There is a possibility in cases of reforms and repairs in homes of being able to apply the reduced VAT (10% instead of 21%), which can be extremely advantageous and beneficial to our pockets, although it is only applicable in certain cases:
1. It can only be applied to a natural person or community of owners, as long as he or she does not act in the housing as a businessman or professional and the use of the housing is private (to a rent, for example, it could not be applied).
2. Any type of dwelling, including second homes, garages, storage rooms, etc., provided that the construction of the dwelling has been completed two years before the start of the reform.
3. That the person carrying out the work does not contribute materials for its execution or, in the case that they do, its cost does not exceed 40% of the taxable base of the operation.
However, each case must be studied carefully, as well as the amounts and percentages, and the items on the invoice must be broken down perfectly, although in general we can say that it applies to all types of renovation and repair work, such as: plumbing, carpentry, electricity, painting, plastering, installations and assemblies.
Information from Bufete Frau. Photo of Alexander Stein in Pixabay
