Back to index
V0353-23 20 February 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · elementos patrimoniales afectos

Vehicle expenses cannot be deducted if used for private purposes

A lottery retailer inquired whether they could deduct travel expenses between their home and their business premises. The Directorate General for Taxes (DGT) ruled that to deduct vehicle expenses, the vehicle must be an asset exclusively assigned to the business activity.

The question raised

Whether the expenses incurred by said trips can be deducted as deductible expenses.

The DGT's ruling

The deductibility of expenses such as fuel or maintenance requires that the vehicle be an asset used for the economic activity. For passenger cars, the use must be exclusive, as personal use during non-working hours cannot be considered accessory use. If the vehicle has a private use, it cannot be considered used for the activity and, therefore, its expenses cannot be deducted.

Book your free first meeting