How to take advantage of real estate tax?

Investing in stone and in a solid and sustainable real estate project is the wish of many French people. If real estate investment remains the simplest and most legal way to take advantage of this or that tax law, how do we do it to make the right choice, at the right time? Follow the guide.

Article plan

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Making

  • a real estate investment profitable with tax
  • benefit from incentives to invest and
  • tax Tax tax with Pinel law
  • Many tax systems available

Profit a real estate investment with tax

possible to reduce its income tax through legal tax schemes that are fully legal and encouraged by the government. It is not about cheating but of actually making use of legislation, device, or measure put forward by the government for the taxpayer paying income taxes. After the Scellier law, the Borloo law or the Duflot law, places the Pinel law, focused onreal estate investment in new and rental It is .

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Numerous tax solutions and devices exist and allow the French to tax their income from the locatif. Taking advantage of it does not mean going blindly on the hen with golden eggs. Tax tax is a win-win system set up by the government, which promises a variable percentage tax reduction according to the proposed arrangements and the formulas chosen.

Your real estate investment then becomes a profitable product over several years. For this, it is important to choose the tax exemption device which best fits your expectations and your situation.

Did you know that? You can take advantage of a tax tax system with or without caps , and spanning periods of 6, 9 or 12 years in rental (Pinel law).

Take advantage of incentives to invest and tax

Investing in a real estate project often part of a need. This need is not essentially turned on tax exemption but on the constitution of a heritage. Taking advantage of tax relief devices is above all to ask yourself the right question about your investment .

Do you want to invest in real estate for your retirement, in anticipation of a transfer of wealthor simply to have a fixed and regular supplement of income? A real estate investment is the answer to your need for financial security e . Going further by taking advantage of the tax relief schemes offered by the government allows you to recover part of your investment in the form of a tax reduction. There are many advantages to benefit from tax exemption.

Tax tax with Pinel law

Your real estate investment can be turned tonew real estate orold real estate . If you opt for new, be aware that the Pinel law provides for you incentives to acquire a new home. You benefit from a tax reduction of 12% to 21% of the cost price of the property purchased (excluding taxes).

Depending on the rental period of the property, you will recover your tax reduction over 6, 9 or 12 years if you comply with a rental that complies with the requirements of the Pinel law. Conditions must be met forPinel eligibility , including ceilings on rent and resources of the tenant, but also limits on your investment.

Many investors are embarking on the acquisition of new housing by taking advantage of the Pinel law because it is primarily encouraged by the government. The Pinel system is in effand renewed for some years , thanks to its success and the need for balancing on the real estate market.

Many tax relief devices available

In France, if you want to tax relief and benefit from tax reductions, it is not the solutions and the devices that are lacking:

  • The Malraux law allows you to invest in the old;
  • The Historic Monuments Act is aimed at heavily taxpayers;
  • The Censi-Bouvard NMNP Act allows a real estate investment in a tourist residence, student or EHPAD;
  • The Denormandie scheme promotes renovation and works on old housing (city center of eligible municipalities);
  • Land deficit system;
  • Pinel Overseas Act, for more expensive investments, etc.

Be careful, however, to respect the tax niche limitsand to learn about cumulation. Tax tax is an investment in itself, but needs to be prepared upstream : get advised on your real estate project in new or old in order to take advantage of the tax at its rightvalue.

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