In his speech on the first day of the debate on the state of the region in the Madrid Assembly, Ayuso stressed that These measures “are covered by the taxes of Madrid residents“When these taxes are reduced, it translates into more resources remaining in Madrid families and not in government coffers,” he stressed.
The regional president puffed out her chest as she recalled that Madrid contributes almost 20% of the national GDP, is growing 2.9% higher than Spain, has the best growth data before covid, the highest percentage of permanent hiring and the best conditions for attracting talent. “We are the most supportive of other regions and the only community that finances its own pensions and we have one of the lowest debts in Spain,” he stressed.
Therefore, in order to “take care of the economy,” Ayuso announced that his executive would continue to lower all taxes. Specifically, In Inheritance and Donations, the premium for transactions between brothers, uncles and nephews will be increased to 50% from this year. by consanguinity, which is currently 25%. In this way, the Community of Madrid will be the first region to introduce this measure in both types of taxes for this degree of relationship.
In addition, a 100% bonus for sporadic donations between individuals of less than 1,000 eurosThe formal requirement to issue a public document to apply existing ones will also be removed.
Ayuso estimates that the new tax cuts in this tax will result in savings of almost 130 million euros per year and will benefit around 13,000 Madrid residents.
Rent deductions
On the other hand, in terms of housing, the scope of a deduction linked to personal income tax (IRPF) has also been extended since this year. Therefore, The maximum age to apply for a habitual residence rental will be increased to 1,234 euros, from 35 to 40 years old..
“Nearly 45,000 taxpayers will benefit from it, in addition to the 65,000 who currently benefit from it, generating a tax break of 50 million euros per year” explained the president, who also added that the process would be facilitated.
This measure is added to the draft law on tax reductions in this area that is currently being examined in the Parliament of Madrid. Includes four personal income tax deductions for owners who rent out unused homes, mitigate the increase in variable mortgage loans due to the rise in Euribor and the fight against the depopulation of young people under 30 who establish their habitual residence in municipalities with fewer than 2,500 inhabitants, either by purchase or by rental.
To this they can add an additional 100% bonus on real estate transfer taxes (ITP) in the case of acquisition of second-hand housing, and the Documented Legal Acts (AJD), in the case of new housing. The total impact of the savings resulting from all these tax reductions in the bill is 118 million euros.
Taxpayer Defense Act
In another vein, the President of the Community of Madrid also announced the approval in 2025 of the Taxpayer Defense Law to strengthen the administration’s attention and relationship with taxpayers and to “guarantee and protect their rights within a fair and efficient tax system.”
This new standard will aim to: create a real and effective security frameworkencourage voluntary compliance with tax obligations, improve the possibility of correcting errors made in good faith, establish a comprehensive information and assistance system and encourage the streamlining of procedures and promote the simplification of procedures.
The rights of taxpayers that will be protected by the Autonomous Law are related, on the one hand, to the relationship with the Administration (requests, complaints, suggestions, assistance or information on general issues) and, on the other hand, to those that have to do with the procedures (procedures, allegations, knowledge of the status of the procedures, information on audits and inspections, among others).
Furthermore, the Madrid Law on the Defense of Taxpayers provides for the articulation of a series of services to facilitate compliance with obligations and useful toolssuch as the creation of a tax file where citizens can have instant access to all their information regarding taxes managed by the autonomous community. In parallel with this, an independent personality will serve as support for citizens dissatisfied with the Administration’s resolutions.
Hiring incentives
Díaz Ayuso also announced an increase in the amounts of aid to companies to encourage the hiring of people with your dependents, such as children and the elderly, or who are members of large or single-parent families.
In this way, these incentives will be 500 euros more if you have dependents and 1,000 euros whether they are large families or single-parent families. In addition, startups will also be included among the beneficiaries of this aid.
Companies, self-employed workers and private non-profit entities that have a work centre located in the Community of Madrid can benefit from these subsidies. Depending on the type and circumstances, The total amount can reach 11,500 euros for each new job registration.
The different lines of incentives for hiring from the regional government have allowed almost 3,000 people from Madrid to find employment during the first half of 2024, and respond to the commitment of the Madrid executive to achieve full employment throughout this legislature.
