Tax benefits for electric vehicles in Spain in 2026

Buying an electric vehicle in Spain in 2026 is cheaper thanks to several tax incentives that can be combined: a 15% deduction in personal income tax (up to 3,000 euros for the car and 600 euros for the charging point), exemption from the registration tax for zero-emission vehicles, road-tax reliefs of up to 75% at municipal level and the support of the MOVES III Plan. This guide summarises who can benefit from them and how to combine them.

The rise of electric mobility responds to the need to cut emissions and meet the European Union's decarbonisation targets. To accelerate that transition, the state, the autonomous communities and town councils offer aid that lowers both the purchase and the running cost of the vehicle.

What tax benefits does an electric car have in Spain?

The incentives are spread across three levels of government. It is worth knowing them all because, in most cases, they are compatible with one another.

National aid: the MOVES III Plan and the income tax deduction

MOVES III Plan

The MOVES III Plan (Incentive Programme for Efficient and Sustainable Mobility) is the main national aid for buying electric, plug-in hybrid and fuel-cell vehicles. It is financed by the government with Recovery Plan funds and managed by the autonomous communities, so deadlines and procedures vary by region. Broadly, it includes:

• A direct grant for buying zero- or low-emission vehicles, with a higher amount if an old vehicle is scrapped.
• Financial support for installing charging points.
• Enhanced aid for the self-employed, SMEs and large companies renewing their fleet.

It is worth checking the call currently in force in each autonomous community, since the programme has been extended and reformed over time and the budget can run out.

The 15% personal income tax deduction

Since 2023 there has been a national personal income tax deduction for individuals who buy an electric vehicle or install a charging point, and its application has been extended to 2026. It allows you to deduct:

• 15% of the purchase price of an electric or plug-in hybrid car, on a maximum base of 20,000 euros (up to a 3,000-euro deduction).
• 15% of the cost of installing a charging point at a home, on a maximum base of 4,000 euros (up to a 600-euro deduction).

The specific conditions and requirements are published on the website of the Spanish tax agency. In addition, some autonomous communities add their own deductions in their share of personal income tax.

Benefits in national and local taxation

Registration tax (IEDMT) at 0%

The special tax on certain means of transport (IEDMT), known as the registration tax, is calculated according to the vehicle's CO₂ emissions. The bands in force are:

• Up to 120 g CO₂/km: 0% (exempt).
• Between 121 and 160 g/km: 4.75%.
• Between 161 and 200 g/km: 9.75%.
• More than 200 g/km: 14.75%.

Because they produce no direct emissions, electric vehicles always fall in the 0% band, which means an immediate saving when registering the car.

Road tax (IVTM) relief

The tax on mechanically powered vehicles (IVTM) is a municipal tax paid each year. Many town councils apply reliefs of up to 75% to electric and hybrid vehicles, although the exact percentage and its duration depend on each municipality's tax bylaw. It is worth confirming this with the relevant town council before buying.

Access to low-emission zones and parking

Although not strictly a tax benefit, more and more cities offer advantages to electric cars: free movement in low-emission zones (LEZs), discounts or free regulated parking, and use of high-occupancy lanes. These measures also improve the economics of sustainable mobility.

Incentives for companies and the self-employed

Corporate income tax allowances

Companies that add electric vehicles to their fleet can apply free or accelerated depreciation to these investments, which brings forward the fiscal recovery of the outlay. These benefits sit within the measures to support investment in clean mobility and energy efficiency.

Regional grant programmes

In addition to the MOVES III Plan, some autonomous communities maintain their own aid programmes for SMEs and the self-employed that cover part of the cost of the vehicle and of charging points at business premises. In subsidies for sustainable businesses you will find the steps to apply for this type of support.

Long-term benefits

Savings on energy and maintenance

The cost per kilometre of an electric car is usually lower than that of a combustion vehicle, especially if it is charged on off-peak tariffs or with solar self-consumption. The electric motor also has fewer moving parts and requires simpler maintenance.

Lower environmental impact and better reputation

Beyond the savings, choosing an electric vehicle improves urban air quality and reduces emissions of greenhouse gases. For companies, electrifying the fleet is a concrete lever for emission reduction and for improving their sustainability reputation.

Keys to making the most of the tax benefits

1. Stay informed: the MOVES calls and local reliefs change frequently and can run out. Always check official sources.
2. Review the rules in your region and municipality: regional income tax deductions and IVTM reliefs depend on each authority.
3. Seek advice from a specialist in green taxation to maximise the benefits and meet the requirements.
4. Combine incentives: in most cases it is possible to stack the MOVES Plan, the income tax deduction and the IVTM relief to minimise the final cost.

Frequently asked questions

Do electric cars pay registration tax?

No. Because they emit zero CO₂, electric vehicles fall in the 0% band of the IEDMT and are exempt from this tax.

Can the MOVES Plan be combined with the income tax deduction?

Yes. They are different forms of aid and, in general, compatible. Bear in mind that the MOVES grant may be taxed as a capital gain in personal income tax.

How much is saved on road tax?

It depends on the municipality. Many town councils apply reliefs of between 50% and 75% of the IVTM to electric vehicles, but the percentage and the years of application are set by each municipal bylaw.

An incentive to accelerate clean mobility

The tax benefits for electric vehicles in Spain (the income tax deduction, the IEDMT exemption, the IVTM relief and the MOVES III Plan) significantly reduce the cost of buying and running them, and make the investment more attractive over the medium and long term. For companies that want to go beyond the vehicle and measure the real impact of their fleet, Manglai's carbon footprint platform helps calculate and reduce the emissions associated with mobility.