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V2157-20 26 June 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · afectación parcial

Utility expenses for homes partially used for economic activity are deductible

A professional using part of their home for their business enquired about the deductibility of household utility expenses. The DGT clarifies that utilities are deductible by applying 30% of the percentage of square footage allocated to the business activity.

The question raised

Deductibility of the referred expenses contracted for their residence.

The DGT's ruling

Divisible assets may be partially allocated to the activity if the allocated portion is capable of separate exploitation. In this case, ownership expenses (property tax, building depreciation, community fees, etc.) are deducted proportionally to the allocated portion. For utilities (water, gas, electricity, telephony, and Internet), the deduction is 30% of the percentage of square meters allocated to the activity, unless proven otherwise.

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