The 130 allowance: up to €100 a quarter, and when it really saves you
If your net income last year was €12,000 or less, the IRPF Regulation lets you subtract €25 to €100 from each Modelo 130 payment. But it is subtracted after withholdings: with the example figures, €400 saved without withholdings and €0 with 15% withholding.
Updated 19 Oct 20267 min readChecked against the BOE
€100maximum per quarter (previous income ≤ €9,000)
€12,000cap on previous-year net income
Box 13where it goes in Modelo 130
Same yearany excess does not carry over
The rule
What article 110.3.c of the IRPF Regulation says
Modelo 130 is the quarterly IRPF instalment: 20% of net income accumulated since 1 January, minus earlier instalments and withholdings (art. 110.1.a and 110.3.a). If the net income from your economic activities in the previous year was €12,000 or less, art. 110.3.c adds a fixed allowance according to this table:
Previous-year net income
Allowance
Up to €9,000
€100
Between €9,000.01 and €10,000
€75
Between €10,000.01 and €11,000
€50
Between €11,000.01 and €12,000
€25
With numbers
Where it enters: the 130's chain of boxes
Box 13 is not subtracted straight from the 20%: it enters after earlier instalments and withholdings are subtracted. First quarter of a freelancer with €3,000 of accumulated net income, in two situations:
Clients without withholding
Box 04 · 20% of €3,000€600.00
Box 06 · withholdings on your invoices€0.00
Box 12 · positive or 0€600.00
Box 13 · allowance−€100.00
This quarter's payment€500.00
Professional with 15% withholding
Box 04 · 20% of €3,000€600.00
Box 06 · withholdings on your invoices−€675.00
Box 12 · positive or 0€0.00
Box 13 · allowance−€100.00
This quarter's payment€0.00
Box 07 is box 04 − 05 − 06 and box 12 is box 07 if positive. In the second case box 07 comes out at €-75.00: you already pay 0 thanks to withholdings, and box 13 is not used this quarter.
What almost nobody tells you
When it saves you money and when it doesn't
Same freelancer, €3,000 of net income each quarter and €100 of allowance. Without withholdings they pay less every quarter than without the allowance; with 15% withholding the payment was already 0 or close, and the yearly saving is €0.
Without withholdings: yearly saving €400.With 15% withholding: yearly saving €0.
Year by year
Your bracket is recalculated every year
The bracket depends on the previous year's net income, so it changes every January. Three example years:
Year
Previous-year net income
Allowance per quarter
2026
No prior activity: €0
€100
2027
€8,500
€100
2028
€14,000
€0
In the form
How to apply it when filing the 130
There is no prior procedure: you do it when filling in the form, box by box.
Box 03: income minus deductible expenses accumulated since 1 January.
Box 04: 20% of box 03, if positive.
Boxes 05 and 06: subtract earlier instalments and the withholdings on your invoices.
Box 12: the result of that subtraction, if positive (if negative it stays at 0).
Box 13: your allowance (€100, €75, €50 or €25), by previous-year net income.
Box 14 onwards: box 12 minus box 13; if negative, you pay 0 and in later quarters of the same year it is applied in box 15.
Before anything
And if you don't even have to file the 130
Art. 109.2 of the same Regulation exempts from instalment payments someone who carries out a professional activity and had withholding on at least 70% of their activity income the year before; if you are starting an activity, the percentage of the instalment period counts (art. 109.5). Someone who bills almost everything to companies with withholding is usually in that situation, and then the allowance is not needed. Check it against last year's figures and, if needed, ask an advisor.
Common questions
Frequently asked questions
Which income decides the bracket?
Net income from economic activities in the previous tax year (art. 110.3.c RIRPF). If it is €12,000 or less you get the allowance: €100 up to €9,000, €75 up to €10,000, €50 up to €11,000 and €25 up to €12,000.
I'm a new freelancer: do I get the €100?
In your first year there is no previous-year income, that is €0, which is below the first €9,000 cap; the Autónomo Simple calculator applies the €100 bracket in that case. Confirm with your advisor how the tax agency treats your specific situation before counting on it.
Is it a guaranteed €400 a year?
No. The allowance is subtracted after withholdings and previous instalments, and it can only reduce a positive payment; any excess is applied in later instalments of the same year. With clients who withhold 15%, the 130 is often already zero or negative and the allowance saves you nothing.
What happens to the part that isn't applied?
The difference can be deducted in any following instalment of the same year whose positive amount allows it. What is left unapplied at year end does not carry over to the next year.
Can I combine it with the 20% start-of-activity reduction?
Yes, they are different things: the allowance is a deduction in the 130 instalment (art. 110.3.c RIRPF) and the 20% reduction applies in the annual income tax return on positive net income (art. 32.3 LIRPF), not in the 130.
Do I have to apply for it?
There is no prior application: it is applied when filing the 130, in box 13. Keep last year's figures in case the tax agency asks for them.
What if I'm not required to file the 130?
If you carry out a professional activity and last year at least 70% of your activity income had withholding, you do not have to make instalment payments (art. 109.2 RIRPF); when starting an activity the percentage of the period counts (art. 109.5). Then you don't need the allowance.
Autónomo Simple
Your Modelo 130 without spreadsheets
Invoice, track your costs and let the 130's boxes come from your data, with deadline reminders before each one falls due.
General, indicative information as of 19 October 2026, based on the consolidated BOE text. It does not replace advice on your case: if in doubt, check it and ask an advisor.
