Would you like to reduce your tax liability while supporting organisations that create a positive social impact?
In Spain, donations made to eligible non-profit organisations can offer significant tax advantages. Individuals and companies that support entities covered by the special tax regime of Law 49/2002 may recover a substantial part of their contribution through tax deductions, making philanthropy a more accessible and effective way to support social, cultural and charitable projects.
Individuals (IRPF)
Private donors can deduct up to:
- 80% of the first 250 € donated.
- 40% of any amount above 250 €.
- 45% on the amount exceeding 250 € when the donor has made deductible donations to the same organisation during the previous two tax years and has maintained or increased the donation amount each year.
Example:
A donation of 1.000 € may qualify for up to the following deduction:
- 200 € (80% of the first 250 €)
- 300 € (40% of the remaining 750 €)
Maximum deduction: 500 €
If the donor qualifies for the recurring donation incentive:
- 200 € (80% of the first 250 €)
- 337,50 € (45% of the remaining 750 €)
Maximum deduction: 537,50 €
Companies (Corporation Tax)
Companies can deduct up to:
- 40% of the donated amount.
- 50% if they have made deductible donations to the same organisation during the previous two tax years and have maintained or increased the donation amount each year.
Example:
A company donating 1.000 € may qualify for up to:
- 400 € tax deduction (standard case)
- 500 € tax deduction if the loyalty requirement is met
Maximum deduction: 400 € / 500 €
Limits on Tax Deductions
Tax deductions are subject to certain legal limits.
Individuals (IRPF)
The amount used as the basis for the deduction cannot exceed 10% of the taxpayer’s taxable base (base liquidable). Any amount exceeding this limit cannot be deducted.
Companies (Corporation Tax)
The deduction base cannot exceed 15% of the company’s taxable income (base imponible). Any unused deduction may be carried forward and applied during the following 10 tax years.
For priority patronage activities established by law, enhanced tax incentives may apply. In these cases, the deduction rates may increase to 45% (or 55% for recurring corporate donations), and the deduction limit may increase from 15% to 20% of the company’s taxable income.
Important Requirements
To qualify for these tax benefits:
- The organisation must be covered by the special tax regime of Law 49/2002.
- The donation must be irrevocable, unconditional and made without receiving any benefit in return.
- The organisation must issue a donation certificate to the donor.
- The organisation must report the donation to the Spanish Tax Office through the corresponding annual information return.
Donations may also be made in kind, including property, shares and other assets, provided they meet the legal requirements.
These incentives make donating an effective way to support worthwhile causes while significantly reducing the real cost of your contribution.
Disclaimer
This article is based on the Spanish Tax Office’s published guidance for the 2025 tax year and the applicable provisions of Law 49/2002. Tax rules may change, and the rates, limits and conditions applicable to donations made in 2026 should be confirmed against the legislation and official guidance applicable to the 2026 tax year.
This information is provided for general information purposes only and does not constitute tax or legal advice. Individual tax treatment may depend on the donor’s circumstances, the recipient organisation and the nature of the donation.
