The declaration of nullity of the so-called floor clause, confirmed by the Court of Justice of the EU with full retroactivity, entails the restitution to those affected of the amounts overpaid in interest on mortgage loans.
These amounts to be returned by the banks will not constitute any income subject to personal income tax, but to the extent that the interest overpaid at the time would have served as the basis for the deduction for primary residence credited to personal income tax, the latter will have to be regularized.
This criterion has been confirmed by the Tax Administration and means, in short, that the interest refund made by banks will have, as a counterpart, a higher tax payment in those cases in which the deduction base (made up of the amounts paid to the bank as principal and interest) is reduced, as a consequence of the refund, below the limit applicable in each year (currently, 9,040 euros per taxpayer).
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