Limitation of the deduction of building maintenance costs and mortgage interest for supplementary benefits

Facts

In this case, it is about the calculation of supplementary benefits (EL) for a complainant who lives in his own single-family house. The lower court had, in the calculation of the EL from May 1, 2009 onwards, only recognized the sum of mortgage interest and building maintenance costs up to the amount of the imputed rental value of the property of CHF 9,120. The complainant argued that instead the gross rental income of the property (the so-called "standard rental value") according to the cantonal ordinance, which is significantly higher, should be decisive.

Considerations

The Federal Court states that according to Art. 10 Para. 3 lit. b ELG, the limit of the gross income of the property applies to the building maintenance costs and mortgage interest together. For persons living in their own apartment or house, this gross income corresponds to the rental value of the property before any percentage reduction due to self-use according to the legislation on direct cantonal tax or direct federal tax.

The Federal Court states that it constitutes a violation of Art. 10 Para. 3 lit. b ELG to limit the deduction of mortgage interest and building maintenance costs for EL recipients living in their own house or apartment to the possibly reduced tax…