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VAT deduction for owners’ associations and property work
Maintenance, shared costs and building work: document who bears the cost and how the property is used.
What has been clarified?
The decree of 20 August 2026 changes the approval for owners’ associations (VvEs). The relevant question is now whether the association acquired the goods or services outside its business capacity. Deduction by business members remains conditional, proportional to their contribution and restricted to taxable use. The decree applies from 25 August.
Follow up on property investments
The decree also reflects adjustment rules for investment services applicable since 1 January 2026. VAT previously deducted may subsequently need adjustment to reflect use.
Create a file when work starts. Keep the order, invoices and intended use together. This makes it easier to answer later questions about the project.
What is useful for a review?
- Invoices and the allocation of association contributions.
- An overview of the association’s activities and your own business.
- The nature of the work and when it was first brought into use.
- Details of letting, own use and subsequent changes.
Build a clear supporting file
Valorem can help identify which costs and documents require closer examination. Tell us whether you are contacting us as an association, business owner or landlord, and describe the work involved.
Would you like your property costs reviewed?
Tell us briefly what is going on. Within one working day you hear what we can do for you and what it costs, before we start.
Rather talk it through? Call now