TAX

Investing with tax incentives.


Odalys Patrimoine's property investment schemes allow you to benefit from several tax advantages. You will gain both tax cuts and a VAT refund on the purchase of your property.

Tax incentive investment LMP: Loueur en meublés professionnel (Furnished letting)

Terms and conditions of the purchase

You can buy a new or resale property, but have to be registered with the "Registre du Commerce et des Sociétés" under the status of "Loueur en Meublé Professionnel".
Your overall annual rent has to be superior to €23,000 and account for more than half of your professional income from your household tax. Finally, you need to declare that rental income as CIP (Commercial and Industrial Profits).

Tax advantages of purchasing with LMP (French leaseback)

  • Reductions on your rental income (100% of operating costs and taxes: the rental charges, loan interest, set-up costs, property tax, etc).

  • Amortisation of your property over a period of 20 to 30 years or more, and furniture over a period of 5 to 7 years.

  • Refund of your VAT when the property is sold Off Plan/New Build and only for residences which offer the specific services (art. 260 D CGI).

  • If the properties concerned account for over 50% of the total of your professional income from your household tax, then an exemption from Solidarity tax on wealth (called ISF in France) applies. If the properties concerned are resold after a minimum period of 5 years, the capital gains are fully exempt. 

Result

A long-term untaxed income, and a property investment at a very low cost!
 



Tax incentive investment LMNP: Loueur en Meublé Non Professionnel (Furnished letting)

 

Terms and conditions of the purchase


The property you buy can be new or old, and it is not necessary to be registered with the "Registre du Commerce et des sociétés". Your overall annual rent has to be inferior to 23,000 or account for less than half of your professional income from your household tax. You must declare this rental income as CIP (Commercial and Industrial Profits).


Tax advantages of purchasing with LMNP (French leaseback schemes)


  • Reductions on your rental income (100% of operating costs and taxes: the rental charges, loan interest, set-up costs, property tax, etc).
  • Amortisation of your property over a period of 20 to 30 years or more, furniture over a period of 5 to 7 years and resort fees (start up costs) over a period of 1 to 5 years.
  • Refund of your VAT when the accommodation is new and only for residences which offer the specific services (art. 260 D CGI).



Result

A long-term untaxed income, and a property investment at a very low cost!

Find out thedifferent tax advantages which you can benefit from:
 

  • LMNP scheme
  • VAT refund


Tax incentive investment Purchase resale