Many of you may have all ready received a letter from the Tax Office informing you of the deductions applicable from next month for registered large families (those with 3 or more children) and those who have recognized disabled family members in their care. These tax payers will be able to benefit from the 1.200€ deduction applicable to their 2016 income tax return. Alternatively they can apply for advance payments from the 7th January, which will come in the form of a monthly payment of 100€.
This deduction can reach up to 2.400€ in the case of large families of special category (5 children or more; or 4 when at least 3 of them are from a multiple birth, adoption or permanent fostering).
Also included in the large family bracket are single parent families with two children. Or where there are two parents with two children when one has a minimum disability of 33% (each disabled child computes as two). Step children are also included. Parents with four children are included in the special category if the collective income is inferior to the IPREM (Public Income Indicator of Multiple Effect) in force.
In order to be eligible, the requirements are as follows:
- Registered and paying into the social security system, as either an employee or self employed.
- Have the right to the application of the minimum deduction as the parent or child of a disabled person; or are a parent or orphan sibling (having lost both father and mother) and part of a large family. These circumstances will require documented proof. In the case of a large family, this will be with the large family book (Titulo de familia Numerosa). And in the case of disability the documentation issued by the Autonomous Community of residence, which the administration normally sends directly to the Tax office.
- NIF numbers for everyone involved. (Residencias)
- The limit of this deduction will be the total contributions made to the Social Security or Mutual Insurance Company (this is the private health insurance associated to your social security) in each tax year. If you are eligible for the deductions because you have various ascendants or descendants with a disability, the limit is applicable separately to each one of them.
Should you wish to apply for the payment up front, this should be done on form 143, one for each deduction applicable. It can be presented via the Tax Office web page (www.agenciatributaria.es), using a password that is supplied on the letters sent out or via the telephone on 901 200 345.
As of the 3rd February the application can be made in any Tax office, as long as you present the filled out application, printed and signed.
If there are various people in the household with the right to the same deduction, the application can be made individually or collectively. This can be modified each January. If the application is made collectively all the applicants must sign the application form. The person that figures as primary applicant must comply with all the requirements and will be the receiver of the bank transfer. If the beneficiaries opt for applying individually then the deduction will be divided between all the eligible applicants in equal shares.