Back to index
V0422-17 17 February 2017 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · deducción por inversión en vivienda habitual

Deduction for investment in main residence may be maintained if relocation is necessary

A taxpayer who began building their home before 2013 asks whether they can maintain tax deductions if they move abroad for work reasons without occupying the property for the required three years. The Directorate General of Taxes (DGT) indicates that to consolidate these deductions, the transitional regime must be met, and a lack of residency is only valid if it is proven that the change of address is a necessity rather than a mere choice.

The question raised

In the event that a transfer occurs, the possibility of maintaining the right to the amounts deducted via the deduction for investment in the primary residence up to that moment, despite being unable to inhabit it during the following three years.

The DGT's ruling

To maintain the right to deductions, the construction must have been completed within the legal deadlines or with an authorized extension. To consolidate them, the dwelling must be inhabited for twelve months and for three years, unless circumstances arise that necessarily require a change of residence, such as a job transfer. The necessity of said change must be proven before the Administration, assessing whether the situation prevents permanence or if it is a voluntary option of the taxpayer.

Book your free first meeting