The Pinel tax advantage disappeared almost a year ago and the future tax status of the private lessor is not yet created. To try to relaunch rental investmentMP Lionel Causse (Together for the Republic) suggests improving an existing system: Loc’Advantages. While this tax deduction took over from the “Affordable Rental” system in 2022, its “expected massification has not yet occurred”regrets the parliamentarian. A massification that he judges “hampered by the current parameters of the device, which are too complex”.
As a reminder, Loc’Avantages gives you the right to a tax reduction, between 15% and 65% of your rental incomedepending on whether you rent your property at a price 15% to 45% lower than market rents, for at least six years. The lower you agree to a rent, the higher your tax reduction, which you deduct from your tax due. Other conditions to benefit from Loc’Avantages, the property must be rented bare, via an agreement with the National Housing Agency (Anah). It must also be rented as a main residence, to people with modest and very modest incomes depending on the criteria of Anah, and it must display a grade higher than F on the energy performance diagnosis (DPE).
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A certificate in place of the agreement with Anah
L’amendment by Lionel Causse transforms the tax reduction into a tax credit “in order to increase the tax advantage for the benefit of the most modest landlords”. A tax credit is in fact more interesting than a tax deduction for low-tax taxpayersinsofar as it is an amount that is reimbursed to them by the tax authorities, and not an amount subtracted from an already modest tax. In other words, the state can give you money if the amount of the tax credit is greater than the amount you owe to the tax authorities. Whereas if the tax reduction is greater than the amount of your tax, there cannot be a refund.
The amendment also extends the benefit of Loc’Avantages to furnished rentals, “whose share is growing in the stock of housing rented as a primary residence”explains Lionel Causse. Furthermore, its amendment integrates Loc’Avantages into the tax loopholes capped at 18,000 euros, while this system currently belongs to those limited to 10,000 euros. Finally, the amendment puts an end to the need, for the owner-lessor, to sign an agreement with Anah, which adds to “the complexity of assembling files”according to the deputy. Lionel Causse replaces this agreement with a simple certificate from the landlord at the time of his income tax declaration, accompanied by the lease contract and proof of the tenant’s resources, like what existed for the late Pinel system and what is in force for Denormandie and Malraux.
