When you have paid duties during a real estate purchase, you should not hope to recover them in the event of cancellation of the sale. The general tax code formally excludes this hypothesis, noted the Court of Cassation, since the registration fees have been regularly collected (Cass. Com, 4.4.2024, M 22-13.047).
The purchaser of a building having signed the purchase and paid the corresponding rights, demanded their restitution because, shortly after the purchase, even before having paid the price, he had renounced this acquisition. The seller admitted this waiver and the two parties signed a transaction.
A provision of the Tax Code
The sale having been “resolved”, that is to say canceled, everyone finding themselves in their previous situation, the purchaser had asked the tax authorities for the restitution of the duties paid, but was met with a refusal. The law excludes restitution, said the tax administration. However, observed the former purchaser, there was a real reason for this cancellation.
Regardless of the reason, observed the Court of Cassation, whatever the reason for which the sale was resolved, for example the non-fulfillment of a planned subsequent condition, the exercise of a right of redemption or even the non-payment of the price, duties regularly collected because they were due at the time of their payment “are not subject to restitution” according to the general tax code.
