Mortgage tax relief: who is eligible and how to benefit
Starting in 2025, individuals who have taken out a loan to purchase their first home will be able to deduct the interest paid from their taxable income, up to 16,100 lei annually. This announcement was made by Victoria Belous, the vice-chairwoman of the Parliamentary Committee for Economy, Budget, and Finance. This tax benefit is available only to those who do not qualify for state programs such as "First Home" and will be applied proportionally to spouses who jointly own the property.
According to Victoria Belous, individuals who purchase their first home using credit and are not beneficiaries of state programs, such as "First Home," can request a tax deduction. In 2025, the maximum amount of interest eligible for deduction is up to 16,100 lei.
For jointly owned homes, Belous specifies that each borrower is entitled to deductions proportional to their share of ownership. However, the total amount allowed for both spouses cannot exceed 16,100 lei.
To benefit from this deduction, taxpayers must gather supporting documents, which include the credit contract and a bank account statement confirming the amount of interest paid. After collecting these documents, the individual must contact the Tax Service and file their 2025 income tax return, detailing the interest expenses incurred on the first home purchased with credit.
This measure is designed to help taxpayers reduce the tax burden associated with mortgage loans on their first home, simplifying the process and clarifying the limits and conditions for tax deductions.
