FURNISHED RENTALS, TAKE ADVANTAGE OF AN EXCELLENT SUPPLEMENTARY PENSION SCHEME !KEY ELEMENTSMake your rents tax exempt :Movable property and real estate linked with Furnished Rentals are subject to annual depreciation :
- movable property is depreciated on a linear basis on a five to ten year period. For instance : annual depreciation of €110 for an amount of €770 on movable property over 7 years. - real estate is depreciated on a linear basis for its value excluding the ground (which cannot be depreciated), on a period from 20 to 40 years. For instance : annual depreciation of €2.166 for an amount of €65.000 of real estate over 30 years. These depreciation are fiscally considered in the accounting as a cost only if the operating profit is positive and at its level. Theys cannot contribute to create or increase a deficit. These reintegrated depreciations can be rolled over without any limitation in time and are used as soon as results appear allowing you to fiscally neutralize them.
The principle whereby the depreciation is differed enables the renter to "escape" all taxes on rents during the period of his loan. When he reimburses the loan, e.g. after 15 years, he will have, depending on the scheme, nearly €38.152 of non-used depreciations enabling him to deduct in the following years €38.152 free of tax for his rental activity. The retirement supplement is thus optimized.
Take advantage of a guaranteed tax exempt return :Whether the residence has tenants or not, the "plus2retraite" listed manager guarantees by contract an index-linked, tax exempt rent for many years (15,20 or even 25 years depending on your financial scheme). At the end of depreciation, you can choose the "micro bic" system and obtain a 71% tax reduction on your gross rents in order to only pay taxes on 29% ! This really means an additional retirement plan which is practically tax exempt.. Reclaim VAT :For accommodations rented with a commercial lease with the manager of a Services Residence meeting the requirements of rent VAT liability as defined in article 261-D-4, applying the 5,5% VAT on rents enables the owner to reclaim the full 19,6% VAT on his acquisition (movable property, real estate). Become the owner of premium real estate :Furnished rental in a residence with services enables you, if the location and return are particularly well selected, to build a real heritage which will generate profitable rents to ensure addition retirement money. Resell in excellent conditions :The Furnished Rental status applies indiscriminately to new or old properties. They can be at any time resold to a new owner who can also re-amortize and benefit from all the advantages of the status by making a property support to easy resale. |