Skip to content
V1495-19 ·21 June 2019 ·consulta-vinculante Medium impact
Tax

60% reduction in net income may apply if the property is effectively used as a residence

A loft owner with a commercial cadastral designation asks whether they can apply the 60% reduction in Personal Income Tax (IRPF) by leasing it as a residence. The Directorate General for Taxes (DGT) rules that the reduction depends on the actual use of the property rather than its cadastral classification.

In 6 key points

How it affects those involved

This ruling clarifies that the tax benefits for residential leasing are determined by the real-world purpose of the property, providing certainty for owners of mixed-use or commercially registered properties used for housing.

Lifecycle

2019-06-21PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

Does this provision affect you?

The tax team reviews your specific situation.

Talk to the tax team
This analysis is informational only and does not constitute legal advice or create a client-adviser relationship. BM Consulting.
Email
Contact