Spanish rental tax deduction in 2026: eligibility and calculation
RDL 29/2026 creates a state tax deduction for renting a habitual home. It does not mean subtracting 10% of rent from your salary or automatically receiving that money: it is calculated on qualifying payments within the personal income tax return.
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In short
- You may deduct 10% of eligible amounts paid for your habitual home if annual taxable income is below €33,007.20 (art. 68.6 of Act 35/2006).
- The maximum base is €11,630 up to taxable income of €23,007.20; it then falls under a formula until reaching zero.
- For at least half the tax period, neither you nor your family unit may have another home within fifty kilometres in full ownership or with a real right of use, unless an administrative or judicial decision prevents its use.
In this guide4 min read
Who can claim the deduction? New
Taxpayers whose taxable income is below €33,007.20 per year and who pay rent for their habitual home. Taxable income is a figure in your tax return, not annual gross salary.
The deduction took effect on 8 October 2026. For tax year 2026, check the Tax Agency's instructions on eligible amounts and keep documents for the whole period.
This is a state rule. Regional deductions and foral tax regimes have separate requirements and must be checked independently.
How much can I deduct?
The rate is 10% of amounts paid during the tax period for a habitual-home rental, with a maximum base determined by taxable income.
If taxable income is €23,007.20 or less, the maximum annual base is €11,630. The theoretical maximum deduction at that level is therefore €1,163, provided all payments qualify and the tax assessment allows it.
For taxable income between €23,007.20 and €33,007.20, the maximum base is: €11,630 − 1.163 × (taxable income − €23,007.20). As you approach the upper threshold, the base falls to zero.
The outcome is not necessarily a refund: this is a deduction within the tax assessment and depends on your full tax position.
What is the other-home condition?
For at least half the tax period, neither you nor any member of your family unit may hold, individually or jointly, full ownership or a real right of use or enjoyment over another home within fifty kilometres of the rented home.
The exception applies where an administrative or judicial decision prevents use of that other home as a residence. Keep that decision if you rely on the exception.
The condition concerns another nearby home, not every property in another region. Check ownership, usage rights and distance.
Which documents should I keep?
The habitual-home rental contract, receipts or bank evidence of payments, and documents proving habitual residence.
Also keep information needed to check the other-home rule and, where applicable, the decision preventing its use. With several contract holders or shared payments, document who paid each amount.
The Tax Agency may require proof of payments and other requirements; an identified bank transfer is usually easier to evidence than cash without a receipt.
Can I combine it with other deductions?
Article 67 includes the new article 68.6 deduction in calculating the net state tax liability. Regional deductions are a separate analysis: check your autonomous community or foral regime.
You cannot apply both the old state transitional rental deduction and this new deduction for the same home and period. The fifteenth transitional provision excludes that regime when article 68.6 is used.
Do not count the same payment twice across state mechanisms. If you share a contract or receive public aid, review the return with a tax adviser.
The law behind this guide
The deduction is in article 68.6 of Act 35/2006, added by Royal Decree-law 29/2026 with effect from 8 October 2026. The decree is subject to validation by Congress. This guide explains the rule and is not personalised tax advice.
Example
Taxable income of €25,000 and €12,000 paid during the year
- Excess over €23,007.20
- €1,992.80
- Reduction in maximum base
- €2,317.63
- Resulting maximum base
- €9,312.37
- Approximate deduction (10%)
- €931.24
Example if all payments qualify and the other requirements are met. Rounded to cents; the assessment depends on the full tax position.
Frequently asked questions
Can I deduct 10% if I earn more than €33,007.20?
The rule requires annual taxable income below €33,007.20. Check that tax figure, not just gross salary.
Is the maximum base always €11,630?
Only when taxable income is €23,007.20 or less. Between that figure and €33,007.20, the maximum base falls under the statutory formula.
Is this a monthly benefit?
No. It is calculated in the personal income tax return on eligible amounts paid during the period; it is neither a monthly payment nor necessarily a refund.
Can I use it if I own another home?
It depends. For at least half the period, neither you nor your family unit may have another home within 50 km in full ownership or with a real right of use or enjoyment, unless a decision prevents residence there.
Can I also use the old state rental deduction?
Not for the same home and period. The transitional regime is excluded when the new article 68.6 deduction is used.
What do I do now?
Find your taxable income
Do not use gross salary. First check whether it is below €33,007.20 and which maximum-base band applies.
Add only eligible payments
Gather the habitual-home contract and payment evidence. Then apply the relevant maximum base and calculate 10%.
Check nearby homes and incompatibilities
Review the 50-km rule, the transitional regime and any regional deduction before filing.
Related guides
Look up your building on Pisopedia
Before you sign, see what the people who already lived there say: the landlord, the area and the rent they paid.