Next month the people of Madrid will be able to start accessing the new grants issued to purchase new cars with low or zero emissions.

The Madrid 360 plan is not a novelty; last year it had already been launched with great success, which led to a doubling of the amount for this year.

In 2022, they detailed that the amount amounts to 10.5 million euros, double the 5.5 million subsidised in 2021.

With a slight delay, the grants will be available from 10:00 a.m. on 13 May, with a period of one and a half months to be eligible for funding, i.e. until 27 June.

All this is part of the Madrid 360 Environmental Sustainability Strategy, the main objective of which is to enable both individuals and companies to join in the transition towards a more sustainable city in terms of mobility and energy efficiency.

This increase materialises the City Council’s commitment to electromobility, sustainable mobility and the reduction of pollution, mainly due to nitrogen oxides and particles emitted by road traffic.

«The Cambia 360 Plan aims to reduce greenhouse gases by 20% more than the previous Strategic Subsidy Plan and by up to 60% by 2030 (compared to 1990)», according to a statement issued by the Administration.

It should be noted in this regard that Madrid is one of those communities that has its own subsidies, outside the Moves III Plan, and this is due to the high demand that is beginning to be registered in these segments.

In the first few months of 2022 alone, a total of 20,313 electric and hybrid vehicles have been registered in the country.

This upward trend is particularly pronounced in Madrid, where more than 12,316 electric cars have been registered.

What kind of subsidies will be available?

One of the peculiarities of the Madrid Cambia 360 Plan is that it is not a plan exclusively for electric cars.

These are the most benefited, but not the only ones. In this way, the subsidies reach:

• The purchase of electric vehicles is offered a maximum subsidy of 8,500 euros. The first 6,000 euros are for all buyers; the extra 2,500 euros are obtained if a unit is delivered for scrapping.
• ECO models will get grants of up to 3,000 euros, to which 2,500 euros can be added for scrap.
• Units with a C label will also be eligible for aid, but it will be compulsory to hand in a car for scrapping. In this case, 2,500 euros will be available.
• An important point is that in all these cases, 10% of the total may be increased if certain personal circumstances of the beneficiary (large family or disability with reduced mobility) concur.

How to apply for aid?

To access the aid under the Cambia 360 Plan, applications must be made through the dealership or point of sale where the vehicle is to be purchased.

Once the deadline for receiving applications closes, a list of the subsidies that have been granted will be published.

What are the eligibility requirements?

The applicant must be registered in Madrid at the time of application and will have to maintain this condition until the grant is awarded.

In addition, when scrapping a vehicle, the applicant must be the owner and have paid the IVTM in the capital prior to applying for the aid.

Issues to be taken into account

Another point to bear in mind is that this aid is compatible with other state or regional subsidies.

However, it is not compatible with the subsidy granted by the Government of the Community of Madrid through the Moves III Plan, as this is specified in the Royal Decree that regulates it.

It is important that when you receive the grant you declare it to the tax authorities, as it must be included as a capital gain not derived from the transfer of assets in the rest of the salaries and incomes of the general income tax base.

Finally, the percentage of the financial assistance to be returned to the tax authorities will depend on the taxpayer’s income level.