Anyone who takes out a mortgage to renovate a home enjoys a double tax advantage. In fact, it is possible to combine the classic restructuring bonus, extended to the whole of 2018, and the deduction of interest expense on mortgages for building works. The clarification emerges from a guide to tax breaks for building renovations published on March 16 by the Revenue Agency.
Let's see in detail what these two advantages consist of.
1. RENOVATION BONUS
The restructuring bonus is an Irpef deduction equal to 50% of the expenses incurred to renovate both the individual real estate units and the common parts of the condominiums. There is a spending limit of 96 euros, for which the maximum deduction is 48 euros. From 2019 January 36, the deduction will return to the ordinary measure of 48% with an expenditure ceiling of XNUMX thousand euros, unless the increased subsidy is extended again.
La 2018 Budget Law, similarly to what is already foreseen for theecobonus, established that even those who benefit from the restructuring bonus will have to send Enea, electronically, some data relating to the type of interventions carried out. This is information that will be used by the Revenue Agency to monitor and evaluate the energy savings achieved following the implementation of the renovation works.
In the case of single dwellings, not only the owners can take advantage of the bonus, but also all the holders of real/personal rights on the properties (usufructuaries, tenants, borrowers, members of cooperatives) provided they bear the costs for the renovation. The same applies to cohabiting family members, separated spouses, members of civil unions and cohabitants more uxorio whoever owns or holds the property.
As for condominiums, for interventions carried out on the common areas, the deduction is due to the individual condominium within the limit of the share attributable to him, provided that this has been paid to the condominium within the deadline for submitting the tax return.
2. RESTRUCTURING MORTGAGE: DEDUCTION OF INTEREST PAYABLE
Those who take out a mortgage to renovate their home, in addition to the bonus we have just talked about, also enjoy another personal income tax deduction, equal to 19% of the interest paid on the loan. The maximum amount on which to calculate the relief is 2.582,25 euros, so the maximum deduction amounts to 490 euros.
The deduction is due to the taxpayer who enters into the loan agreement and who has possession of the property by title or other real right. The renovated house must be used as a "habitual residence", i.e. it must be the house where the person who takes out the mortgage and takes advantage of the deduction lives.
It is possible to request the discount if the following conditions are met:
- the loan must be stipulated in the 6 months prior to the start date of the works or in the following 18 months;
- the building must be used as a main residence within 6 months of the end of the construction works;
- the loan agreement must be stipulated by the subject who will have possession of the real estate unit by way of property or other real right.
In addition to the restructuring bonus, the deduction can also be combined with that envisaged for interest expense relating to mortgage loans taken out for the purchase of the main residence (equal to 19% on a maximum amount of 4 thousand euros), but only for the period of duration of the renovation works of the real estate unit and for the following 6 months.
