What Insurance can I deduct from the 2020 Tax Return?

by | Jun 7, 2021 | Advice, Blog

Mortgage Related Insurance

If you have a mortgage with the right to a deduction, that is, formalized before 2012, you can deduct the Home, Life and Payment Protection Insurance, linked to that mortgage, with a maximum limit including the mortgage payments (principal + interest) of € 9,040.
The deduction is 15%, so if you pay € 1,000 per year for your insurance, the savings will be € 150 for those insurances.

Insurance if you are Self-Employed

The self-employed person has the right to deduct all the insurances linked to his/her activity, the most important ones;

  • Health Insurance, is deductible up to € 500 per person and year, in the case of disabled people up to € 1,500. Also deductible expenses, up to the same limits, the insurance paid by the self-employed employer for its workers.
  • Car Insurance: The expenses of the Professional Vehicle are either a 100% deductible expense, or nothing can be deducted, if it is for professional use only all expenses, including insurance, can be deducted in full.
  • Accident Insurance, Temporary Disability, Civil Liability: Any insurance related to professional activity is also a deductible expense in personal income tax for the self-employed.
  • Business and Home Insurance: If you have a property, the expenses will also be deductible in the income statement and if you have a professional office in your home, the % that you occupy in your home can be deducted, e.g. If you occupy 20 meters in a house of 100, 20% of the expenses, insurance, electricity, internet, telephone, rent, etc … can be deducted.

Rental Home Insurance

In addition, if you are the owner of one or more homes or premises for Rent, you can deduct from the Income all expenses related to the lease, in the case of insurance, Home or Business Insurance, Loss of Profits, Non-payment of Rentals.

This would also be valid for Holiday Rentals, so you could deduct all the expenses related to this activity Insurance, cleaning, water, electricity, internet, reforms, etc…

For more information, do not hesitate to contact us!

If you liked it, share!

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *

20 − thirteen =

More current news…

Travel insurance and covid-19 coverage

Travel insurance and covid-19 coverage

Summer has arrived and so have the long-awaited holidays, this year a significant increase is expected in national and international trips and also in the contracting of Travel Insurance.

read more
Should i contract life insurance?

Should i contract life insurance?

It is very important to have foreseen in what situation we would leave our family in the event of our death, also of a situation of inability to work, even if we were diagnosed with a serious illness.

read more
Can the banks oblige you to take out insurance with them?

Can the banks oblige you to take out insurance with them?

With current interest rates at an all-time low and debtors on the rise in addition to raised commissions, traditional banking business is under pressure. As a consequence banks are looking for new lines of business in which they do not specialize in order to compensate for their losses.

read more

Formulario Hablemos | PBF seguros

We'll call you
FOR FREE!

We assist you in your language:
Spanish, English, Italian, German and French. From the office of your choice.

Follow us!

Office in Fuerteventura

Office in Tenerife

Prudential and brokers finance
Willis Towers Watson - Networks | PBF seguros
Mediador de seguros colegiado | PBF seguros