Tax Deduction for Landlord’s Heating System: BFH Decision

• BFH had to address whether a landlord who carries out tax-exempt rental turnover can claim input tax deduction from the costs of acquiring and installing a new heating system
• If the landlord is responsible for providing heat and hot water for the rented property, the costs of a new heating system are directly related to the tax-exempt rental, as long as they are not separate operating costs to be borne by the tenant.

Source: datenbank.nwb.de

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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