Tax Rights and Benefits of Mutual Aid Cohabitation
After discussing in a previous article this new unit of coexistence favoured by the mutual aid procedure, in this article we want to explain what the rights and tax benefits of mutual aid that can be obtained are and how to apply for them.
If you have not yet read this related article, you can find it at the following link:
What rights are obtained with the coexistence of Mutual Aid?
One of the most relevant legal consequences arising from the cohabitation relationship based on mutual assistance in Catalonia is the possibility that, after the death of one of the cohabitants, the others may apply for a periodic maintenance pension, provided that certain legal requirements and conditions of need are met.
This right, which constitutes one of the advantages of mutual assistance in cohabitation, is regulated in article 240-7 of the Civil Code of Catalonia (CCCat), and is configured as a measure of social and economic protection, intended to guarantee the subsistence of the cohabitants who were economically dependent on the deceased.
Who can apply for alimony for mutual support?
Any cohabitant who:
- Has been financially supported by the deceased cohabitant.
- Is in a situation of need following their death.
- Does not have sufficient means for their sustenance.
The application is addressed to the heirs of the deceased cohabitant and may be extended for a maximum period of three years, counted from the date of death.
What legal requirements exist to apply for alimony for mutual assistance?
For the pension to be granted, all of the following requirements must be met: For the pension to be granted, all of the following requirements must be met:
Personal and living conditions
- Having lived with the deceased for at least one continuous year before their death.
- Being in a real and verifiable economic need.
- Not having expressly renounced the right to a pension through a prior care agreement between cohabitants.
- Not having contracted marriage nor started a new stable couple relationship.
- Not receiving maintenance from another person legally obliged to provide it (such as direct line relatives).
These requirements aim to ensure that the right to a pension corresponds to a genuine bond of dependency and need, and not merely to formal cohabitation.
Economic limits of alimony for mutual aid
The Civil Code of Catalonia establishes asset limits to safeguard the interests of the heirs, especially when they are in situations of special protection:
- If the heirs of the deceased are direct relatives (for example, adult children or collateral relatives): the pension may reach up to a maximum of 50% of the hereditary estate.
- If the heirs are minors or persons with disabilities, the limit is reduced to 20% of the hereditary estate.
These restrictions ensure a balance between the protection of the needy cohabitant and the legitimate rights of the heirs, especially the most vulnerable.
Learn more about the legitimate portion here:
What are the mutual aid cohabitation bonuses?
Tax regime of the mutual support cohabitation relationship: benefits in the Inheritance Tax
One of the greatest incentives to formalise a cohabitation relationship of mutual support in Catalonia is the highly favourable tax treatment that this figure has received in recent years. Since March 2024, and by virtue of article 631-34 of Book VI of the Catalonia Tax Code, cohabitants of mutual support are considered, for Inheritance Tax purposes, as belonging to Group II, that is, the same as children, grandchildren and other direct descendants.
Tax equalisation for descendants: key advantages
This new tax framework represents a significant change in the tax burden applicable to inheritances received by the surviving partner, allowing them to access a series of very beneficial tax reductions:
- Reduction of 50,000 euros in the taxable base of the Inheritance Tax, simply for the existence of a formally recognised cohabitation relationship.
- Additional reduction of 275,000 euros if the deceased person was over 75 years old at the time of death.
- Reduction of up to 95% of the value of the main residence, provided that the partner had lived there and the requirements established by regional regulations are met.
These advantages effectively equate the partner with a child or direct descendant, which represents a qualitative leap in the legal and economic protection of those who choose this form of cohabitation.
Legal requirements for tax relief in mutual aid
To benefit from these important tax advantages, certain formal and material conditions must be met, among which the following stand out:
a) Formalisation requirements
- Having granted a notarial public deed that proves the existence of the cohabitation relationship at least two years prior to the death of the cohabitant.
- Alternatively, proving this relationship by means of a certificate of notoriety, provided that effective and continuous cohabitation during the same minimum period can be demonstrated.
b) Personal requirements
- None of the cohabitants must have been married or have formed a stable couple with another person during the period of cohabitation intended to be claimed for tax purposes.
These requirements aim to ensure the authenticity of the cohabitation relationship, preventing fraud and guaranteeing that tax benefits are reserved for genuine situations of mutual support and stable cohabitation.
Key tax point in mutual aid coexistence: assimilation to group II
From a technical-tax perspective, this regime means that the surviving partner is legally equated to a child or descendant, accessing lower tax rates and greater reductions in the taxable base. Consequently, formalising the relationship through a public deed not only provides legal certainty, but also allows for much more efficient tax planning in the event of death.
Conclusion: a legal figure adapted to the current social and fiscal reality
The cohabitation relationship of mutual support is established as a modern figure, in line with the evolution of social structures, especially relevant in contexts of population ageing, lasting friendship bonds, and collateral family support.
Its legal recognition in Catalonia provides a solid alternative to marriage and the formalisation of a stable partnership, allowing those who live together under this arrangement to access:
- A secure legal framework, especially if formalised by notarial public deed.
- Economic and housing protection in the event of termination or death of a cohabitant.
- Substantial tax advantages in matters of inheritance, comparable to those of children.
In short, this figure represents an effective and adaptive legal tool that offers concrete solutions for cohabitation models which, although removed from the traditional paradigm, deserve recognition, protection, and security.
JLA Notaries, Notary for formalising a mutual support cohabitation
At JLA Notarios, notary in Barcelona specialised in family notarial services such as mutual assistance, we understand the importance of offering legal solutions that adapt to the personal reality of each client. For this reason, we put at your disposal our experience in Catalan civil law and estate planning to help you formalise cohabitation through mutual assistance and advise you on its care agreements, with all legal and tax guarantees.
Contact us through our contact form, by sending an email to bcn@jlanotarios.com or writing to us on WhatsApp at the phone number 607 50 01 71.
