The governance provides for a change in the housing relief. In art. 21 sec. 30a of the Personal Income Tax Act, it will be stated that the expenses incurred for own housing purposes are also expenses for the repayment of the loan and interest on the loan taken for the real estate being sold or a specific property right.


The planned changes to the regulations will introduce a more specific definition of housing expenditure. Taxpayers will be able to include credits and loans with interest incurred for the real estate being sold, avoiding the risk of paying the tax charged by the tax office at a later date. Until now, administrative courts and tax authorities have issued unfavorable rulings and interpretations for people who sold real estate or property rights, including the cost of repayment of loans taken for the real estate in the housing expenses.

The taxpayer should be sure of the possibility of including the - after all - high costs of a mortgage loan as housing expenses and not be afraid of the resulting tax burdens.


PwC comment

It should be noted that at present it is only a draft regulation. It is necessary to wait for the final adoption of the act to assess the planned solutions.