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V3677-15 24 November 2015 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · afectación

Motorcycle expenses may be deductible if private use is incidental and clearly insignificant

A commercial agent has enquired whether they can deduct expenses for a motorcycle purchased for professional travel. The DGT indicates that, as a commercial agent, the vehicle may be considered business-related if private use is incidental and non-significant, allowing for the deduction of only those expenses correlated with income.

The question raised

Possibility of deducting in the Personal Income Tax (IRPF) the expenses derived from the acquisition and use of the motorcycle.

The DGT's ruling

The motorcycle is considered related to the economic activity if it is used exclusively for the same, allowing private use provided that it is accessory and notoriously irrelevant. Only expenses that bear a correlation with the income of the activity shall be deductible. The accreditation that private use is irrelevant is a matter of fact that must be proven by the taxpayer.

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