Most common deductions in Personal Income Tax

Main deductions you can apply on your tax return: main home, maternity, large family, pension plans, donations, electric vehicles and energy-efficiency works.

Form D-100 · Sections O and S Most common deductions

O On the gross tax liability

  • [0700][0701] Investment in main home (state + regional)
  • [0722][0725] Donations

S On the differential tax liability

  • [0660][0661] Large family
  • [0662][0663] Ascendants with disability
  • [0248][0249] Dependent spouse with disability

Deductions in Personal Income Tax directly reduce the gross tax liability. Below are the main deductions most taxpayers can apply.


Deduction for investment in main home (transitional regime)

This deduction was abolished for homes acquired on or after 1 January 2013. Taxpayers who acquired their home before that date and applied the deduction in earlier years can continue to apply it.

Concept Amount
Deduction rate 15 % of amounts paid
Maximum annual base €9,040
Maximum annual deduction €1,356
  • Deduction rate

    Amount 15 % of amounts paid

  • Maximum annual base

    Amount €9,040

  • Maximum annual deduction

    Amount €1,356

Items giving entitlement to the deduction

  • Acquisition (includes mortgage amortisation, interest and linked insurance)
  • Construction or extension of the main home
  • Rehabilitation (certified officially)
  • Adaptation of the home for persons with disability

Maternity deduction

ℹ️ Full operational guide: this section summarises the benefit. For detailed requirements, Form 140 for the advance payment, the childcare top-up and boxes [0611] / [0612] / [0613], see Maternity deduction.

🟡 Two distinct concepts not to confuse:

  • Exemption (Art. 7.h Law PIT): the birth and childcare benefit paid by Social Security during the leave is exempt and is not declared.
  • Deduction (Art. 81 Law PIT): €1,200 per year per child under 3. Operates on the differential liability.

See rendimientos-trabajoMaternity / paternity benefits (exempt) for the exemption details.

For women taxpayers with children under 3 entitled to the minimum for descendants, who receive unemployment benefits or are registered with Social Security or a mutual fund with at least 30 days of contributions. Since 1 January 2023 it is no longer required to perform self-employment or employment activity.

Concept Amount
Basic deduction per child under 3 €1,200/year per child
Increase for nursery or authorised centre Up to €1,000 additional/year per child
  • Basic deduction per child under 3

    Amount €1,200/year per child

  • Increase for nursery or authorised centre

    Amount Up to €1,000 additional/year per child

The advance payment is obtained by filing form 140 with the AEAT (€100/month per child).


Deduction for large family or dependants with disability

ℹ️ Full operational guide: this section summarises the five figures. For requirements, form 143 advance payment, transfer of the right and adjustment with forms 121/122, see Family and disability deductions on the differential tax liability.

Large family

Category Annual deduction
General large family (3+ children) €1,200
Special large family (5+ children or exceptional conditions) €2,400
Increase per additional child from the 4th (general) or 6th (special) €600 additional
  • General large family (3+ children)

    Annual deduction €1,200

  • Special large family (5+ children or exceptional conditions)

    Annual deduction €2,400

  • Increase per additional child from the 4th (general) or 6th (special)

    Annual deduction €600 additional

Dependants with disability

Concept Annual deduction
Per descendant with disability ≥ 33 % entitled to the minimum for descendants €1,200 per person
Per ascendant with disability ≥ 33 % entitled to the minimum for ascendants €1,200 per person
Spouse with disability ≥ 33 %, not legally separated, income < €8,000 €1,200
  • Per descendant with disability ≥ 33 % entitled to the minimum for descendants

    Annual deduction €1,200 per person

  • Per ascendant with disability ≥ 33 % entitled to the minimum for ascendants

    Annual deduction €1,200 per person

  • Spouse with disability ≥ 33 %, not legally separated, income < €8,000

    Annual deduction €1,200

Advance payment: may be requested via form 143 (€100/month per deduction).


Reductions for contributions to pension plans and social welfare systems

Contributions to social welfare systems reduce the taxable base (not the tax liability). Their benefit therefore depends on each taxpayer's marginal rate.

System Annual limit (2025)
Individual pension plans, PPA, mutual funds €1,500
Additional contribution if there is an employer contribution to a company plan Up to €8,500 additional
In favour of the spouse (if spouse's income < €8,000) Up to €1,000 additional
  • Individual pension plans, PPA, mutual funds

    Annual limit (2025) €1,500

  • Additional contribution if there is an employer contribution to a company plan

    Annual limit (2025) Up to €8,500 additional

  • In favour of the spouse (if spouse's income < €8,000)

    Annual limit (2025) Up to €1,000 additional

The reduction cannot exceed 30 % of the sum of net earned income and net income from economic activities.


Donation deduction

For donations to non-profit entities under Law 49/2002:

Donation amount Deduction rate
First €250 80 %
Excess over €250 40 %
Excess over €250 (same entity, last 2 years, equal or greater amount) 45 %
  • First €250

    Deduction rate 80 %

  • Excess over €250

    Deduction rate 40 %

  • Excess over €250 (same entity, last 2 years, equal or greater amount)

    Deduction rate 45 %

Maximum base: 10 % of the taxable base.


Deduction for investment in electric vehicles (until 31/12/2025)

Concept Rate Maximum base
Purchase of an electric or fuel-cell vehicle 15 % €20,000 → max. €3,000 deduction
Installation of a charging point 15 % €4,000 → max. €600 deduction
  • Purchase of an electric or fuel-cell vehicle

    Rate 15 %

    Maximum base €20,000 → max. €3,000 deduction

  • Installation of a charging point

    Rate 15 %

    Maximum base €4,000 → max. €600 deduction


Deduction for energy-efficiency works

Type of improvement Deduction Deadline
Reduction ≥ 7 % in non-renewable primary energy consumption 20 % Until 31/12/2026
Energy-rating improvement (main home: E→D or higher) 40 % Until 31/12/2026
Energy-rating improvement (building: E→C or higher) 60 % Until 31/12/2027
  • Reduction ≥ 7 % in non-renewable primary energy consumption

    Deduction 20 %

    Deadline Until 31/12/2026

  • Energy-rating improvement (main home: E→D or higher)

    Deduction 40 %

    Deadline Until 31/12/2026

  • Energy-rating improvement (building: E→C or higher)

    Deduction 60 %

    Deadline Until 31/12/2027


How to apply the deductions: order and limits

  1. First, deductions are applied to the state gross liability (until it is exhausted, minimum 0).
  2. Then, deductions are applied to the regional gross liability (until it is exhausted, minimum 0).
  3. Finally, the deductions on the differential liability (maternity, large family, disability).

Deductions not applied due to insufficient tax liability do not generate a refund right, except for maternity and large family deductions, which do (up to the amount of Social Security contributions paid).