Apply for a housing subsidy
Description
Premium-eligible expenses for the promotion of housing construction are, in particular, payments into a home savings contract, but also other payments, for example for the first acquisition of shares in a building or housing cooperative.
The housing subsidy amounts to 10 percent of your premium-subsidized expenses annually. For each savings year, the premium-eligible expenditure for the promotion of housing construction shall be based on the following:
- EUR 700.00 if you are single, or
- EUR 1,400 if you are married or have established a civil partnership (as far as jointly assessed spouses / civil partners according to the LPartG).
Savings year is the calendar year in which you paid the premium-eligible expenses.
Note: The housing premium is not subject to income tax.
According to the income tax assessment, your taxable income for the savings year is not higher than:
- EUR 35,000 if you are single, or
- EUR 70,000 if you are married or have established a civil partnership (as far as jointly assessed spouses / civil partners according to the LPartG).
Attention: You cannot receive the employee savings allowance and a housing premium at the same time for capital-forming benefits VL (for example, when paying into a home savings contract). This excludes double preferential treatment. Therefore, the expenditure for the promotion of housing construction must not be VL for which there is an entitlement to an employee savings allowance. If you are unable to apply for an employee savings allowance, for example because you exceed the income limits, the VL can be included in the application for a housing subsidy and taken into account in the assessment.
- Application form that the investment institution will send you together with the annual account statement.
There are no costs.
You must submit the application by the end of the 2nd calendar year following the savings year.
You must apply for the housing subsidy at your investment institution. To do this, use the form that your investment institution sent you together with the annual account statement.
Procedure for home savings contracts
The housing premium is regularly only determined and reserved. The payment of the accumulated housing premiums to the building society - in favor of your building savings contract - is generally only made when the building savings contract is used for the housing industry.
Old contracts (concluded before 1 January 2009):
The housing premium is only paid out in the case of payments into a home savings contract if:
- assigned to it,
- the determination period of 7 years since the conclusion of the contract has been exceeded or
- the building savings contract has been disposed of harmlessly.
If you use the accumulated credit elsewhere within the determination period of 7 years, you will not be entitled to the housing subsidy.
New contracts (concluded from 1 January 2009):
The housing premium is only paid out in the case of payments into a home savings contract if:
- assigned to it,
- the determination period of 7 years since the conclusion of the contract has been exceeded,
- you have not yet reached the age of 25 at the time of conclusion of the contract (if not used for residential construction) or
- the building savings contract has been disposed of harmlessly.
Federal Ministry of Finance (BMF)
The text was automatically translated based on the German content.
