Villaprovedo approves bonuses of up to 95% on the ICIO

The Villaprovedo City Council (Palencia) has definitively approved the modification of the Fiscal Ordinance regulating the Tax on Constructions, Installations and Works (ICIO), which introduces tax reliefs of up to 95% for solar energy installations, accessibility works for disabled persons, and agricultural and livestock warehouses. The agreement, adopted by the Plenary in the session of May 21, 2026, becomes definitive as no claims were filed during the public exhibition period, and is published in the Official Gazette of the Province of Palencia number 108, dated September 9, 2026 (page 39).

The definitive approval occurs in accordance with Article 17.3 of the Recast Text of the Law Regulating Local Treasuries, approved by Royal Legislative Decree 2/2004, of March 5, and its text is published in compliance with Article 17.4 of the same regulation. The modification sets the tax rate at 4% and regulates a new system of tax reliefs aimed at promoting sustainability, accessibility, and agricultural activity in the municipality.

Tax Reliefs for Solar Energy and Accessibility

The ordinance establishes a tax relief of up to 95% for constructions, installations, or works that incorporate systems for the thermal or electrical utilization of solar energy for self-consumption. Its application is conditional upon heat production installations including collectors with the corresponding approval from the competent Administration.

• Property owners located in the municipality, intended for both primary residences and second homes, may benefit.
• A tax relief of up to 95% applies to works that improve access and habitability conditions for disabled persons.
• Both reliefs are applied to the quota resulting from the application, where applicable, of the relief provided in the previous section.

Boost for Agricultural and Livestock Warehouses

The modification also provides for a tax relief of up to 95% for constructions, installations, or works intended for the construction, rehabilitation, and renovation of agricultural and livestock warehouses located on rural land within the municipality. Property owners located in Villaprovedo may benefit, and the relief will be applied to the quota resulting from the application, where applicable, of the relief in the previous section.

Special Municipal Interest and Application Regime

The ordinance further provides that constructions, installations, and works which, outside of the previous cases, are declared to be of special municipal interest or utility due to social, cultural, or historical-artistic circumstances, may be eligible for a tax bonus. The declaration shall be the responsibility of the Plenary of the Corporation, upon request by the taxpayer, and shall be agreed upon by a simple majority vote of its members.

• If more than one bonus applies, the taxpayer must choose one of them; under no circumstances may their application be combined.
• The tax accrues at the moment the construction, installation, or work begins, even if the license has not been obtained or the prior communication or responsible declaration has not been submitted.
• The amendment shall enter into force on the day following its publication in the Official Gazette of the Province of Palencia, remaining in effect until its express modification or repeal.

Against the final agreement, which concludes the administrative route, a contentious-administrative appeal may be filed before the Contentious-Administrative Chamber of the High Court of Justice of Castilla y León within two months of its publication, in accordance with articles 10 and 46 of Law 29/1998, of July 13, regulating the Contentious-Administrative Jurisdiction. The edict appears signed by the mayor, Enrique Santander Aguilar.

With this measure, Villaprovedo commits to a more favorable fiscal framework for the energy transition, the inclusion of people with disabilities, and the sustainment of local agricultural activity, while offering developers and taxpayers in the municipality significant relief in the cost of their works and constructions.

Source: Official Gazette of the Province of Palencia, no. 108, September 9, 2026, Municipal Administration, page 39 (official reference: CSV 1E0D2B4P2O6L1Q2T0OWD).