Tax reliefs in Spain – what you should know

Tax reliefs in Spain (deducciones fiscales) are a topic that interests both residents and people earning income in this country. Thanks to them, it is possible to significantly reduce the amount of taxes paid, thereby improving one’s financial situation. It is worth knowing which tax reliefs are available in Spain, who can benefit from them, and how to properly document them. Find out what is worth knowing about tax reliefs in Spain in 2025.

What are tax reliefs (deducciones fiscales) in Spain?

These are various types of deductions that allow reducing the taxable base or the tax amount due. Deducciones fiscales can apply to both individuals and companies. They most often concern expenses related to housing, education, health, or investment purposes. Thanks to them, taxpayers can legally pay lower taxes, provided certain conditions are met.

It is worth remembering that the tax system in Spain is complex and varies depending on the region (autonomous community). Each community may introduce its own tax reliefs, so it is worth checking local regulations before filing a tax return. You can read more about the basics of the tax system in the article: What taxes are paid in Spain?

What deductions can be applied in connection with a mortgage loan or purchase of the first apartment?

One of the most popular tax reliefs in Spain is the relief related to a mortgage loan or purchase of the first apartment. People who acquired their first apartment before 2013 and are repaying a mortgage loan can deduct part of the interest from income tax. In some regions, there are also additional reliefs for young people buying their first property.

It is worth knowing that tax reliefs in Spain concern not only purchase but also renovation or adaptation of an apartment for the needs of disabled persons. Each of these reliefs has its limits and requires appropriate documentation.

If you are interested in the topic of tax-free allowance, read the article: Tax-free allowance in Spain.

Can non-residents use tax reliefs if they earn income in Spain?

Tax reliefs in Spain are mainly available to tax residents, i.e., people who spend more than 183 days a year in the country or have their center of vital interests here. Non-residents who earn income in Spain (e.g., from property rental) have limited access to tax reliefs. Most often, they can only deduct costs directly related to earning the income, such as administrative fees, repairs, or agency commissions.

However, it is worth checking whether the double taxation avoidance agreement between Poland and Spain provides additional deduction possibilities. Tax reliefs in Spain for non-residents are limited, but it is worth using them if possible.

How to document the right to use tax relief?

To use tax relief in Spain, it is necessary to properly document the incurred expenses. The most important are invoices, contracts, transfer confirmations, and other documents confirming the costs. In the case of mortgage relief, it is necessary to present the loan agreement and a certificate from the bank regarding the amount of interest paid.

Tax reliefs in Spain require a diligent approach to documentation, as the tax office may request presentation of evidence even several years after the settlement. Therefore, it is worth keeping all documents for at least 5 years.

What are the deduction limits and percentages of reliefs in 2025?

Limits and percentages of tax reliefs in Spain in 2025 depend on the type of relief and the region. For example, the mortgage relief can amount to up to 15% of paid interest, but no more than €9,040 per year. In the case of other reliefs, such as expenses on children’s education or apartment renovation, limits and rates are set individually by autonomous communities.

Tax reliefs in Spain are regularly updated, so it is worth monitoring changes in regulations and consulting a tax advisor. Remember that exceeding the limits may result in the tax office rejecting the deduction.

Summary

Tax reliefs in Spain are an effective way to reduce tax liabilities but require knowledge of regulations and proper documentation. Check which reliefs you can use, what the limits are, and how to correctly settle them. Tax reliefs in Spain can significantly improve your financial situation, so it’s worth using them consciously!