Subsidies for energy rehabilitation under RD 691/2021 are not taxable in Personal Income Tax (IRPF)

The receipt of public aid intended to improve energy efficiency in buildings has raised doubts regarding its tax treatment in the owners' income tax returns. Following a binding ruling, the treatment of these incomes has been clarified when they are received by homeowners' associations.

What the DGT has ruled

The Dirección General de Tributos (DGT) establishes that homeowners' associations do not act as direct taxpayers of this tax; instead, the income they receive is attributed to each of its members based on their participation coefficient. In this context, the subsidy granted under Royal Decree 691/2021 has the nature of a capital gain.

However, the binding body determines that, as it is covered by specific energy rehabilitation regulations, the exemption provided in the fifth additional provision of the Personal Income Tax Law (LIRPF) applies. Consequently, the final beneficiary is not obliged to declare said capital gain in their annual tax return.

What this means for you

If you are the owner of a property in a community that has received a subsidy for energy rehabilitation works in accordance with RD 691/2021, that aid will not increase your IRPF taxable base. Although technically the aid represents an economic benefit attributed to the co-owners, the law protects this type of income to encourage efficiency improvements in homes.

What you should do

It is essential to keep all documentation proving that the subsidy received by the homeowners' association falls under Royal Decree 691/2021. Having the resolution of the aid and the certification of its nature will allow you to justify to the Administration the non-inclusion of this amount in your tax return in the event of an inspection.