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V1751-20 3 June 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del capital inmobiliario

Income from renting a home to a partner is taxed as income from real estate capital

A taxpayer inquired about how to declare income received from their partner for the rental of the home in which both reside. The DGT indicates that this income constitutes income from real estate capital and explains the deductibility of furniture.

The question raised

Method of declaring income received from one's partner in the Personal Income Tax (IRPF).

The DGT's ruling

As it does not constitute an economic activity pursuant to Article 27.2 of the Personal Income Tax Law (LIRPF), income from the lease of the dwelling to the partner constitutes returns on real estate capital. The expense for the acquisition of additional furniture is deductible through depreciation at an annual rate of 10%, in accordance with the Tax Regulations. To identify the specific boxes for the tax return, the taxpayer must consult the State Tax Administration Agency.

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