The Main Department of the State Tax Service (DPS) in Kyiv Oblast reported that Ukrainians who paid interest on a mortgage housing loan in 2025 can use a tax deduction and reclaim part of the personal income tax they paid.
Which mortgage expenses can be included
The tax deduction may include part of the interest amount paid by the taxpayer for using a mortgage housing loan. This refers specifically to the interest on the loan, not to the total mortgage payments.
The amount of expenses that may be taken into account when calculating the deduction is determined in accordance with Article 175 of the Code. Housing purchased with loan funds must be designated as the taxpayer’s primary place of residence, which is confirmed, among other things, by registration at the relevant address.
How to claim the deduction and which documents are required
To claim the tax deduction, it is necessary to submit the annual declaration of assets and income - the official document for reporting a taxpayer’s income and expenses. It is also necessary to confirm the actually paid mortgage interest by preparing payment and settlement documents.
As evidence, a copy of the mortgage loan agreement should be attached, if available. The declaration can be submitted in person, by post or online via the Electronic Cabinet, the “My Tax” app or the “Diia” portal.
The declaration must be submitted by 31 December 2026 inclusive.
The source also notes that internally displaced persons, participants in hostilities and persons with disabilities resulting from the war can include housing rental expenses in the tax deduction if they have an official rental agreement and proof of payment.
