Roche & Cie

The return of real estate gains and the exemption of secondary homes

The MPs in France reintroduce in the finance bill 2017 the exemption from real estate surplus value for the first transfer of real estate, other than a principal residence, codified under Article 150-U-II-1 ° bis of the CGI .

At first reading of PLF 2017, the National Assembly had abolished the exemption from taxation of capital gains applied to the first transfer of real property, other than a principal residence, when all or part of the price Is replenished by the transferor to acquire or construct a dwelling unit assigned to its principal dwelling within 24 months.

This deletion was voted on an amendment by Mr Caresche (No. I-536), who argued that this measure, adopted in 2011, was intended to encourage the sale of dwellings. Since the capital gains tax regime had been revised in a more incentive sense, since then, the MEP felt that this measure no longer had any justification, since its removal would generate an estimated savings of EUR 40 million for the Budget in 2017.

This amendment was adopted at the time with the unfavorable opinion of the rapporteur and the secretary of state Christian Eckert who found “some usefulness” to this regime, even seeing “a step towards the ownership of his residence Main “.

During the re-reading of PLF2017, MEPs adopted an amendment by Mrs Rabault and other Members seeking to reverse the deletion.


Source: Fiscal Online


Cabinet Roche & Cie, Charterred Accountant in Lyon, France.
Real estate tax specialist