The Slovak government anticipates disbursing 35 million euros this year in tax bonuses designated for young individuals who have taken out mortgages in the last five years. This financial incentive is crucial for many young homeowners, but recipients must actively apply for it during their annual tax assessments or returns, as it is not awarded automatically. The bonus serves to alleviate some of the financial burdens they face, particularly with rising living costs.

To be eligible for this tax bonus, applicants must be aged 35 or younger on the date of their mortgage application, with an income not exceeding 1.6 times the average annual salary. The government covers 50 percent of the mortgage interest payments in the initial years of the loan, with a cap of 1,200 euros per year. This encouraging measure reflects the government's commitment to supporting young homeowners and has been bolstered by recent increases in the bonus amount, making it accessible to more individuals since its enhancement last year.

The decision by Prime Minister Robert Fico's government to increase the tax bonus and implement additional support for increased mortgage payments highlights a strategic focus on aiding younger generations. This initiative comes at a time when economic conditions can be challenging for many, as the government aims to ease financial stress and promote home ownership among the youth, which could have broader societal implications such as fostering stability and growth in the housing market.