Requirements for the deduction under the 48th additional provision of the LIRPF

The Directorate General of Taxes (DGT) has issued a relevant ruling regarding the application of the deduction provided for in the forty-eighth additional provision of the Personal Income Tax Law (LIRPF). This tax benefit is linked to the composition of the family unit and the residence of its members.

What the DGT has ruled

The advisory body establishes that, for the deduction to be applicable, the family unit defined in Article 82.1 of the LIRPF must be composed of Personal Income Tax (IRPF) taxpayers residing in another Member State of the European Union or in a State party to the European Economic Area (EEA) that has tax information exchange in place.

However, the DGT points out three scenarios in which the deduction will not be applicable:

• If any member of the family unit opts for the special regime provided for in Article 93 of the LIRPF.
• If the regime under Article 46 of the Revised Text of the Non-Resident Income Tax Law (IRNR) is chosen.
• If any of the members does not have a Tax Identification Number (NIF).

What it means for you

This ruling directly affects taxpayers who are part of a family unit with members residing in other EU or EEA countries. The possibility of accessing this deduction depends strictly on the residency status and the tax regime chosen by the other family members. The existence of tax information exchange between States is an indispensable requirement for the validation of this benefit.

What you should do

Given the complexity of the tax regimes applicable to residents abroad, it is necessary to verify the tax situation of each member of the family unit. It must be checked that none of them has opted for special regimes under the LIRPF or the IRNR, and that all have their corresponding tax identification. Each particular situation must be analyzed to determine whether all the requirements demanded by current regulations are met.