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V1447-23 26 May 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · afectación de elementos patrimoniales

Passenger car expenses cannot be deducted if used for private purposes

A dental professional inquired whether she could deduct fuel and maintenance costs for her personal vehicle used for work commutes. The Directorate General for Taxes (DGT) ruled that this is only possible if the vehicle is exclusively assigned to the economic activity.

The question raised

Whether such expenses are deductible for Personal Income Tax purposes.

The DGT's ruling

To deduct expenses for a passenger vehicle, it must be an asset used for the economic activity. As this is not an exempted activity, the use must be exclusive; therefore, if the vehicle is used for private purposes, no expenses may be deducted. The exclusivity of the use may be proven through means of evidence admitted by law.

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