Irpf Deductions Madrid in Spain

Sourced from the law. This revision has not had an independent whole-pack review or accountant sign-off. Calculate regional credits after establishing tax residence and the taxpayer's facts. This Guide holds the Madrid catalogue of es-irpf-deductions, moved here unchanged on 6 November 2026, so that each Guide stays within the size the site can deliver. Specific unresolved interactions are listed in Sources.

Who this applies to

An ordinary IRPF resident whose community of residence for 2026 under LIRPF art. 72 is Madrid. A regional credit reduces regional tax, not the income base. Before applying any row below, use es-irpf-deductions for the residence test, the deduction ledger, the state/regional order of credits, the national credits, deadlines, penalties and the questions to ask, and es-income-tax for the bases, scales and minima. Where a row below refers to "the attributable-tax worksheet under The base", that worksheet is es-irpf-deductions-attributable-tax; national credits, the deduction ledger and any calculation "above" outside this catalogue are in es-irpf-deductions. Basque and Navarre residents use es-foral-income-tax; an IRNR taxpayer or an art. 93 incoming worker does not take these credits.

Rates, bands and thresholds

All amounts are EUR. BI means the specified sum of general and savings taxable income before base reductions (base imponible); BL means base liquidable after the relevant reductions. Use the definition in each row: an income limit based on BI cannot be replaced with gross salary, BL or take-home pay. The table year is 2026 unless a transition is stated.

Madrid: family, care and education

The formal and income conditions following these tables are part of each calculation.

Credit	Amount or calculation	Tax year	Official source
Birth/adoption	721.70 per child in the event year and each of the next two years; first-year multiple-birth/adoption addition 721.70 per child	2026	DL 1/2010 art. 4
International adoption	Additional 721.70 per adopted child in the event year; increase the amount by 50% when the child lives with both adoptive parents, then split equally for individual returns	2026	Art. 5
Foster children	618.60 / 773.25 / 927.90 for the first / second / third and subsequent qualifying children; each must live with the taxpayer more than 183 days	2026	Art. 6
Unpaid fostering of older/disabled persons	1,546.50 per qualifying person over 65 or with disability at least 33%; cohabitation more than 183 days, no related Madrid fostering aid	2026	Art. 7
Care of ascendants	515.50 per ascendant over 65 or with disability qualifying for the art. 59 ascendant minimum; equal division between entitled taxpayers	2026	Art. 7 bis
Schooling/languages/uniform	15% of eligible schooling and language costs plus 5% of school-only clothing; per-child ceiling 412.40, raised to 927.90 if qualifying schooling costs, or 1,031 for first-cycle infant education	2026	Art. 11
Household-worker contributions for care	25% of eligible household-worker Social Security paid, cap 463.95; large families 40%, cap 618.60	2026	Art. 11 bis
University-study loan interest	Eligible interest actually paid, not principal, for the taxpayer, spouse or qualifying descendant/maintenance-supported child; qualifying credit-institution loan and documented study purpose	2026	Art. 12 bis
Working students under 30	50% of eligible tuition, cap 400; qualifying employment/self-employment registration at least 300 days, a full course enrolment and at least five months of study/work overlap; training contracts excluded	2026	Art. 12 ter
Newly recognised large family	General category: 50% of regional gross tax, cap 6,186 individual / 12,372 joint. Special category: 100%, cap 12,372 individual / 24,744 joint. Recognition year and next two years	2026	Art. 13 bis
Two or more qualifying descendants, low income	10% of regional tax left after the other regional credits and the state credits allocated to that half; combined BI of all entitled parents and the qualifying descendants no more than 24,744	2026	Art. 14

Birth/adoption requires living with the child; split art. 4 equally if the child lives with both parents and they file individually. The international-adoption addition is compatible with art. 4. For foster-child ordering, count only children satisfying the more-than-183-day rule; a child adopted during the year is excluded from that fostering credit. Spouses/registered couples split qualifying fostering amounts on individual returns. Art. 7's exclusion for relatives through the fourth degree concerns the over-65 fostering case; do not substitute the unrelated-person credit for the ordinary ascendant credit (arts. 4–7 bis).

For education, use children/descendants qualifying for the descendant minimum and living with the parent/ascendant. Cover only the education stages and expense categories in art. 11. In first-cycle infant education, only qualifying schooling not paid at public or administration-authorised private prices enters the base. Subtract grants covering those costs. Split the deduction equally between cohabiting entitled parents on individual returns. Books, meals and transport are not added to this base merely because they are school-related (art. 11).

For household-worker care, take contributions only for months with an eligible under-three child, qualifying dependent older relative, qualifying disabled relative or the taxpayer's own qualifying dependency/disability. The employer must register as a household employer; the worker(s) must provide at least 40 hours a month. The under-three route requires the employer and relevant other parent to have qualifying work/social coverage at least 183 days. In the older/disabled-relative routes, the employer needs the specified work registration or qualifying unemployment/pension benefits; this condition does not apply to the taxpayer's own dependency/disability route. Ascendants/descendants must qualify for their minimum; spouses and second-degree blood relatives must live with the taxpayer more than 183 days and have non-exempt annual income no more than 8,000. Retain the disability/dependency evidence (art. 11 bis).

Madrid: housing, work, donations and investment

Credit	Amount or calculation	Tax year	Official source
Tenant's habitual-home rent	30% of rent paid, cap 1,237.20, taxpayer under 40; rent must exceed 20% of the taxpayer's BI	2026	Art. 8
Landlord's eligible letting costs	10% of conservation/repair, contract formalisation, damage/non-payment insurance and energy-certificate costs linked to housing rentals; annual cap 154.65	2026	Art. 8 bis
Bringing an empty home into rental	1,000 per property in the contract year, proportionate to ownership; vacant at least one year; qualifying tenancy lasting at least three years	2026	Art. 8 ter
Qualifying foundation/sports-club gifts	15% of qualifying donations; donation base capped at 10% of total BL	2026	Arts. 9 and 18.3
Variable mortgage cost increase	25% of positive excess of actual interest over interest under the same loan conditions using December 2022 Euribor; cap 300; home acquired before the tax year for a price excluding taxes/costs no more than 390,000	2026	Art. 10
Move to a small municipality	1,000 in the move year and next year; taxpayer under 35; population below 2,500 at 1 January of the preceding year; residence maintained through the move year and next three years	2026	Art. 10 bis
Buy a home in such a municipality	10% of qualifying acquisition cost divided into ten annual tenths, each capped at 1,546.50; under 35 and residence maintained through acquisition year and next three years	2026	Art. 10 ter
Young homebuyer's mortgage interest	25% of eligible interest, cap 1,031; include interest only up to the month before turning 30	2026	Art. 12
Family home bought following birth/adoption	10% of qualifying acquisition price divided into ten annual tenths, each capped at 1,546.50; acquisition within three years of birth/adoption and actual occupation within 12 months	2026	Art. 13
New/recent company subscription	40% of eligible investment, cap 9,279; qualifying university/research-linked companies and the art. 15.5 labour-company/cooperative route: 50%, cap 12,372	2026	Art. 15
First self-employment census registration	1,031, under 35, activity mainly in Madrid; remain registered at least one year	2026	Art. 16
Qualifying MAB growth-market subscription/offer	20%, cap 10,310; hold two years, ownership no more than 10%, qualifying Madrid company	2026	Art. 17
Qualifying investment by a new resident from abroad	20% of eligible security acquisition cost, including acquisition taxes/costs but excluding interest; six-year holding requirement; unused deduction available in the investment year and next five years, except an eligible preceding-year Spanish-security investment starts in the Madrid residence-acquisition year and next five years	2026	Art. 17 bis

The vacant-home credit requires no occupation, rental, use or business allocation in the preceding vacancy year; the owner/usufructuary can hold at most five residential properties, excluding garages/storage rooms. The tenant cannot be a spouse or relative through the third degree. An early-ended contract preserves the required letting duration only under the statutory re-letting-within-six-months and total-three-year conditions. Arts. 8 bis and 8 ter are compatible (art. 8 ter).

For gifts, obtain the foundation's Madrid registration, qualifying purposes and required deposited accounts, or the elementary/basic sports club's registration. Do not substitute a generic environmental donation for this statutory recipient test. For variable mortgages, obtain both actual and counterfactual interest schedules; art. 10 is incompatible with art. 12. For rural relief, use the actual INE population at the specified date. A rented move home cannot be let by the spouse or a relative through the third degree. Arts. 10 bis/10 ter are compatible; art. 10 ter also permits the stated art. 12 combination. Its acquisition cost includes taxes/expenses and excludes interest (arts. 9–12).

For art. 13, the child must qualify for the descendant minimum and the home must become the family habitual residence. Selling during the ten-year deduction schedule ends the remaining annual instalments; failing the occupation or minimum continuous three-year use condition triggers recapture, subject to the statutory habitual-home exceptions (art. 13).

For art. 15, verify subscription on formation/capital increase; combined ownership with spouse and relatives through the third degree cannot exceed 40% on any day, and the holding period is three years. The company needs Madrid registered/tax offices and a genuine economic activity. Formation ordinarily requires a full-time general-regime employee from the first fiscal year. A capital increase requires incorporation within the preceding three years and at least one additional average full-time-equivalent employee in the two subsequent fiscal years, maintained another 24 months. The art. 15.5 labour-company/cooperative route waives the formation employee requirement specifically identified there. Art. 17 instead uses its own two-year, 10% holding and non-property-management-company conditions, maintained throughout. Arts. 15 and 17 cannot apply to the same investment (arts. 15–17).

For the inbound-investor credit, verify no Spanish residence in the five years before becoming an ordinary Madrid IRPF taxpayer. Eligible assets are debt or equity securities, not a direct home purchase. Invest in the residence-acquisition year or next year; the preceding year is also available for the specified Spanish-entity securities. For unlisted equity, apply the no-tax-haven-company test, combined family ownership no more than 40% through the second degree and no executive, management or employment role in the investee. Hold for six years; disposal requires full reinvestment within one month under the statutory rules. A permitted preceding-year investment must remain held until residence is acquired before that reinvestment route can operate. Maintain Madrid IRPF residence through the last holding year. Apply this credit after the other regional credits. Ordinarily the claim window is the investment year and its five immediately following years, subject to insufficient quota. For the expressly permitted Spanish-entity securities acquired in the year before Madrid residence, article17bis.3 instead starts the window in the Madrid residence-acquisition year, plus its five immediately following years. For example, otherwise qualifying securities acquired in2025 before ordinary Madrid residence in2026 have a2026–2031 utilisation window, not2025–2030. Record that claim window separately from the six-year investment-holding and Madrid-residence conditions. It is incompatible with arts. 15/17 for the same investment. The statute includes taxpayers becoming Madrid IRPF residents from 1 January 2024 under its conditions (art. 17 bis).

Madrid: the income and evidence gates

Affected credits	Required income test	Tax year	Official source
Foster children, older/disabled fostering and tenant rent (arts. 6, 7, 8)	Taxpayer BI no more than 26,414.22 individual / 37,322.20 joint	2026	Art. 18.1
Birth/adoption (art. 4)	Taxpayer BI no more than 30,930 individual / 37,322.20 joint	2026	Art. 18.1
Birth/adoption and tenant rent (arts. 4, 8)	Additional combined BI of all members of the potential family unit no more than 61,860, even if filing individually	2026	Art. 18.1
Arts. 10, 10 bis, 10 ter, 11, 11 bis, 13, 13 bis	Combined BI of the family unit no more than 30,930 multiplied by its member count	2026	Art. 18.2

Do not apply these income gates to credits not listed in the relevant paragraph. Art. 14 has its own combined-parent/descendant test. Joint filing does not automatically double a credit or limit.

All Madrid credits require adequate evidence. Obtain the foster certificate for art. 6 and no-Madrid-aid certificate for art. 7. For arts. 8, 8 bis and 8 ter, retain the landlord's deposit receipt/copy from Agencia de Vivienda Social; for the tenant's art. 8 credit, the statutory alternative is a copy of the complaint about the landlord's failure to provide the receipt. Education requires proof of payment; study loans require their contractual purpose and evidence of use; working-student relief requires tuition, full-course and course-period documents (art. 18.4).

Worked example

Madrid tenant under 40: rent credit, cap and income gates

Hypothetical 2026 facts: an individual Madrid resident aged 34 files an individual return with BI 25,000; the combined BI of every member of her potential family unit is also 25,000. She pays 9,000 of habitual-home rent and meets every other condition this Guide states for art. 8. Both income gates are met: 25,000 is no more than 26,414.22 individual and no more than 61,860 combined. Rent of 9,000 exceeds 20% of BI (5,000). The credit is 30% × 9,000 = 2,700, capped at 1,237.20 (Madrid DL 1/2010 arts. 8 and 18). It reduces regional tax only; regional liquid tax cannot fall below zero.

name: Madrid tenant under 40, rent credit capped at 1,237.20
inputs:
  bi: 25000
  rent: 9000
steps:
  rent_threshold: bi * 0.20
  nominal: rent * 0.30
  credit: min(nominal, 1237.20)
expected:
  rent_threshold: 5000.00
  nominal: 2700.00
  credit: 1237.20

Sources

Source	Coverage/read scope	Read on
Madrid DL 1/2010	Arts. 1–18 and current amendment dates, including 2026 art. 12 ter	2026-10-25

Source	What it supports	Checked
Madrid DL1/2010 art.17bis.2(b)/3, linked above	Inbound-investment utilisation starts in residence-acquisition year for eligible prior-year Spanish securities; ordinary investment-year rule and six-year holding remain separate	2026-10-28

National law rows (LIRPF, RIRPF, LGT, Ley 49/2002) and the AEAT national guidance are in the es-irpf-deductions Sources.

Not yet confirmed: no Madrid-specific item is open; the cross-community items, and campaign-2027 dates/boxes, are listed in the es-irpf-deductions Sources. The country domain remains partial. No zero credit, automatic joint limit, expiry or unsupported amount is substituted for these gaps.