Government Grants One Can Apply for to Renovate An Old House
The government first announced the grant scheme to renovate an old house in the Budget 2022 speech. This VAT grant scheme is a tax incentive granted to those people who are fixing up old properties in specific Urban Conservation Areas (UCAs).
This grant offers property owners up to €54,000 in VAT refunds for certain types of properties that are purchased and restored. The aim here is to stimulate the property market in Malta.
Who is eligible for the Government Grant to Renovate Old Houses in Malta?
Photo by Ferenc Horvath on Unsplash
There are multiple conditions that need to be met in order for you to be able to apply for this grant.
-In an Urban Conservation Area in Malta or Gozo
What is the value of the property that will be eligible for the Vat Grant Scheme?
What is required when applying for the grant to restore your UCA property?
No matter which criteria you are applying under, the following requirements apply:
Different criteria under which you apply have different application requirements:
If you are applying for refunds for a UCA property, you must be able to show certification by the Planning Authority that your property is actually within a designated UCA.
If your property falls within the category of being built at least 20 years ago and vacant for at least 7 years, you will need to prove this by submitting a report from ARMS (utility billing agency) confirming the property was vacant. The architect will also need to certify the building’s construction date.
For properties that are new but with traditional Maltese finishings, the “established guidelines” are yet to be defined. But you will need a certificate from the undefined “competent authority”.
Which properties will not qualify from being eligible for the VAT Grant Scheme?
Your property will be disqualified from being eligible for this grant scheme if it has any of the following criteria:
Works eligible for the VAT Grant Scheme refund:
-Professional fees at a maximum rate of 10 per cent of total eligible expenses applied for each application.
Works not eligible for the VAT Grant Scheme:
The following expenditures are not covered by this grant scheme:
This scheme is valid until December 2024 so you’ve plenty of time to apply. Of course, there are still several elements that require explanation. If you’d like the help of real estate agents at Zanzi Homes, please contact us directly and we’ll dedicate the time and energy needed to make this process as smooth sailing as possible.
Main blog photo by Zoltan Tasi on Unsplash