Declaring rent paid in 2025 will be mandatory for all tenants who submit the IRS in 2026, and access to the 15% deduction of permanent housing expenses depends on this registration. According to a website specializing in taxation, this benefit is only applied when the rentals are duly communicated to the Tax Authorities and associated with the rental contract.
According to , a website specializing in economics and current affairs, the maximum deduction limit for 2026 Income Tax is R$700, an amount corresponding to rents paid in 2025. This ceiling will be reinforced in the following years, rising to R$900 in 2026 and to R$1,000 in 2027, following the update provided for in the law.
Contract communication and electronic receipts
For the tenant to benefit from the deduction, the landlord must communicate the rental contract to the Federal Revenue Service and issue electronic receipts for all rent received. Without these procedures, expenses are not recorded in the system and cannot be considered.
The amounts paid throughout the year are usually available on e‑Fatura from March 15th of the following year. In most cases, they appear pre-filled in the Income Tax declaration, although it is always prudent to confirm that the values are correct.
Where to declare income with the IRS
Income is recorded in Annex H of the declaration. The process involves two essential points:
- Frame 6C, with code 654
- Table 7, with code 05 and the landlord’s CNPJ
Anyone who chooses to automatically import data from the e‑Fatura will find these fields already filled in. If it is necessary to enter the values manually, it is mandatory to also complete Table 7 with the property details and the landlord’s identification. If there are errors or omissions, the taxpayer must correct them before submitting the return.
Deduction limits in 2026
The deduction corresponds to 15% of the rent paid in 2025, up to a limit of 700 euros. There are, however, situations in which the maximum value may be higher.
According to the same source, taxpayers with an annual income of up to 8,059 euros can deduct up to 1,100 euros. Anyone earning between 8,059 and 30,000 euros benefits from a subsidized deduction, calculated using the formula:
800 € + [1.100 € – 800 €] × [(30.000 € – rendimento coletável) / (30.000 € – 8.059 €)]
This mechanism adjusts the limit depending on income, ensuring greater support for households with lower incomes.
How to calculate the amount to deduct
The calculation is simple: all rents paid in 2025 are added together and any public support received for this purpose, such as Porta 65, is subtracted. Only then does the 15% rate apply.
Even if the result exceeds the legal limit, only the maximum applicable deduction will be considered. Example:
- Monthly income: 750 euros
- Annual total: 9,000 euros
- 15% of 9,000 euros: 1,350 euros
- Final deduction: 700 euros (legal limit)
The law also allows you to deduct interest on mortgages taken out until December 31, 2011. However, these two deductions cannot be combined. Anyone who goes from owning their home with old credit to renting a home in 2025 will have to choose which of the deductions they want to keep.
If both appear pre-filled, the taxpayer must eliminate one of them before submitting the declaration. According to the same source, this verification is essential to avoid errors that could delay Income Tax processing.
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