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V0838-16 2 March 2016 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rentas exentas

Municipal grants for lift installation are not exempt from Personal Income Tax (IRPF)

A local council queried whether grants for installing lifts in buildings could be considered exempt income, given they are intended for groups at risk of social exclusion. The Directorate General for Taxes (DGT) ruled that they are not, as the call for applications allows for general beneficiaries and is not restricted exclusively to groups at risk of social exclusion.

The question raised

Whether these grants can be considered included in the exemption set forth in Article 7.y) of Law 35/2006.

The DGT's ruling

Grants for the improvement of accessibility and the installation of elevators are not covered by the exemption provided in Article 7.y) of the Personal Income Tax Law. Although the call for applications awards higher scores to individuals with lower incomes or disabilities, the competitive bidding process allows for general beneficiaries. Therefore, the requirement that the aid be specifically intended to assist groups at risk of social exclusion is not met.

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