Increase in the tax deduction when buying real estate

In July 2020, state Duma deputies put forward a proposal to increase the amount of tax deduction when buying real estate. The amount remains unchanged for 12 years, while housing in both the primary and secondary markets regularly increases in price. Until 2008, buyers received only 13 % of 1 million rubles, which was 130 thousand rubles. Deputies consider that it is time to make the next changes.

Today, each buyer can return 13 % of the amount up to 2 million rubles spent on the purchase of housing. That is, the maximum tax deduction is 260 thousand rubles. It remains unchanged when buying a home for both 3 million and 5 million rubles.

You can get a tax deduction when buying real estate only once, regardless of the number of objects purchased during the lifetime.

Only an officially employed citizen can apply for a tax deduction through the tax service or their employer. You can submit documents as early as the next year after buying a home. Increasing the amount of the tax deduction will help many Russians to solve the housing problem. After all, even a mortgage with state Support, launched in March 2020, is still inaccessible to many.

When buying a property in a mortgage, you can also apply for 13 % of the interest paid. But there is also a limit of 3 million rubles for this amount. The maximum return on interest today is 390 thousand rubles

You can make a refund on interest every year.

Members of the United Russia faction propose to increase personal income tax payments twice – from 2 million rubles to 4 million rubles for tax deduction, from 3 million rubles to 6 million rubles for interest payments. These changes are aimed at making real estate more affordable. According to deputies, the current rules are not close to the real cost of housing, especially if we are talking about large cities, where 2 million can not buy even a small Studio.

The proposal of members of the state Duma Committee sent to Mishustin is still under consideration. But there is every chance for its successful implementation. So last year there was already a request from the Ministry of culture to increase the amount of tax deduction for the purchase of buildings that are objects of cultural heritage.

If a person buys a room that is of historical value, they already receive personal income tax not from 2 million rubles, but from 4 million rubles.

Thus, the Ministry of culture wanted to attract more investment in the restoration of old buildings.