An income tax deduction is applied to contributions to Home savings accounts as follows:
- Deduction base
The deduction is applied to the sum of the contributions made to your home savings account over the year, with the limits as detailed below.
- Deduction rate
| NAVARRA |
BASQUE COUNTRY |
REST |
| 15% / 18% / 30% (*) |
18% |
15% |
(*) The percentage is generally 15%, while it is 18% for families with two or more children and 30% for families which meet the requisites of a large family on the 31st of December.
- Annual limit on the deduction base
The deduction rates indicated are applied to the yearly sum of contributions to a home savings account, direct investment, amortisation, interest and other loan financing costs for the purchase or renovation of your usual residence, with the following limits:
| NAVARRA |
BASQUE COUNTRY |
REST |
- € 9,015 per individual tax return
- € 21,035 per joint tax return
|
€ 12,000 per return |
€ 9,015 per return |
- Overall limit on deduction bases
The total of contributions to home savings accounts and investment in usual residence to which tax deductions for investment in usual residence are applied in all the tax returns presented by the taxpayer cannot exceed the following amounts:
| NAVARRA |
BASQUE COUNTRY |
REST |
- € 120,000 on individual tax returns
- € 240,000 on joint tax returns
|
€ 200,000 per taxpayer |
No overall limit. |
- Use of contributions included in the deduction base and time limit
The sums deposited in a home savings account must be used for the purchase or renovation of your usual residence (this must be your first usual residence everywhere except in the Basque Country) within the following time limits:
| NAVARRA |
BASQUE COUNTRY |
REST |
| 10 years from the end of the tax period corresponding to the date on which the account is opened |
6 years from the date on which the account is opened
(Period extended to 8 years in certain cases) |
4 years from the date on which the account is opened
(Period extended in certain cases) |
In the Basque Country, for those home savings accounts whose 6-year period ends between the 1st of January 2008 and the 31st of December 2009 (31st of December 2010 in Guipúzcoa), the period to make investments in your usual home is 8 years from the date on which the account was opened (contributions made during this 8-year period apply for the 18% deduction).
In Spain in general, for those home savings accounts whose 4-year limit matures between the 1st of January 2008 and the 30th of December 2010, the period to make investments in your usual home is extended to the 31st of December 2010 (contributions made following the 4-year period, however, do not apply for the 15% deduction).