Spain welcomed the year 2026 with unexpectedly good news for property owners. Authorities have approved new measures allowing millions of residents to claim significant tax deductions for improving the energy efficiency of their homes. Now, if you decide to renovate to save energy, the government is prepared to refund you up to €9,000. This isn’t just a formality—these are real funds you can claim when filing your income tax return for 2026.
The key requirement is that the work must genuinely improve your home’s energy efficiency. To qualify, you’ll need to obtain a special energy certificate both before and after the renovation, and involve a certified specialist. Without these documents, you can’t count on the deduction. However, requirements differ depending on which specific deduction you are applying for.
Deduction options
The most accessible option is a 20% deduction. To qualify, it’s enough to reduce your heating and cooling energy consumption by at least 7%. You can claim the deduction on expenses up to €5,000 per year, allowing you to get back up to €1,000. This applies not only to your own home but also to properties you rent out or plan to rent out. However, for rental properties, there is a deadline—work must be completed by the end of 2027.
If you are ready to invest more seriously, you can expect a 40% deduction. The requirements here are stricter: you need to achieve at least a 30% reduction in primary non-renewable energy consumption. Alternatively, you can secure an energy efficiency rating of “A” or “B” for your home. In this case, the maximum base for the deduction increases to €7,500 per year.
For apartment buildings
The most generous terms are offered to those living in apartment buildings who are willing to participate in a comprehensive renovation of the entire building. If you manage to reduce energy consumption by 30% or raise the building’s class to “A” or “B”, the deduction may exceed 60%. Notably, expenses for repairs of garages and utility rooms are also covered if they are part of the building.
All work must be completed by December 31, 2027, and the final certificate obtained no later than January 1, 2028. The maximum amount of expenses eligible for deduction is €5,000 per year, but if you cannot use the full amount in one go, the balance can be carried over to the next four years, with a total cap of €15,000.
Financial details
There are important limitations. The state will not refund money if you paid in cash. All expenses must be documented by bank transfers or official payments. Not only construction work is eligible, but also payments to designers and engineers, the purchase of materials and equipment, and obtaining all necessary documents.
Deductions do not apply to amounts paid in cash, even if receipts are provided. This requirement is aimed at combating the shadow economy and promoting transaction transparency. It is important to keep all payment documents and certificates—without them, the tax authorities will not approve your expenses for deduction.
Who benefits from this
The new rules apply to both homeowners and landlords. They are especially relevant for those who have been considering renovations but postponed them due to high costs. Now, part of these expenses can be recovered through a tax declaration. For families with children, pensioners, and young professionals, this is a real opportunity to improve living conditions and save on utility bills.
The benefit is obvious: investments in energy efficiency not only reduce electricity and gas bills, but also increase property value. In addition, the government effectively covers part of the costs, making these projects more accessible to a wide range of citizens.
Editorial opinion
Personally, I believe that such measures have long been overdue. The Spanish housing stock needs modernization, and state incentives are precisely the push that can change the situation. Of course, processing all the paperwork and obtaining certificates can be a hassle, but the benefits are worth it. The main thing is not to miss the deadlines and to follow all the details carefully so you don’t miss out on a well-deserved deduction.
Overall, the new tax rules are not just another bureaucratic reform, but a real tool for improving quality of life. The main question is how quickly Spaniards will take advantage of these opportunities and how actively they will modernize their homes. Time will tell, but the initiative has made a bold start.
