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V2233-23 27 July 2023 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · residencia fiscal

Tax residence is determined by presence, center of economic interests, or Convention rules

The DGT explains how to determine tax residency under domestic law and the Spain-Germany double taxation treaty, noting that the home ownership deduction is lost upon ceasing to reside in the property.

The question raised

1.- Tax residence of the taxpayer.

The DGT's ruling

Tax residence in Spain is determined by staying for more than 183 days, by having the core of economic activities or interests in the country, or by the presumption of residence if the family resides in Spain. In the event of a conflict between Spain and Germany, the Convention applies, prioritizing the permanent home and, failing that, the center of vital interests. Regarding the deduction for the habitual residence, this cannot be applied for the amounts paid since the taxpayer ceased to reside in the dwelling.

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