19th October 2022

Our tips for a successful tax return!

It's that time of year again when you received the reminder letter from the Tax Administration for missing the deadline for your tax return again. Oops! You've thought about it several times in recent months. So, it's the final stretch before the end of October! We have grouped the tax-deductible products for you and we provide you with a tool to better manage your return and especially to save time and money!

Spuerkeess products and their tax benefits

BHW home savings scheme

The BHW contract, e.g. the “Wohnbausparen” formula, is intended for people wishing to build up savings with a view to buying, building or renovating a home and whose financing need is more than EUR 50.000. It allows to choose the interest rate (debit) as well as the amount of monthly payments.

BHW Bausparen

For maximum flexibility!

Advantage for young people* 

All young people under 25 years of age benefit from the 0,6% bonus on the amount of their home savings.

* Savers who, when taking out the contract, have not yet reached the age of 25, will benefit on a one-off basis for the first home savings scheme contract on allocation and subject to a contract duration of at least 7 years from a young person’s bonus amounting to 0,6% of the amount of home savings agreed when taking out the contract. The right to the young person’s bonus is lost in the event of transfer of the contract according to §14 (cf. § 3, paragraph 4 of the home savings General Terms and Conditions).

This formula offers a flexible financing rate that is perfectly adapted to individual needs.

The applicable deductions for your home savings scheme contract vary according to your age and situation.

Good to know!

The applicable deductions in the case of a home savings scheme contract vary according to the age of the taxable persons. If at least one of the two people in the couple is aged between 18 and 40 on 1 January of the tax year, it is possible to deduct EUR 1.344 per person belonging to the household. Otherwise, the ceiling amounts to EUR 672 per person belonging to the household.


Housing loan

When you take out a loan to buy your main home, i.e. to take up residence there and not to rent it, you can deduct interest expenses.

What are interest expenses?

The amount deductible from the tax return varies depending on whether the building is already occupied by the owner or whether it is not yet occupied (interest fully deductible).

As soon as the taxpayer moves into their property, the deduction of property interest becomes capped and this is then determined in relation to the date of occupancy of the building.

Housing loan

The story of your new home starts with us

Good to know!

Deductible interest expenses for an owner-occupied home !

before the building is occupied (construction phase, for example), interest expenses can be deducted in full as obtainment costs,

after the building is occupied, interest expenses can be deducted up to:

- EUR 2,000 per household member for the year of occupation and the next five years,

- EUR 1.500 per household member for the following five years,

- EUR 1.000 per household member for subsequent years.

Have a look at our guide to housing loans:

Brochure "Guide to Housing Loans"

Brochure "Guide to Housing Loans"

Are you planning to build, buy or renovate/refurbish a home? Such a project is a considerable investment that requires careful preparation and a trustworthy financial partner. Depending on the nature of your project and on your personal situation, various financing solutions are open to you. Our advisors are at your disposal to develop, with you, a tailor-made financing plan perfectly suited to your needs.
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Personal loan

Whether you have taken out a personal loan for the purchase of your new car, the acquisition of new furniture for your home or simply the financing of a trip, your interests are deductible under certain conditions.

When linked to a personal loan, private insurance contributions, premiums and debit interests which are considered as special expenses, are tax deductible.

Personal loan

Benefit from the most attractive interest rates to finance your major purchases

Good to know!

“Insurance contributions, premiums and interest expenses related to a personal loan are deductible up to a maximum of EUR 672 in total per year.”

This ceiling is increased for each inhabitant of the household (children included), if the couple is taxed collectively.

 


S-Pension plan - private pension scheme

Ensuring a better retirement is the reason why you should definitely consider a pension savings plan. This can be taken out at any time, provided that it has a duration of at least 10 years and you are under 65 years of age.

This savings plan consists in regularly investing in the lux | pension SICAV for a certain period of time and reaping the benefits, once the contract expires.

S-Pension

Start reaping the fruits of your pension now!

Your contributions to your S-Pension plan are tax deductible, in the “Special expenses” section of your return.

Good to know!

 “The payments invested in a private pension scheme contract can be deducted up to a maximum of EUR 3.200 per year.”


Other related tax-deductible products: Deductible insurance

Here are two examples of insurance, whose costs are deductible from your tax:

Life insurance

When you take out a life insurance policy with an effective duration of at least 10 years, your premiums and contributions are deductible.

Assurance accidents

In the case of a loan taken out for the purchase of a new car, or in the case of your Lease Plus leasing contract, you can deduct your insurance contributions by taking out a motor vehicle third-party liability contract*.

* premiums for the following risks are not deductible: damage, theft, fire, glass breakage, CASCO, etc..

Your tax declaration quick and easy

Do you now want to easily fill in your tax return using our myTax digital tax assistant by VIREO?

myTax

VIREOs intelligent digital assistant


Housing Investments Financing