Facts
[A.] acquired a condominium unit in a property in U./BE in January 2018. The purchase contract stipulated that [A.] had to transfer an additional amount of CHF 9,391.40 to the seller for the share in the renewal fund. On February 27, 2018, [A.] made a transfer of CHF 10,020.60, which he stated was made to the seller.
The Tax Administration of the Canton of Bern did not allow the amount of CHF 9,391.- as a deduction for property maintenance. [A.] unsuccessfully filed legal remedies against this in the Canton of Bern. With an appeal to the Federal Supreme Court, [A.] requests that the contribution to the renewal fund be allowed as a deduction for property maintenance.
Considerations
The Federal Supreme Court dismisses the appeal. It states that the renewal fund is a dedicated special asset of the condominium association, in which the individual condominium owners are entitled to a proportionate share, but have no direct right of disposal. The buyer's payment to the seller for the share in the renewal fund is therefore not a "contribution" to the fund and cannot be equated with a deposit. Rather, it is part of the sales transaction and cannot be deducted for tax purposes as property maintenance.
The Federal Supreme Court…