Building tax-incentive rules have changed repeatedly in recent years, reshaping how renovations are planned and carried out. Initially designed mainly as deductions for qualifying expenditure, the schemes later gained new mechanisms and repeatedly amended conditions.
A major change came with Decree-Law 34/2020, the Recovery Decree, introducing the 110% Superbonus. For specified works meeting particular requirements, it offered a deduction exceeding the expenditure, initially with alternatives such as invoice discounts and tax-credit transfers. Its purpose was to encourage energy efficiency, seismic-risk reduction and building renewal.
The framework was subsequently revised, especially credit transfers and invoice discounts. Legislative measures including Decree-Law 11/2023 imposed greater restrictions, returning most cases to direct deductions in the payer’s tax return.
This changed project planning. Previously, transferring credits or receiving an immediate discount could substantially reduce an owner’s initial cash outlay. Advance assessment of available funds, tax usefulness and the works programme is now even more important.
Checks and administrative requirements have also increased. Carrying out works alone is insufficient: applicants must satisfy technical and administrative conditions, prepare the required documents and, for some projects, obtain professional certifications. Planning and cadastral regularity are increasingly important because discrepancies may jeopardise proper use of the benefit.
Renovating with tax incentives now requires more than assessing the saving. A complete review of technical, fiscal and documentary aspects is needed to prevent difficulties and apply the rules correctly.