I am looking to buy a house in September in Bern CH this year. In addition we are planning to renovate the bath. One of the previous owners renovated the bath in 2000/2001. The building itself is from the 1970s.
We are planning to do the following:
→ replace the bathtub with a new one
→ replace the mirror with a new one
→ replace the sink with a new one
→ replace currently shower with sliding doors with a walking shower with a glas on the side
→ replace the floor and wall with new stone plates
In addition there is asbest beeing used in the past. So we have to remove this aswell. All in all its around 40-45k CHF which we have to face.
Here in Switzerland you can declare renovations in the taxes to reduce the taxes in total. But they differentiate between “werterhaltend” and “wertvermehrend”. Do you know what component of the renovation can be in which category according to my case? And are there any informations to find out what is not allowed and what is allowed to deduct from the taxes? I looked for hours in the internet but couldnt find any helpful resource except some blogentries but even there is not clearly declared.
Appreciate your help
I never got challenged to my interpretation of housing deductions. I made a list of invoices, assigned each a value of 10-100% werterhaltend and it always got accepted by the tax man as he could follow my train of thought.
In your case I would state “remove asbestos and renovate bathroom” to set the scene and then list most items with 100% werterhaltend. He might even pity you for your exposure to asbestos… (seems I love to leverage on peoples’ emotions )
Very important to take lots of pictures of the current bathroom condition and specially the deteriorating areas. That sets the tone for the renovation deductions.
In our case, the building dated from 1993 and had not been renovated since, so all our renovation deductions were accepted with 100% werterhaltend.
I know it is not your question but we once had a quote from a plumber for over 20k CHF for a new bathroom. He would only allow us to choose furniture from one supplier. I believe this is a common practise and some plumbers get commission this way. We were able to get 50% lower cost using another plumber who permitted us free choice where to buy our furniture.
In our case we did bathroom renovations in 2 houses in different Kantons and both were accepted as werterhaltend. Our renovations were of a similar standard, i.e. almost like for like replacements. For Basel I have seen a list from the tax office where they list out in detail what is werterhaltend and what is wertmehrend. For example if you replace your bathtub with a Jacuzzi, a part of it might be counted as Wertmehrend. Perhaps you can look on your Kanton’s tax office website for such a list to be sure.