Did you make a donation in 2022 to secure the use of the “jubilee bonus”? Then you still have until 31 December 2023 to supplement this donation exempt.
Jubelton
The “jubilee bonus” refers to the gift tax exemption for gifts used for owner-occupied housing. This exemption amounted to €106,671 in 2022 and was not limited to acquisitions by children.
Replenish in 2023
From 1 January 2023, this exemption has been abolished. But those who have donated an amount under this exemption in 2022 may make an additional gift in 2023. That will be the very last chance: from 2024, additional gifts under the exemption will no longer be possible. Of course, of the total gifts in 2022 and 2023, a maximum of €106,671 will be exempt.
Example: if you donated €1 to your child in 2022 under the jubilee exemption, you may top this up in 2023 under the exemption with a gift of €106,670 (in addition, you may donate tax-free to your child in 2023 up to the amount of the regular exemption of €6,035).
Spending
As indicated, the amount received under the jubilee gift tax exemption must be used for the owner-occupied home. This does not have to be done in the year in which the gift is received, but may also be done in the 2 years thereafter. For both the amount donated in 2022 and the addition in 2023, the amount received must actually be demonstrably spent on the purchase, maintenance or improvement of the owner-occupied home no later than 31 December 2024.
For the first time in 2023
Incidentally, the exemption has not yet been completely abolished in 2023, but the amount of the exemption has been reduced to €28,947. A gift not made in 2023 as a supplement to a gift made in 2022 may be spent in 2024 and 2025 on one's own home. In practice, this will only matter for acquisitions by people other than children because children may be given a one-off (instead of the regular) tax-free gift of €28,947.
Duty to report
If the amount received under the jubilee exemption has not been spent on the owner-occupied home or has not been spent on time, this must be reported to the tax authorities. Such notification must be made no later than 31 May of the year following the last year in which the donation should have been spent. The donation will then still be taxed, unless the donee actually repays the received amount to the donor pursuant to a resolutive condition imposed at the time of the donation.
Example: a gift made in 2020 under the jubilee exemption had to be spent on the owner-occupied home by 31 December 2022. If this was not done or not done in full, this must be reported to the Tax Office by 31 May 2023.