The modification of Law 6/2025, intended to facilitate housing investment through the Canary Islands Investment Reserve (RIC) to alleviate the housing emergency, is generating numerous legal doubts. These uncertainties hinder the fiscal instrument from reaching its full potential, as discussed at a forum organized by Cajasiete and Prensa Ibérica.
State Tax Inspector Roque Florido detailed the norm's updates and existing hurdles. The RIC, one of the Archipelago's main tax incentives, allows companies to reduce their taxable base by up to 90% by reinvesting profits in the Islands. Since last year, it has been expanded to include investments linked to making housing available for rent, under specific requirements.
However, Florido criticized limitations such as the property maintenance period for rental, set at five years. In his view, after this period, the subsidized housing stock might detach from its social purpose, being redirected to other uses like holiday rentals. He also deemed inappropriate the inclusion of luxury properties, allowing individuals without housing access issues to benefit from the incentive.
As a positive aspect, the speaker valued the requirement for properties to be rented within a maximum of six months from acquisition, thus encouraging their immediate incorporation into the rental market at market prices, unlike before when tax savings already yielded returns without renting.
The forum, presented by Cajasiete's General Director, Luis Alberto Díaz Dorta, highlighted the financial entity's commitment to businesses, not only in financing but also in support and knowledge generation through such events.
Florido recalled that since 2007, real estate activities within the RIC were heavily restricted due to their intensive land use. The 2025 modification expands the scope, allowing direct materialization in housing or through public Canary Islands debt dedicated to financing real estate investments in the Islands.
The measure aims to increase the housing stock for habitual residence, not for tourist rentals. The regulation requires the property to be effectively rented within a maximum of six months from its acquisition or habitability, to prevent purely formal transactions. Failure to meet this deadline would disqualify the investment.
Direct or indirect links between the owner and the tenant are prohibited, orienting the incentive towards the real rental market. The property must remain designated for rent for a minimum of five years from the start of the effective lease. Temporary vacancies are permitted if a new contract is formalized within six months of the property becoming vacant, although this will extend the required maintenance period.
The concept of housing refers to properties for habitual and stable residence, not for occasional or tourist stays. Despite the social purpose, interpretative doubts remain regarding the concept of 'habitual residence' in cases involving students or temporary work relocations, as well as the treatment of land, furniture, and previous uses.
Cajasiete's Business Director, Esther Clemente Bello, emphasized that the RIC is a 'lever for wealth and activity generation in the Canary Islands,' allowing business efforts to remain in the Archipelago and reinforcing the need to support local companies.
