The 2024 tax deductions for renovations are an unmissable opportunity for those who wish to renovate their home while saving money. In this article, we will delve into all the details regarding the deadline for the 50% renovation bonus, who can benefit from it, what to do to obtain it, and other essential information for those who want to take advantage of this tax benefit.
When Does the 50% Renovation Bonus Expire?
The renovation bonus that allows you to deduct 50% of the expenses incurred for renovation work has been extended several times in recent years. Currently, the bonus deadline is set for December 31, 2024, to be able to take advantage of the 2024 tax deductions. However, it is always advisable to keep an eye on any regulatory updates that could further extend this benefit.
Who is Eligible for the 2024 Renovation Bonus?
The 2024 renovation bonus can be requested by:
- Owners of residential properties
- Holders of real/personal rights of enjoyment on the properties subject to interventions
- Tenants or borrowers
- Members of divided and undivided cooperatives
- Individual entrepreneurs, for properties not included among instrumental or merchandise assets
- Subjects indicated in Article 5 of the TUIR, who produce income in associated form (simple partnerships, general partnerships, limited partnerships, and subjects equivalent to these, family businesses)
What Do I Need to Do to Access the 2024 Tax Deductions?
To deduct 50% of renovation expenses, it is necessary to follow some specific procedures:
- Pay for the work via bank or postal transfer, indicating the reason for the payment, the tax code of the beneficiary of the deduction, and the tax code or VAT number of the payment beneficiary.
- Keep all receipts and invoices related to the expenses incurred.
- Indicate in the tax return the cadastral data of the property undergoing renovation.
- If the work is carried out by a condominium, the administrator must issue a certification attesting to the amount of expenses incurred.
What Will be the Amount of the Renovation Bonus in 2025?
Currently, there are no precise indications regarding changes to the renovation bonus for 2025. However, it is possible that the 50% deduction may be reduced or modified. It is essential to stay updated on legislative developments to know exactly the amount of deductions for future years.
What is the Maximum Amount I Can Deduct in 2024?
For 2024, the maximum amount of expenses on which to calculate the 50% deduction is 96,000 euros for each property unit. Therefore, the maximum obtainable deduction is 48,000 euros, to be divided into ten equal annual installments.
What is the Maximum Amount I Can Deduct in 2025?
For 2025, the deduction will decrease to 36%, and the maximum amount on which to calculate it will also be lowered to 48,000 euros for each property unit.
Can I Deduct the Cost of Renovation if I Have Financed the Work?
Domidea offers its clients Interest-Free Financing up to € 50,000 for renovation work, and its amount will be fully deductible at the current rate (50% for 2024 and 36% for 2025). Learn more about Domidea’s Interest-Free Financing.
What is the Deadline to Access the 2024 Tax Deductions for Renovations?
If there are no further extensions, the 50% renovation bonus will end on December 31, 2024. This means that all expenses incurred up to that date will be eligible for the deduction, provided they meet the conditions set by law. All renovation expenses incurred from January 1, 2025, will instead benefit from the 36% deduction on a maximum amount of 48,000 euros.
What should I Do to save on Renovation?
To save on renovation, you can follow some practical tips:
- Plan the work in advance and request multiple quotes to compare prices and services.
- Check the possibility of combining other tax benefits, such as the furniture bonus or the eco-bonus.
- Choose quality materials that guarantee longer durability and less need for future maintenance.
- Consult qualified professionals who can advise on the most efficient and economical solutions.
- Carefully follow the bureaucratic procedures to obtain tax deductions, avoiding errors that could compromise the right to benefits.
- Start the work as early as possible in 2024 to take advantage of the 50% tax deduction.
Taking advantage of the 50% tax deductions for renovations is an opportunity that can make a difference for those who wish to renovate their home without excessively burdening the family budget. Staying informed and following the correct procedures is the first step to getting the maximum benefit from these incentives.
At Domidea, we can provide you with all the necessary information and support to Renovate your Home and Benefit from Tax Deductions, even in combination with Interest-Free Financing.
