Extension not for one but for two years has reserved the Ministry of Finance in a discount on tax For upgrading costs real estatewhich included in the bill on the reform of the Financial Management Framework which was tabled in Parliament.
Although with a tax dimension, the measure is part of the initiative of housing policy as it aims to mobilize owners to open real estate which until recently were closed, thereby increasing the residential stock. As a result, the financial staff was deemed necessary to extend the measure.
In fact, As newsit.gr had pointed out, according to SUBSCIPS sourcesIt was deemed necessary to extend not only for 2025 but also for 2026, so that the owners could now organize their expenditure planning, and not delays as in previous years.
Thus, the provision extends the tax deduction for energy, operational or aesthetic home renovations for two additional years, giving tax incentives by the end of 2026.
What is the measure concerned
More specifically, the measure provides that a discount from the income tax of natural persons for costs concerning:
- Energy Upgrade (eg thermal insulation, replacement of frames, gas boilers or heat pumps),
- Functional upgrade (eg electrical, hydraulic, repairs),
- Aesthetic renovation (eg painting, changing flooring),
Since the expenditure is carried out and paid electronically.
The taxpayer is entitled to a reduction in income tax equal to 40% of expenditure (up to EUR 16,000), divided equally in 5 tax years (ie up to EUR 3,200 per year).
Basic conditions are:
- Expenditure must relate to the main residence of its taxpayer or dependent members.
- Payment must only be made by electronic means (bank card, e-banking, etc.).
- It should not exceed 1/3 the cost of materials in relation to the services provided.
The amendment included in Article 71 of the new bill, the measure is extended to the tax year 2026 (ie, it covers costs until 31 December 2026).