The government is working to extend the 50% renovation bonus for another year to avoid the reduction to 36% in January.
The Ministry of Economy is focusing on this, depending on available resources, as part of their wider efforts to finalise the upcoming Budget law. The government must submit the Budget Planning Document (DPB) to Brussels by 15th October, with approval from the Council of Ministers expected shortly after.
The budget is expected to mobilise close to €25 billion. Minister Giancarlo Giorgetti remains confident the DPB will be ready in time, ensuring Italy will maintain financial stability. This year’s measures include a permanent reduction in tax and social security contributions, as well as support for families and addressing the country’s declining birth rate.
The renovation bonus, currently set at 50% but due to fall to 36% in January 2025, could see an extension. Deputy Finance Minister Maurizio Leo hinted at the possibility of retaining the 50% deduction for first-home renovations, though it will depend on the available resources.
To secure the necessary funds, the government is targeting increased revenue and reduced spending. Giorgetti has hinted at significant cuts for ministries and local authorities but promised no further sacrifices for businesses or workers. Despite opposition criticism, Giorgetti emphasised the government’s tax reduction efforts, pointing to the cut in the tax wedge as an example of their commitment.
Last year, the government criticised the Superbonus eco-renovation scheme.
