Do you want to pay less on your income tax return? If you have carried out energy renovation work on your home or receive or pay rental income, you can apply housing deductions if you meet the requirements.
June 30, 2025, is the deadline to file your income tax return. If you have a home as an owner or as a tenant, you should know what deductions you can apply in 2025 for housing in Catalonia to reduce your tax burden. We explain all the details in this article.
What is the deduction for main residence in the income tax return?
In the deductions for main residence, we can distinguish several cases for rental, ownership or renovation. We’ll look at them separately:
Deduction for rental of main residence
This deduction is regulated in the Tax Code of Catalonia and applies if you are a tenant of a home. The maximum amount of the deduction is 10% of the amounts paid during the tax period for rental of main residence and applies to the taxpayer in any of the following situations:
- – Being 32 years old or younger on the date the tax accrues (December 31 of each year).
- – Having been unemployed for 183 days or more during the year.
- – Having a degree of disability equal to or greater than 65%.
- – Being a widow or widower and 65 years old or older. In the case of a marriage under a community property regime and the lease is in the name of one of the spouses, only the spouse who signed the contract is entitled to the deduction.
The maximum limit will be 300 euros per year and if any of the filers are in the above situations, in cases of joint taxation, the maximum limit increases to 600 euros per year of deduction.
The 10% rate will also apply in the case of large or single-parent families and the maximum limit will be 600 euros per year.
In order for the deduction to be applied, the sum of the general and savings taxable bases minus the personal and family minimum must not exceed the following amounts: 20,000 euros for individual taxation and 30,000 for joint taxation. In addition, the amounts paid as rent must exceed 10% of the taxpayer’s net income. Furthermore, other conditions must be met: the deduction can only be applied once, a single home cannot result in a deduction of more than 600 euros, and the deduction is subject to justification through documents proving compliance with the requirements.
Deduction for renovation of the main residence
It is also regulated in the Tax Code of Catalonia which establishes that the deduction will be 1.5% of the amounts paid in the tax period for renovation of the home that constitutes or will constitute the taxpayer’s main residence. The maximum deduction base is 9,040 euros per year.
The following works are considered renovation of the main residence:
- – Those that have been declared a protected action in terms of housing renovation.
- – Those whose main purpose is the reconstruction of the home through the consolidation and treatment of structures, facades, or roofs and similar works, provided that the cost of the renovation exceeds 25% of the acquisition price.
Deduction for investment in main residence
In cases where the transitional regime of the deduction for investment in main residence regulated in the Income Tax Law applies, the deduction in the regional section will be as follows:
- – 7.5% as a general rule.
- – 15% in the case of adaptation works of the home for persons with disabilities.
In the case of taxpayers who acquired their main residence before July 30, 2011, or who paid amounts before that date for the construction of the main residence and are entitled to the deduction, an increased rate of 9% applies when any of the following circumstances occur:
- – Being 32 years old or younger
- – Having been unemployed for 183 days or more during the year.
- – Being part of a family with at least one child.
To be able to apply the deduction, the sum of the general and savings taxable bases minus the personal and family minimum must not exceed 30,000 euros. If it is a joint taxation, the limit is applied individually.
When does the deduction for main residence disappear?
The deduction for investment in main residence cannot be applied to new purchases from January 1, 2013, because it was eliminated by a tax reform, but those who purchased the home before that date can continue applying the deduction.
What is the maximum amount that can be deducted for main residence?
The amounts invested during the year can be deducted with the following limits:
- – For investments in acquisition, renovation, construction, or expansion of the main residence: up to 9,040 euros.
- – For amounts used in adaptation works and installations of the taxpayer’s main residence due to disability: up to 12,080 euros annually.
In both cases, the excess in the amounts invested cannot be deducted in future years. Taxpayers who wish to apply this deduction must file the income tax return.
How is the deduction for acquisition of main residence included in the tax return?
To include the deduction for acquisition of main residence in the income tax return you must provide the following information:
- – Cadastral reference of the property, which you can find on the property tax receipt or at the Cadastre Electronic Headquarters.
- – Include what you paid during the year for the mortgage, both principal and interest, for the national section and the same for the regional section, because, as we have seen, in Catalonia and other regions there are additional deductions.
- – Check the specific box for the deduction for investment in main residence.
Deductions for rental income and energy renovation works
If you are the owner of a rented property in a stressed area, you can deduct up to 90% of the rental income if you have reduced the rental price by 5% compared to the previous contract.
On the other hand, owners of rental properties in stressed areas can deduct 70% of the income if the property is rented to people between 18 and 35 years old.
For rented properties where energy renovation works have been carried out, a 60% reduction applies. On the other hand, a 70% reduction will apply if the homes are transferred or rented to the public administration, third sector entities, or included in a public housing program that limits the rental price.
There are also tax incentives in the income tax return for energy efficiency improvement works in homes. The deductions are as follows:
- – 20% for actions that reduce heating and cooling demand by 7% in main residence, provided the property is rented or expected to be rented and the contract is signed before December 31, 2025. The limit is 5,000 euros annually.
- – 40% for actions that reduce non-renewable primary energy consumption by 30% or improve the energy rating to reach letters A or B in main residence, under the same rental conditions as mentioned. The maximum annual limit is 7,500 euros.
- – 60% for actions that reduce non-renewable primary energy consumption by 30% or improve the rating to reach letters A or B in residential buildings. The application period ends on December 31, 2025, and the maximum annual limit is 5,000 euros.
Before filing your tax return, seek advice and analyze everything you can deduct to minimize your tax burden.
If you are thinking about buying, selling or renting a home, contact us so we can analyze your case and help you find the house you are looking for.
