At the time to file the IRPF, the deductions represent the primary way to pay fewer taxes. In general terms we are going to name the deductions that we consider most important:
- The purchase of the main residence: only for those who purchased 2013.
- General reduction of €2,000 for income from work and pensions, that is, this reduction will apply to all expatriate residents with income from pensions or work, even if such income comes from other countries.
- A 60% reduction applicable to income from the rental of housing, provided that the property constitutes the permanent residence of the lessee. This reduction is also applicable to rental incomes from properties located abroad.
- Working mothers: The mothers of children under the age of 3 can deduct the amount of 1,200 Euro per year in the IRPF or collect the anticipated monthly allowance of 100 Euro.
- Pension plans.
- Donations: There are deductions for contributions made to charities and political parties.
- Transmission of habitual residence for people over 65 years of age, the profit obtained is exempt from paying income tax.
- Transfer of habitual residence for people under 65 years of age; for Taxpayers who obtain a profit from the sale of their habitual residence do not pay income tax if they reinvest the amount obtained in the acquisition of a new habitual residence.
The capital gains derived from the sale of urban properties located in Spanish territory that had been acquired from May 12, 2012, until December 31, 2012 (applicable to both residents and non-residents tax) are exempt by 50 %.
Exemption regulated in article 7.p LIRPF, of the income received from work carried out abroad, as long as certain requirements are met, with the maximum limit of 60,100 euros per year.
Individual: € 5,550
Taxpayers over 65 years old: €6,700 per year
Taxpayers over 75 years old: €8,100 per year.
For joint tax cases, this option is only possible for couples who form marriages and not for common-law couples, in addition to the previous allowances, we can add a reduction of 3,400 euros.