5 videos about Italian Superbonus 110%: 10 answers to basic questions

We asked Matteo Benigni, the 10 most recurrent questions on the Superbonus 110%, the benefit provided by the Relaunch Decree that raises to 110% the deduction rate of expenses incurred from 1 July 2020 to 31 December 2021.

The result is a series of 5 videos. Below is the first one, to answer the 2 questions:

  • What is the Superbonus 110% and how does it work?
  • Who can benefit from Superbonus 110%?

Full text of the video 1

1) What is Superbonus 110% and how does it work?

With the Superbonus some specific interventions of energy efficiency and seismic safety of buildings can have a deduction rate equal to 110% of the cost of the interventions carried out. This rate will apply to expenses incurred from July 1, 2020 to December 31, 2021.

The beneficiary will be able to choose whether to use the deduction due in five equal annual instalments (this is the case if it makes the expenditure directly by paying the company or companies that will carry out the interventions), whether to opt for the invoice discount applied by the company or companies, or for the assignment of the credit to other parties, including credit institutions with the option of subsequent assignment.

The company or companies, which will carry out the discount, will acquire a tax credit equal to 110% of the discount applied on the invoice. This tax credit will always be used as compensation in five equal annual instalments.

2) Who can benefit from the Superbonus 110%?

The 110% tax credit can be used by:

a) the condominiums for interventions on the common parts, 

b) natural persons, outside the exercise of business activities, arts and professions, on real estate units – (for no more than two real estate units and it is not necessary that the property is used as a main dwelling), 

c) the autonomous social housing institutes (Iacp) (in this case, the time limit to take advantage of the deduction to 110% on the expenses related to energy requalification interventions is 30 June 2022), 

d) housing cooperatives owned, for interventions carried out on properties owned by them and assigned in enjoyment to its members, 

e) non-profit organizations of social utility,

f) voluntary organizations registered in the registers referred to in Article 6 of Law n. 266/1991, g) social promotion associations registered in the national register and in the regional and autonomous province registers of Trento and Bolzano, h) amateur sports associations and clubs limited to interventions destined only to buildings or parts of buildings used as dressing rooms.

Video 1

Full text of the video 2

The interview with Matteo Benigni continues, with two more questions about Superbonus 110%:

3) What are the ways to use the Superbonus 110%?

Can the credit or discount on the invoice be used only for a part of the invoice total?

What are the ways to use the Superbonus 110%?

There are three ways to use the Superbonus 110%. The beneficiary can choose the following alternatives:

  1. use directly in his/her tax return the deduction due in five equal annual instalments;
  2. opt for the invoice discount applied by the company or companies that carried out the work;
  3. opt for the assignment of the credit to other parties, including credit institutions with the option of subsequent assignment.

4) Can the credit or invoice discount be used only for a part of the invoice total?

It is possible to opt for the so-called invoice discount even only for a part of the accrued bonus, keeping the other part for direct use as a deduction in the tax return. On the basis of current regulations and interpretations, however, it does not seem permissible to assign part of the credit. 

On the other hand, it is possible to use some annual instalments directly as a deduction in one’s own tax return and then transfer the remaining instalments relating to the years still to be used to other parties.

It is also possible to opt for a mixed discounting/assignment formula or choose to use a partial invoice discount and then assign the residual credit to another party. 

Video 2

Full text of the video 3

Third appointment with Matteo Benigni and two new questions about Superbonus 110%:

5) Do the assignment of the credit and the discount on the invoice apply only to interventions falling under the so-called “superbonus” or also to other interventions?

The discount on the invoice and the assignment of the credit is also applicable to other interventions carried out in the years 2020 and 2021 which allow deductions of 50%, 65%, 75%, 85% and 90% such as interventions for the recovery of the building heritage, energy efficiency (ecobonus) and anti-seismic measures (seismic measures) facade recovery and restoration (bonus facades), installation of photovoltaic systems and installation of columns for charging electric vehicles.

6) Who are the buyers of the credit resulting from the bonuses and how many times can the credit be transferred? 

There are no limitations.

The tax credit can be assigned to any person (including credit institutions and other financial intermediaries) several times unlimitedly.

Video 3

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7) What are the requirements to benefit from the super bonus?

For energy efficiency interventions it is necessary to obtain an asseveration from a qualified technician certifying that the intervention complies with the technical requirements of the regulations and the appropriateness of the expenses incurred.

For anti-seismic interventions it is necessary to obtain the asseveration from the professionals in charge of structural project design, works management and static testing who must also certify the adequacy of the expenses incurred.

The methods of payment typical of tax deductions related to interventions on real estate and then bank transfer so-called “talking” with indication of:

  • reason for the payment,
  • tax code of the beneficiary of the deduction,
  • tax code/payment beneficiary’s tax code.

For the discount on the invoice and the cession of the credit, it is necessary to submit a special communication to the Inland Revenue or directly or through an authorized intermediary.

For the discount on the invoice and the assignment of the credit from Superbonus it is also necessary to obtain the so-called conformity visa issued by a qualified professional or by a CAF.

The conformity visa is not required for the invoice discount and credit transfer relating to deductions from interventions other than Superbonus 110.

8) Are the costs of professionals for technical certificates and conformity visa (surveyors, architects, engineers, accountants, etc.) included in the facilitation or are they charged to the client?

Also the costs incurred for the certification and for the affixing of the visa of conformity are included in the Superbonus facilitation respecting the maximum limits of expenditure and deduction foreseen by the regulations for the specific interventions.

Video 4

Full text of the video 5

9) What are the fiscal responsibilities of the Superbonus 110% beneficiary and what are the Inland Revenue controls?

The fiscal responsibility for the use of the Superbonus 110% remains with the taxpayer who has carried out the work whether he has chosen to use the deduction directly or has opted for the discount on the invoice or the transfer of the credit.

Therefore, in the event of checks showing that the bonus was not due in whole or in part, the Inland Revenue will recover the amount exclusively from the taxpayer who has benefited from the bonus with an increase in interest and penalties, without any solidarity on the part of the good faith assignees of the credit unless it is established that the assignees of the credit have contributed to the violation.

This means that if a person acquires a tax credit, but in the ENEA or Revenue Agency controls, it is found that the taxpayer had no right to deduct, the assignee who purchased the credit in good faith does not lose the right to use the tax credit.

The assignees of the credit are solely responsible for any irregular use of the credit acquired.

The Inland Revenue may notify the tax assessment by 31 December of the fifth year following the year in which the statement in which the tax benefit is used was submitted.

In the case of assignment of the credit, the act of recovery of the credit may take place by 31 December of the eighth year following the year of irregular use.

10) What are the documents to be kept?

With regard to the documentation relating to the Superbonus 110% that may be presented on request, the following must be kept:

  • the invoices or tax receipts proving the expenses actually incurred for the realization of the interventions and, 
  • natural persons must also keep the receipt of the bank transfer, or postal transfer, through which the payment was made;
  • if the works are carried out by the owner of the property, the owner’s declaration of the approval to carry out the works must also be obtained;
  • if the works are carried out on common parts of the buildings, a copy of the assembly resolution and of the millesimal table of distribution of expenses must also be acquired. This documentation can be replaced by the certification issued by the administrator of the condominium;
  • a copy of the asseveration transmitted to ENEA for energy efficiency interventions, as well as, for seismic interventions, a copy of the asseveration deposited at the competent one-stop-shop by qualified technicians.

Video 5

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