IDPs can recover part of their housing rental costs: how to get a tax deduction

Internally displaced persons who rent housing have the right to refund part of the personal income tax (PIT) paid through the tax rebate mechanism. To do this, it is necessary to meet the requirements of the Tax Code of Ukraine and submit a declaration together with supporting documents.

This was reminded by the State Tax Service of Ukraine.

Who can receive a tax rebate

Internally displaced persons can use the right to refund part of the PIT if they:

do not own housing suitable for living (except for real estate located in temporarily occupied territories);
do not receive state compensation for living expenses;
have concluded a written housing rental agreement;
can document the payment of the rent.

The tax rebate allows you to compensate for part of the costs of renting housing by refunding the already paid personal income tax.

What documents need to be submitted

To receive a tax discount, you must submit an annual declaration of property status and income by December 31 of the year following the reporting year.

Along with the declaration, you must provide:

a copy of the certificate of an internally displaced person;

a written housing lease agreement;
documents confirming payment of rent (receipts, checks, bank statements or other payment documents);
information about family members;
confirmation of the lack of habitable housing and the fact of not receiving state compensation for housing.

When calculating the tax discount, only actually paid and documented expenses are taken into account.

What else did the State Tax Service remind you of

The State Tax Service also called on internally displaced persons to promptly report any change in their place of residence or other personal data so that the information in the State Register of Individual Taxpayers remains up-to-date.

In addition to housing rental expenses, Ukrainians can take advantage of a tax deduction for other expenses provided for by the Tax Code, including tuition fees, mortgage interest payments, and certain charitable contributions.