PROPERTY TAX NEWS – AUGUST 2024
The General Tax Code provides for an exemption from property tax for people over 75 whose income does not exceed certain thresholds.
In addition, property tax payers who are not subject to the IFI benefit from a tax rebate, also means-tested, for the portion of the property tax on their main residence that exceeds 50% of their income.
The limits applicable to benefit from this exemption and rebate are based on the previous year’s reference tax income.
These thresholds have just been updated for 2023 income.
EMPLOYEE BUYOUTS
When a business owner sells or gives full ownership of his company to one of his employees, the transferee may, under certain conditions, benefit from a flat-rate allowance for calculating registration duties.
This allowance applies to the calculation of registration duties on the value of the business or clientele or the fraction of the value of the securities representing this business or clientele.
For sales on or after July 1, 2024, the allowance is 500,000 euros, instead of the previous 300,000 euros.
The French tax authorities have just updated their position, as the criteria for benefiting from this preferential regime remain unchanged.
RESEARCH TAX CREDIT
For the first 24 months following recruitment, personnel expenses relating to PhD graduates participating directly or indirectly in research operations can be included in the research tax credit (CIR) base for double their amount.
The Conseil d’Etat has just ruled on the application of this “young doctor” scheme to a person already employed on a permanent contract before obtaining his or her doctorate.
This system applies without the need to sign an amendment to the initial employment contract. Its starting point is the date of hire as a permanent employee, not the date of obtaining the doctorate.
ESCEC International
At ESCEC International, we specialize in helping you navigate the complexities of property tax with ease. Our team of experts works closely with you to ensure that your property tax obligations are fully optimized and compliant with international regulations.
Whether you’re dealing with multiple properties across different countries or just need guidance on a single investment, we’re here to provide the support and expertise you need to manage your property taxes effectively and maximize your savings. Let us take the stress out of property tax management so you can focus on what matters most.
