Lodging: upkeep prices and annexes

Upkeep prices

From a tax perspective, upkeep prices are typically thought-about “worth retention investments.” For instance, with a renew rest room, you forestall the worth of your house from reducing as a result of common put on and tear. Such investments are tax-deductible.

However watch out: when you not solely wish to renovate your rest room however you wish to flip it into an actual spa with a scorching tub and different amenities, then from a tax viewpoint will probably be an “funding of the worth improve. You aren’t entitled to tax deductions on these bills. It’s best to seek out out particularly what your canton considers to be the price of retaining worth earlier than finishing up any renovation work.

Within the case of condominium buildings, funds into the renovation fund might be tax-deductible, so long as these funds are used just for the upkeep prices of widespread amenities. In cantons that cost property tax, that is additionally a deduction for property upkeep prices.

Assist prices

Solely a small proportion of help prices are tax deductible, together with insurance coverage premiums and administration prices. Power prices for heating and electrical energy in addition to water, waste water and waste prices usually are not deductible.