Are you about to buy your dream home in Italy, or have you recently purchased one?
If you’re thinking to carry out some renovation and maintainance works, carpe diem!
As a matter of fact, whether you are an expat living in Italy or you own an Italian business or property, you can benefit from tax deduction on the expenditure made for renovation projects enhancing energy efficiency (Ecobonus) that has just risen until a maximum of 65%, and has been extended unti the end of 2014 due to the new Decree Law.
This is an extraordinary measure which has been established only a few days ago by Letta government with the brand new Legge di StabilitÃ (Stability Law), and is applicable on payments made for energy efficiency improvements works from June 6th. You have time until December 31st 2014, whereas it will decrease by 40% in 2015, and 36% in 2016. The value of the benefit depends on the type of work: 60,000 euros for the installation of solar panels, until reaching a maximum of 100,000 euros in case of regeneration of the entire building.
As per tax relief on restorations of properties and condos, the bonus has shifted from 36% (with a maximum limit of 48,000 euros) to 50% (with a maximum limit of 96,000 euros) for the costs you have paid from June 26th and that you will spend throughout 2014. To this action is also added a benefit for furniture designed for refurbished properties. The limit price for the purchase of furniture items is 10,000 euros of which 50% can be deducted. The same parameter is applied for household electrical appliances that must have a minimum rating of A+, A for ovens. Bear in mind that in 2015 it will drop by 40% in these cases.
Remember that these works are not due for completion within the end of the next year, but you only have to pay for them within December 31st 2014.
To sum up, this is a great chance for all those of you who have purchased or are about to buy their dream home in the sun, and are considering to renovate and regenerate it, as it gives you the possibility to improve the value of your Italian property while saving money.