Acquisition of a condominium for owner occupancy.
October 29, 2009 | 20,00 EUR | answered by Dipl.BW/SB Ulrich Stiller
Dear Sir or Madam,
I (single, no children) purchased a condominium for personal use in October 2008 (built in 1984/85).
My question:
Can I deduct any costs as special expenses for tax purposes (e.g. loan interest, notary fees, property tax, real estate transfer tax, percentage/depreciation of acquisition costs...)?
If yes, perhaps another question: Is there an income limit?
Renovation work (invoices from craftsmen) can indeed be deducted, correct?
Thank you for your help!
Kind regards,
SW
Dear consultant,
Thank you for your inquiry, which I would like to answer based on the information you provided and in the context of your efforts within an initial consultation as follows:
In principle, the expenses you mentioned can be considered for deduction as advertising costs if you generate or intend to generate income from renting and leasing. However, by using the ETW for residential purposes, you do not generate any income, as the rental value for the self-occupied apartment is not applicable. Therefore, you cannot deduct any advertising costs.
Craftsman services can be deducted from the tax debt better from 2009 onwards. For maintenance and modernization measures, the tax bonus is doubled to 20% of 6,000 EUR, so 1,200 EUR per year can be deducted. The amount of 1,200 EUR is deductible from the determined income tax debt as the maximum amount in 2009. Craftsman services include the services (working hours) of the craftsman incl. the corresponding value-added tax without the material costs. The craftsman's bill must be paid by bank transfer. Therefore, a maximum amount of 1,200 euros can be considered for you. Whether further deduction possibilities, e.g. through household-related employment relationships, can be considered cannot be assessed from a distance without detailed knowledge.
I hope my explanations have been helpful to you.
Best regards,
Ulrich Stiller
Tax consultant
