What has formally happened is that the Riksdag has decided that the subsidy rate for the so-called rotavdrag (renovation, rebuilding, extension) will be temporarily increased for the year. The deduction increase is an investment to stimulate the economy, which the government presented in the spring budget at the end of March.
For those who want to take advantage of the opportunity to get rot work done at a lower cost, the same basic rules apply as before.
Check F-tax
Those who hire a company for repair, maintenance, rebuilding can get a deduction for parts of the labor cost. Costs for materials and travel expenses do not entitle to a deduction.
The company must be approved for F-tax to be able to receive payment for the rot deduction. At the Tax Agency, there is a service called "Fetch company information" where you can check if the company you intend to hire is approved for F-tax, registered for VAT, and as an employer.
The rot deduction can be at most 50,000 kronor per year, and it is the company you hire that should make the deduction on the invoice.
You must be the owner of the residence where the work is performed during the period when the work is performed. You can get a rot deduction for work performed in your permanent residence, your vacation home, and residences where you only live, as long as you own the residence.
No Friggebod
Examples of work that entitle to rot deduction are renovation of kitchen or bathroom, painting and wallpapering, replacement of flooring, interior doors or moldings, electrical and plumbing work, glazing in a balcony, building a patio and balcony, for example, in wood or on a cast plate, provided they are built together with the house.
Work that does not entitle to rot deduction are, for example, maintenance of pool decks, fences, walls, and boat docks, building a completely new house or a friggebod, a garage, a greenhouse, or a similar freestanding building, mounting solar film on windows or setting up mosquito nets.
