tax exemption – This law has partially contributed to the construction of housing for low-income households in high-income areas, according to an evaluation report by the Court of Auditors published this Thursday.
On December 31, the Pinel tax niche will disappear. What is the assessment of this system that was launched in 2014 and took the name of the former Minister of Housing Sylvia Pinel (PRG)? It has imperfectly fulfilled its objectives and contributed partially to the construction of housing for low-income households in tense areas, according to an evaluation report by the Court of Auditors published Thursday.
This niche allows individuals who invest in new or renovated housing to benefit from a reduction in income tax by renting it out. Among the conditions to be met: rental in collective housing at capped rent levels and tenant resources, for a minimum period of six years, and in areas where it is particularly difficult to find housing.
7.3 billion euros over ten years for public finances
For nearly forty years, for real estate, “more than ten tax systems” have succeeded one another, “or even overlapped”, leading to a “form of dependence of developer-builders”, observe the authors of the report. The government now considers the Pinel system to be costly and ineffective, and has planned to eliminate it.
It “only fulfills (…) - 20minutes
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