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V2624-20 4 August 2020 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del capital inmobiliario

Amortisation of leased property may be deducted by applying 3% to the higher of acquisition cost or cadastral value (excluding land)

The taxpayer asks how to calculate the deductible expense for the amortisation of a rented property. The DGT rules that 3% may be deducted based on the higher of the acquisition cost (excluding land) or the cadastral value (excluding land).

The question raised

Calculation of the deductible depreciation expense for a leased property.

The DGT's ruling

For income from real estate capital, depreciation is deductible if it does not exceed 3% of the higher of two values: the acquisition cost paid (excluding the land value) or the cadastral value (excluding the land value). If the land value is unknown, it shall be calculated by prorating the acquisition cost between the cadastral values of the land and the construction.

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