Tax credit for Superecobonus 2020

The transfer of the tax credit offers the citizen, who does not have the economic possibilities, two ways to take advantage of the 2020 eco-bonus and renovate the house.
With the Relaunch Decree, the Government, in addition to increasing the subsidy up to 110%, has introduced new opportunities for those who want to improve the energy impact of their home by two classes. The question to ask is therefore: how is it possible for a citizen to renovate a house without having the necessary liquidity to pay for the work? The person in question can:

• Receive a discount equal to the entire amount due from the company that will carry out the work . The company will then recover the discount, transforming it into a tax credit to be transferred to a bank or other financial institutions.
• Or he can directly contact a bank or other financial institutions such as insurance companies, obtaining financing and transferring his tax credit without recourse and definitively to the bank. In this way, banks and all other credit institutions make available to those who request it, the necessary liquidity to be able to start work.

Now I will explain to you:

• How the tax credit works
• Who can take advantage of the Super Bonus
• Which banks today anticipate the tax credit
• What documents are needed to request it

Before going into an exhaustive explanation I would like to spend a few words on: what is the SuperEcoBonus 2020 .

It is the tax relief provided for in the Relaunch Decree (19 May 2020, n.34 - converted into law on 17 July, n.77). It was launched by the government to counter the economic crisis which, with Covid 19, hit the construction sector. The objective is to stimulate its recovery while obtaining an improvement on the environmental impact.

The SuperBonus consists in being able to deduct from one's taxes, in 5 years, 110% of the expenses incurred to improve, in terms of energy of at least two classes and on the seismic level of at least one class, one's home.

Before this decree, there were already fiscal incentives aimed at citizens that made it possible to deduct part of the expenses to renovate the buildings, the so-called eco-bonus and the so-called sismabonus.

How does the tax credit work?

• The tax credit can be offset against all taxes and contributions that the citizen has to pay to the Treasury. It is not a tax deduction. Furthermore, there is no compensation limit for this super eco-bonus, normally set at 700 thousand euros.
• The tax credit can also be offset against the tax payer's tax liabilities. Furthermore, the general prohibition of offsetting between tax credits and tax debts for amounts exceeding 1500 euros does not apply.
• The tax credit can be transferred to third parties : individuals, merchants, artisans, professionals, organizations and companies. Including credit institutions and financial intermediaries.
• It is possible to switch from deduction to credit transfer even if a homeowner has completed the work and deducted the first or more installments. There are therefore 5 years before the deduction ends, to be able to convert it into a credit transfer. It is clear that once this choice has been made, there is no going back.

Who can take advantage of the superbonus:

• Individuals * outside the exercise of arts, businesses and professions.
• The condominiums .
• Autonomous public housing institutions and other bodies with the same social purposes, which respect the European requirements of the in house providing. For properties owned by them and for those managed on behalf of the municipalities. For these subjects, a longer time is also foreseen for the implementation of the interventions until 30 June 2023.
• Housing cooperatives for properties owned by them or assigned for enjoyment to their members.
• Third sector entities (non-profit organizations of social utility pursuant to Legislative Decree 460/1997), voluntary organizations registered in the registers, registered social promotion associations.
• On parts of buildings intended for changing rooms for amateur sports associations and clubs.

The natural persons who can benefit from the tax advantage are:

• The owners of the building object of the intervention,
• The holders of real right of enjoyment (usufruct, use and dwelling),
• The naked owners ,
• The owners with a duly registered lease or loan agreement, provided they have the consent to the execution of the works by both the owner and the family members of the owner or holder.

For the works carried out on the common parts of a condominium in which there are businesses, art or profession , even the latter can benefit from the tax relief.

Tax credit: the banks that anticipate it

UNICREDIT : was one of the first institutions to provide, for interested customers, two methods of transferring the tax credit:

• Dedicated to condominiums and owners . It provides that the customer can transfer tax credits to the bank, activate a credit line or a dedicated loan pending the expiration of these credits. In this case the value of the purchase and sale of the tax credit will allow the direct extinction of the line granted.
• Option that allows condominiums and owners to obtain a discount on the invoice from the construction company carrying out the work. In this case, the companies in charge of carrying out the building redevelopment works can contact UniCredit to request the allocation of future credits, activating a dedicated credit line that will close on the accumulation of tax credits.

UNICREDIT provides for specific requirements for transferring the tax credit corresponding to the 110% deduction, including in particular the compliance visa issued by the subjects in charge of the electronic transmission of tax returns (qualified professionals and Caf, pursuant to Article 35 of Legislative Decree no. lgs. 241/1997). The person who issues the compliance visa verifies the presence of the sworn statements and certificates issued by the professionals in charge.

Technical certification is also required for the tax deduction from ecobonus and / or sismabonus to be recognized and is issued at the end of the works or for each state of progress of the works (paragraph 13-bis of article 119).

INTESA SAN PAOLO : this banking institution also provides for the purchase of tax credits from taxpayers, both directly and through transfer to third party companies.

This transfer transaction is finalized with the signing of the specific contract for the transfer of the tax credit whose effectiveness is conditional on the fulfillment of certain conditions precedent (indicated in the contract). If the conditions precedent set out in the contract are not met, the transfer contract becomes ineffective.

We are only at the beginning, we foresee that the September recovery, each national banking institution will make its own proposal for the sale of the tax credit.

Tax credit: the documents to apply

The list of documents to be presented to the bank in order to obtain the credit transfer is long. It is advisable to rely on technicians for urban planning and cadastral practices.

Subjective requirements of the applicant

The title of ownership / possession of the property . If you are:

• The owner (tenants, borrowers) of the property must be produced:
  1. the registered lease / loan agreement;
  2. the declaration of consent from the owner.
• Owner , naked owner or holder of a real right of enjoyment such as usufruct, use, dwelling or surface: one must obtain
  1. the certificate issued by the public real estate registers.
• Cohabitant family member of the owner / holder must deliver:
  1. the certificate of the registry office (for cohabitation);
  2. the title of possession (real estate certificate or registered contract);
  3. always the declaration of consent from the owner.
• De facto cohabitant of the owner / holder:
  1. the certificate of the registry office (for cohabitation);
  2. title of possession (real estate certificate or registered contract);
  3. the declaration of consent from the owner.
• Separate spouse assignee of the property in the name of the other spouse:
  1. the documentation certifying the assignment;
  2. the title of possession (real estate certificate);
  3. the declaration of consent from the owner.
• Future buyer , with a duly registered preliminary sale, entered into the possession of the property:
  1. registered preliminary which shows the entry into possession (for example the contextual loan);
  2. the declaration of consent by the owner.

Other subjective requirements of the applicant

• substitutive declaration of notary deed declaring that the expenses incurred / to be incurred for the facilitated works are / will be at your own expense, therefore with the absence of any contributions.
• substitutive declaration of notary deed declaring that the property is not held in the context of a business or professional activity (not applicable to earthquakes and eco-bonuses);
• substitutive declaration of notary deed with which it undertakes to obtain and produce, upon request, all the necessary documentation for the purposes of the transfer of the tax credit as required by the Relaunch decree;
• for subjects other than the owners and holders of other real rights of enjoyment: documentation certifying the possession of income in the year in which the eligible expenses are incurred such as employment contract, monthly paycheck, pension, invoices issued, income of a financial nature (interest assets, securities account, deposit account);
• the building permit (if applicable) or the self-certification at the beginning / end of the works .

The Bank may decide to have the information with a simple self-certification of the customer which will then be validated at a later time, in case it considers the documentation to be presented excessive.

Then there are the technical documents of the building that are necessary when you want to do the thermal insulation work and / or replace the heating boiler, which are two of the three driving interventions envisaged in the Relaunch Decree to make our homes more efficient. an energy point of view:

Initial documents:

• customer self-declaration certifying whether he has benefited from bonuses for similar interventions in the last 10 years;
• preventive analysis and feasibility (jump 2 classes);
• Ape of the initial state (energy performance certificate);
• cadastral survey ;
• technical report pursuant to law 10/91;
• estimates and / or metric calculations ;
• prospectuses in dwg (Autocad) ;
• building practice ;
• declaration of building and urban planning compliance;
• photographic documentation of the intervention;
• data and transmittance of the replaced windows;
• certifications of new windows;
• technical data sheets of the purchased materials and declaration of correct installation;
• data and certificates of the new blinds .

Documents to be submitted after 30% of the work has been completed:

• communication of commencement of works ;
• photographic documentation and Sal;
• Sal invoices and metric calculations of the quantities realized;
• estimates and / or metric calculations ;
• electronic receipt with the identification code of the application
• description of the intervention;
• sworn statement of the attached form 2 paragraph 13 of the article.

Documents to be presented at the end of the works:

• declaration of completion of works ;
• Final state bee ;
• photographic documentation at the end of the works;
• estimates and / or metric calculations ;
• invoices and metric calculations of the quantities produced;
• electronic receipt with the identification code of the application;
• description of the intervention;
• Certified reporting of viability ;
• asseveration of the attached form 1 paragraph 13 article 119 of Legislative Decree 34/20.

In the end, 36 documents must be presented to receive the money from a credit institution. But all this paperwork will have its reward. In addition to carrying out the renovations for free, a 2% gross amount will be paid by the bank to the current account. According to the simulations made, this 2% from which we should take away the interest on the advances made by the bank to pay the work to the construction company will become an abundant 1%.