Property tax: did you know that you can be exempt from it for two years? Here is in which case

As a future property owner, you will become liable for property tax, the amount of which has increased by almost 33% in 10 years. However, you can be exempt from it for two years, in a very specific case.

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Owner of a house or apartment purchased in Vefa (sale in the future state of completion), you are impatient two weeks before the delivery of your property, for which you signed the reservation contract two years ago already. There taxation associated offers you an additional opportunity to rejoice. Yes, you read correctly: the fact of having purchased your accommodation off-plan will entitle you to an exemption from property tax during two years, according to thearticle 1383 of the General Tax Code. An exemption “partial or total”specifies the site impots.gouv.fr. Which will always be good to take, in the context of the surge of nearly 33% in property taxes between 2013 and 2023, according to the National Union of Real Estate Owners (Unpi).

“In principle, this temporary exemption applies automatically to the municipal and intermunicipal portions of the property tax. It therefore covers the entirety of this tax on primary and secondary residences”explains real estate developer Emerige on its website. While specifying that, “in certain cases, this exemption may be partial”the municipality or the EPCI (Public Establishment of Intermunicipal Cooperation) may decide, by deliberation before October 1 of each year, to adjust this exemption. According to the Bouygues Immobilier website, these are in reality “rare municipalities which offer total exemption property tax” for new housing purchased off plan.

No tax exemption on household waste

Please note, the property tax exemption on new constructions for two years is “conditioned” upon deposit, by the owner, of a land declaration with the property tax service of the location of the property, within the 90 days following its completion, specifies the tax administration. If you fail to declare, you will have to pay the full rate property tax. You can make this property declaration on the impots.gouv.fr website by clicking on the “real estate” tab after having authenticated, then on the “declare” button located under the property concerned in the list of properties held awaiting processing. land declaration. Otherwise, you can complete form 6650-H1 for individual houses or 6652-H2 for apartments, and send it to the land office where the property is located.

The property tax exemption will begin from January 1 of the year following the end of construction. For example, if your off-plan property is delivered to you on January 30, 2025, you will be exempt from property tax, partially or in full, from January 1, 2026, for a period of two years. Please note that the household waste collection tax is not affected by this exemption, so you will receive a payment notice regarding it.