The National Assembly votes to extend the Dutreil pact to agricultural land retained for 15 years, without value ceiling or age limit of the beneficiary. A step forward that is still uncertain in the event of recourse to article 49.3 of the Constitution to adopt the 2025 budget.
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daring the bases of a “Dutreil Pact on agricultural land” this Friday, November 8, during the examination in session of the finance bill for 2025 (PLF), the deputies adopted by 86 votes to 10 an exemption from “inheritance or gift tax up to 75% of the value of the land and without any ceiling” at least “on the condition that the property remains the property of the donee, heir and legatee for fifteen years from the date of free transfer”. Or a removal of the current ceiling of €500,000 from which the 75% exemption falls to 50%. Supported by six identical amendments*, this proposal was defended in the hemicycle from the angle of perpetuating the family farming model, in line with the demands of the AOC vineyard for « un New deal fiscal ».
As it stands, “the amendment aims to improve the conditions for the free transfer of family farms by aligning the tax rules applied in the event of transfer of agricultural land with those of the family business” summarizes MP Françoise Buffet (Bas-Rhin, Ensemble Pour la République). “Everything that promotes family transmission goes in the right direction” adds MP Véronique Louwagie (Orne, Republican Right), warning that “if nothing is done to facilitate transmission, we will see consolidations which will produce very large farms, and many young farmers will not have the opportunity to set up.”
Cote d’or
An increased risk of breakdown in family transmission as illustrated by MP Benjamin Dirx (Saône-et-Loire, Ensemble Pour la République) with “the example of the last estate sold in Côte-d'Or: with an area of 1.3 hectares, it went for 15 million euros. The farmer did not want this money: he only wanted to keep the land on which he had worked, and his father and grandfather before him. He couldn't stop what happened. The buyer is Bernard Arnault, CEO of LVMH – whom you denounce every day” says the MP to the MPs opposing these proposals: “by not voting for these amendments, you are creating Bernard Arnault. »
Rejecting this Dutreil agricultural pact, MP Manon Meunier (Haute-Vienne, La France Insoumise) denounces “a hypocritical dialogue: you say that we must facilitate the family transfer of farms and small farms on a human scale, while the previous amendments aimed to blow up all the exemption ceilings and therefore to facilitate the largest structures and the expansion of farms. A little consistency, then. Let's help farmers, define ceilings and scales, in order to preserve family farms, but let's stop blowing up the ceilings. »
Government alternative
Other opposition than that of the finance committee (where these amendments were adopted), its general rapporteur, the deputy Charles de Courson (Marne, Liberties, Independents, Overseas and Territories), who seemed more enthusiastic a few months ago , but now recommends not getting too far ahead and sticking to the government's proposal: which increases the exemption ceiling from €500 to €600,000 for “the transfer of land leased on a long-term basis to young farmers”more “without targeting this audience since you adopted my amendment” extending the system to those over 41 (which is similar to the “Entreprendre en Agriculture” proposal of the FNSEA and the JA).
Within the current budgetary framework**, “let’s give ourselves time to evaluate this measure and the Dutreil pact, the cost of which is very poorly quantified” argues Charles de Courson, who “simply argues for moderation, as we will improve progressiveness over the coming years,” while“it seems that the ceilings of 500,000 and 600,000 euros are already more than sufficient to cover the majority of situations. The proposed extension risks creating windfall effects for only a few farms. » Same rejection from the government, the Minister of the Budget, Laurent Saint-Martin, issuing a “unfavorable opinion for the reasons given”.
Uncertain future
Rejected in 2023, this Dutreil agricultural pact requested by the vineyard will now be suspended for examination in the Senate, before a probable recourse to article 49.3 of the Constitution by the government which would reshuffle all the cards. While agricultural discontent is rising again, the political stakes of this system are not neutral even though commitments were made by the previous executive. As the former Minister of Agriculture Stéphane Travert (current MP for Manche, Ensemble Pour la République) recalled during the session: “We have developed several mechanisms in the agricultural orientation bill (PLOA) to facilitate the transfer of farms and the renewal of generations. We need to translate into the PLF what was defended in the text which will soon be debated in the Senate. » The challenge is significant, while MP Corentin Le Fur (Côtes-d'Armor, Republican Right) recalls that “the transfer of farms is a fundamental issue, because half of the farmers will retire in the next ten years”.
*: Those worn by parliamentarians Françoise Buffet (Bas-Rhin, Ensemble Pour la République), Véronique Louwagie (Orne, Republican Right), Nicolas Ray (Allier, Republican Right), Stéphane Travert (Manche, Ensemble Pour la République), Benjamin Dirx (Saône-et-Loire, Ensemble Pour la République), and Corentin Le Fur (Côtes-d’Armor, Republican Right)
** : “The measure provides for budgetary compensation through an additional tax on tobacco products, thus ensuring the fiscal neutrality of the amendment” indicates a press release from MP Benjamin Dirx, pointing out that “this balance demonstrates a desire to modernize agricultural taxation while remaining attentive to the budgetary imperatives of the State.”
