agency before you file.

Your region can lower your tax further

Besides national allowances, most Spanish regions (autonomous communities) add their own deductions on your income tax. The three most useful for newcomers are for a birth or adoption, for rent and for childcare. Each region sets its own amounts and conditions, and changes them often. The rules differ by region, so always check your region's current figures.

How your region is decided

You are treated as resident in the region where you spent the most days of the calendar year. Short absences count as time spent there. If that does not give an answer, your main centre of economic interests decides, and after that your last declared residence.

Your situation is judged at 31 December. Children under 18 living with you take your region. Regional rules only affect the regional part of your income tax.

The Basque Country and Navarra run their own tax systems. The deductions below do not apply there. Ask the tax office of your province.

Birth or adoption

These regions offer a deduction: Andalucía, Aragón, Asturias, Baleares, Canarias, Cantabria, Castilla-La Mancha, Castilla y León, Cataluña, Extremadura, Galicia, Madrid, Murcia, La Rioja and Comunidad Valenciana.

The amount often depends on the child's birth order. Many regions also set income limits or give more to large families. The birth or adoption normally has to happen in the tax year.

Rent

Many regions give a deduction for renting your main home.

Typical conditions are:

• an age limit, often under 35
• a ceiling on your income
• a cap on the amount you can deduct
• registration of your rental deposit (fianza) with the regional body

Childcare

Only some regions have a nursery deduction, including Madrid, Cataluña, Galicia, Castilla y León, Andalucía, Aragón and Comunidad Valenciana. It usually covers a percentage of the cost for children under 3 in an authorised nursery, up to a cap per child. Income limits are common, and often both parents must work.

Conditions you will meet in most regions

• You are resident in the region on 31 December.
• Your taxable base is under a limit. In several regions this is roughly 30,000 euros for an individual return and 50,000 euros for a joint return, but it varies by region and year.
• The child or relative lives with you and has income below a limit.
• Large-family or disability status is proved by a certificate.
• Spouses cannot both claim the same deduction. The amount is split.
• You are up to date with your filing.

The documents and checklist below list what to gather. The resource below shows where to find your region's current rules.

Documents you need

• Family book (libro de familia), the official record of your children, to show births, adoptions and who lives with you.

• Birth or adoption certificate, needed for a birth or adoption deduction.

• Large-family certificate, only if you claim a deduction tied to large-family status.

• Disability certificate, only if the deduction depends on a disability of a child or relative.

• Nursery invoices showing the childcare costs were paid by bank, only for childcare deductions.

Checklist

• Work out which region you are resident in, counting the region where you spent the most days of the year.

• Confirm you are not resident in the Basque Country or Navarra, which have their own tax systems.

• Check whether your region offers a deduction for birth or adoption, rent or childcare.

• Compare your taxable base with the income limit for each deduction, which is often lower for individual than for joint filing.

• Check that the child or relative lives with you and that the birth or adoption happened in the tax year.

• Check the age limit and deposit registration (fianza) if you claim a rent deduction.

• Agree with your spouse who claims each deduction, so it is not claimed twice.

• Gather the certificates and invoices that prove your claim.

Where to find your region's family deductions

• The AEAT, Spain's national tax agency: Open the annual Manual práctico de Renta (the national income tax guide) on the agency's website, under the Renta campaign pages. It also covers regional deductions.

• Your region's tax agency or Hacienda website: Look up the full list of your region's deductions for rent, birth and childcare, as published by your autonomous community.

• Your region's official gazette (boletín oficial): Check the official gazette of your autonomous community for the published text of its deductions.

Frequently asked questions

Which region's deductions apply if I moved during the year?

The region where you spent the most days in the tax year is the one whose deductions apply to you. Temporary absences count as time spent there. If the days cannot settle it, the region of your main centre of economic interests applies.

Can I claim a regional deduction in the Basque Country or Navarra?

No, the common regional deductions do not apply in the Basque Country or Navarra, because they run their own tax systems. Residents there follow their own regional rules, so ask their tax authority what exists.

Do regional rent deductions have an age limit?

Often yes, many regional rent deductions are limited to tenants under 35. They also tend to have an income ceiling, a cap on the amount and a requirement that your rental deposit (fianza) is registered with the regional body.

Does a married couple claim regional deductions together?

Each spouse is assessed on their own residence, and joint filing uses the rules of the region where the member lives under the same tests. A deduction cannot be claimed twice by both spouses, so the amount is split.