Question to an expert
I bought an apartment in “Pinel” last year, am I entitled to take advantage of this system again this year?
It is possible to benefit several times from Pinel rental investments. This system allows income tax reductions, whether you invest directly or with civil real estate investment companies (SCPI), under certain conditions: a number of properties limited to two per year (for direct real estate) , a total investment of 300,000 euros maximum per year/per tax household (and 5,500 euros per square meter purchased).
If exceeded, the reduction is calculated on these ceilings. It is also included in the annual cap on tax loopholes (to be checked, therefore before any investment), which limits the total of certain tax advantages to 10,000 euros per year.
Over several years
The rate of the Pinel reduction depends on the rental commitment chosen: 12% (for six years of commitment, the minimum), 18% (nine years) or 21% (for twelve years – i.e. 2% per year for nine first years and 1% thereafter).
For tax purposes, Pinel investments can therefore be accumulated over several years: a first year up to 300,000 euros (in one or two separate properties), generating 6,000 euros in tax reduction, then the following year, an investment of 200,000 euros maximum generating an additional reduction of 4,000 euros, so as not to exceed 10,000 euros annually. Provided that the completion of the work is also postponed by at least one year.