Energy efficiency deduction applies when the certificate is issued

The application of deductions for works to improve energy efficiency in Personal Income Tax (IRPF) raises doubts regarding the exact moment this tax right can be exercised. The Dirección General de Tributos (DGT) has clarified the temporal criteria to avoid errors in the income tax return.

What the DGT has resolved

The inquiry analyzes the case of a taxpayer who makes payments for energy improvement works in one tax year, but whose energy efficiency certificate, issued after the works, is dated in a subsequent tax year. The binding body establishes that the deduction for these works shall be applied in the tax period in which the energy efficiency certificate issued after the completion of the works is released.

However, the resolution introduces an important nuance for managing payments: if the certificate is issued in a period later than that of the payments made, the deduction may be applied in the year of the payments, taking into account the amounts already paid. The key point is that the right is generated upon the issuance of the certificate, provided that it is registered in the corresponding registry.

What this means for you

If you are the owner of a primary residence or a rented property and you make investments to improve its energy efficiency, you must keep in mind that the determining factor is not just the economic outlay, but the obtaining and registration of the energy certificate following the works.

If payments are made in 2025 but the certificate is not obtained until 2026, the right to the deduction is linked to the issuance date of said document. This implies that the technical documentation must be correctly managed and registered so that the Administration recognizes the deduction in the corresponding tax year.

What you should do

To ensure the correct exercise of this tax right, it is necessary to:

• Ensure that the energy efficiency certificate is issued immediately after the completion of the works.
• Verify that the certificate is duly registered in the corresponding registry.
• Coordinate the issuance date of the certificate with the tax year in which you wish to apply the deduction to avoid discrepancies with the Tax Agency.