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V2259-20 2 July 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · deducción por inversión en vivienda habitual

Deduction unavailable for acquisition of a new undivided share in a property after 2012

The taxpayer inquired whether they could claim a 100% deduction on amounts paid for their home following the dissolution of a co-ownership (condominium) to become the sole owner. The Directorate General for Tax (DGT) ruled that the newly acquired share does not qualify under the transitional regime for the main residence tax deduction.

The question raised

Whether from 2020 onwards, the deduction for investment in the primary residence may be applied based on one hundred percent of the amounts paid, instead of half, as has been the case until now, given that the Registry shows that the taxpayer pays the full amount.

The DGT's ruling

The acquisition of a new undivided share of the dwelling carried out after December 31, 2012, does not allow access to the transitional regime for the deduction for investment in the primary residence. Therefore, the deduction cannot be applied to the amounts paid for said new acquisition, being irrelevant that the taxpayer appears as the sole person responsible for the loan in the Registry. The deduction could only continue to be applied to the amounts linked to the undivided share acquired prior to 2013, provided that the previous requirements were met.

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