New TVA regulations

[la-vie-en-rose]

Has any-one got the definitive answer to this?

I have heard that the 5.5% rate for renovations is coming to an end - is this true, and, if so, when?

If it's not true, please say so too, before a panic ensues!

[woolybananasbrother]

for second homes only?

 

[Clair]

The scheme was extended to 31 Dec 2010 in Aug. 2006.

This applies to main residences and second homes, as long as the property is at least two years old.

Details here (in French): http://www.impots.gouv.fr

[Nick Trollope]

Bear in mind that the 5.5% rate is for renovations only (still, as it has always been). The definition of "renovations" is complex and will involve filling-in one or more forms, provided by your Artisan.

But, by way of an example, if you add a bathroom, where none existed before, then the TVA rate is 19.6%, or convert your garage, or renovate more than 50% of the house, or change the floors, or the structure of the building, change the use, do 5 out of 6 things on a TVA list, etc etc. ALL 19.6%. Truth be told, and if everyone sticks to the rules (which thankfully they don't), no renovations would qualify for 5.5%.

Tax and spend, tax and spend....