What the rules provide
L’Article 16-bis of the TUIR regulates tax deductions for building heritage recovery interventions. These benefits allow for deduct a percentage of the expenses incurred for renovation work from the tax return. Since 2016, such deductions may be requested not only by the owner or holder of the property, but even from the de facto partnerprovided that bear the costs directly.
There Law No. 76/2016known as the Cirinnà Lawregulated civil unions and de facto cohabitation.
They are meant for “cohabitants in common law” two adults united in a stable relationship by emotional bonds of a couple and mutual moral and material assistance, not bound by kinship, affinity or adoption, by marriage or by a civil union.
How to take advantage of the Renovation Bonus
In order to benefit from the tax breaks, the law requires that there is a stable cohabitation between partners. This concept is defined based on the “registered family”as provided for by the registry regulation referred to by Presidential Decree no. 223/1989Stable cohabitation must be ascertained through the registry offices or, in their absence, through aself-certification surrender pursuant to theArticle 47 of Presidential Decree no. 445/2000.
A crucial aspect concerns thedwelling on which the renovation works are carried out. The tax relief is applicable for the expenses incurred for interventions on one of the homes in which the cohabitation relationship takes placeeven if it is different from the couple’s main residence. This means that, even if the couple currently lives together in another house, it is possible to take advantage of the benefits for the renovation of another home, provided that there is stable cohabitation.
Procedure and timing
It is essential that the cohabitation status is already verifiable at the time of initiation of the procedure or on the date of commencement of the renovation works. Furthermore, this status must continue at the time of incurring the expenses that are intended to be deducted. In other words, it is necessary that the couple be recognized as cohabiting de facto before the work begins and continue to be so at the time payments for the renovation work are made.
In summary, the de facto cohabitant can benefit from the Renovation Bonuseven if he currently lives in a different house from the one undergoing the intervention and also in absence of a loan for use agreement. However, it is necessary that the couple be regularly registered as a “de facto couple” and that there is a stable cohabitation, verifiable through the registry office or a self-certification.
