“Coal” literally turns out to be the “treasure” of the 40% discount for the energy, functional and aesthetic upgrading of existing buildings, with the final wording of the relevant regulation in the tax bill, with which the provision of losing the 5% discount on seven-year leases is removed (!), but the spending limit shrinks to €16,000 while the exception of those who have joined the “SAVING” scheme remains.
On the contrarythe tax bill provides for a minimum rate of mandatory spending of 30% with “plastic money”, based on rental income, a regulation, which was never included in any of the government’s pre-election announcements, and which is unacceptable since it should be combined with the establishment of a tax-free limit also on rental income, at least for those who have this as their only income, but also with a substantial reduction in the current predatory tax rate of rents, as was done with the other categories of taxpayers.
The drafters of the tax bill still ignore the fact that cumulative taxation of “middle class” rents at a rate of 35-45%, with a solidarity levy of up to 10 %, with an annual ENFIA and with its additional tax which is imposed mainly on unprofitable properties, without any upper limit, but also a series of other various taxes and all kinds of fees, attestations, certificates, etc., “building identities”, has overall confiscatory character, “takes everything” literally, with the result that there is no remaining available income of the order of 30% which is claimed to be spent through the banking system! Since it is practically impossible for most landlords to spend this much in the absence of disposable income, this arrangement will end up effectively robbing them of the additional 22% “tax” on the amount they fail to spend “electronically”.
So unfortunately it turns out that the governments of our country, some more and some less, the middle class finally “loved” ” more in their words, than in their works…
The relevant provision for the discount on renovation works is as follows:
Addition of article 39 B of the CPC regarding the discount tax for expenses related to receiving services for energy, functional and aesthetic upgrading of buildings. After Article 39 A of Law 4172/2013, Article 39 B is added as follows:
«1. The costs to be incurred to receive services related to the energy, functional and aesthetic upgrading of buildings, which have not already been included or will not be included in a building upgrading program, reduce equally distributed to period of four (4) years, at a rate of forty percent (40 %) of their amount, the income tax of natural persons, up to the corresponding tax for each tax year, with a maximum total spending limit of sixteen thousand (16,000) euros.
- A necessary condition for the reduction of the tax from the amount of expenses is their proof with legal documents of Law 4308/2014 and their payment by electronic means of payment or through a service provider payments.
- By joint decision of the Ministers of Finance, Environment and Energy and the Governor of AADE, the conditions, terms, procedure, as well as any other necessary detail for the implementation of the present.”
