In the tax return it will be possible to deduct 20% of the expenses incurred - from 1 January 2014 to 31 December 2017 - for the purchase or construction of properties to be rented out.
The relief was introduced by the Sblocca Italia decree of 2014, which provided for anyone who, between 1 January 2014 and 31 December 2017, buys a property and rents it out within six months of purchase a 20% relief on the purchase price, including VAT.
To obtain the benefit, the property must be newly built, for residential use, unsold as of 12 November 2014, or it must have been the subject of renovation, conservative rehabilitation or restoration works and have been sold by building cooperatives or construction companies.
The property must not be luxury (therefore it must not fall into the cadastral categories A/1, A/8 and A/9) and must fall within the certified energy performance of class A or B and not located in areas classified in category E, i.e. used for agricultural use, nor in areas of an artistic or historical nature and of particular environmental value. Furthermore, there must be no family relationship between the landlord and the tenant. The benefit is also available if the home is sold in usufruct to public/private legal entities or to companies that carry out their activities in the social housing sector.
The properties must have an energy classification falling within energy efficiency classes A and B. The 20% deduction is subject to a maximum overall spending limit of 300,000 euros.
It is also possible to deduct 20% of the interest expense on the loans taken out to acquire the property and the expenses incurred by the construction company if the property is newly built.
The Irpef deduction will be divided into eight installments of the same amount from the moment the rental contract is signed. The benefit does not include cumulation with other benefits.
Rent at an agreed rate
To take advantage of the benefits, the property must be rented at an agreed rent for a period of no less than eight consecutive years. If the contract ends early for reasons not attributable to the owner, he does not lose the benefits if he stipulates another contract within one year of the end of the previous one.
Grimaldi Padua
Padua - 35137 - Via G. Matteotti, 27
e-mail: padovacentro@grimaldifranchising.it
Tel. +39 49 663 033 - VAT number 05301660287
Grimaldi Cadoneghe
Cadoneghe (PD) - 35010 - Via G. Franco, 2/A
e-mail: cadoneghe@grimaldifranchising.it
tel. +39 049 88 736 56 - VAT number 05322440289