Calculer la FISCALITÉ de la LOCATION MEUBLÉE (+ Les gros avantages) - Robin Eldin

Summary

In this video, the speaker discusses the benefits and drawbacks of furnished vs. unfurnished rentals, focusing on fiscal advantages such as tax deductions, expenses, and amortization. By using an example of a four-unit property, the video explains how various costs—like loan interest, insurance, and renovations—can be deducted, reducing taxable income. Additionally, the speaker highlights the importance of understanding the limitations of furnished rentals, such as the inability to offset losses against personal income. The video provides a clear overview of how furnished rental investments can offer substantial tax savings while cautioning viewers about specific restrictions.

Takeaways

• 😀 Location meublée (furnished rental) offers several tax advantages compared to traditional unfurnished rental (location nue).
• 😀 Key benefit of furnished rental: the ability to deduct a wide range of expenses, including construction and renovation costs.
• 😀 In a furnished rental, you can amortize the property's value, which reduces taxable income and can help defer taxes for years.
• 😀 The expenses that can be deducted in furnished rental include loan interest, property insurance, property tax, and even some agency fees.
• 😀 For furnished rental, you can deduct renovation and construction costs, unlike with unfurnished rentals which have stricter limits on deductions.
• 😀 Additional deductions in furnished rental include property management fees (e.g., 7% of rental income) and accounting costs.
• 😀 A key advantage is that the depreciation of the property (amortization) doesn't apply when selling the property — the sale is taxed as a personal capital gain.
• 😀 One downside of furnished rental is that you cannot use the deficits generated by rental properties to offset other types of personal income (e.g., salary).
• 😀 The amortization of the property is calculated based on its value, excluding the land value, and is divided into different categories (e.g., roofing, electrical work).
• 😀 Even though furnished rental can generate significant deductions, the deficits can only be carried forward within the category of furnished rentals, not against other income.
• 😀 It is recommended to explore further with a professional accountant to fully understand the nuances of deductions, especially in terms of local tax regulations.

Q & A

What is the main focus of the video?

The video focuses on comparing the financial benefits and drawbacks of furnished rental (location meublée) versus unfurnished rental (location nue), with a particular emphasis on tax deductions, amortization, and the impact of these strategies on rental income.

What are the main tax advantages of location meublée (furnished rental)?

Key tax advantages include the ability to deduct various expenses such as loan interest, insurance, property taxes, renovation costs, and agency fees. Additionally, amortization of the property's value allows for further tax relief.

How does amortization benefit a property owner in location meublée?

Amortization allows the owner to depreciate the value of the property over time, creating 'fictional' expenses that reduce taxable income. Different sections of the property (e.g., roof, structure) are amortized at different rates, increasing the overall deductible amount.

Can a property owner deduct renovation costs in location meublée?

Yes, all renovation costs, including major works like construction, reorganization, and even structural adjustments, are fully deductible in location meublée, unlike in location nue where such deductions are more restricted.

What is the implication of amortization on the sale of a furnished rental property?

When selling a furnished rental property, the depreciation (amortization) is not reintegrated into the taxable amount, meaning the owner is taxed on the capital gain, but not required to pay tax on the depreciation previously claimed. This is a significant advantage compared to other tax structures like corporate entities.

What is a key disadvantage of location meublée compared to location nue?

A major disadvantage is that deficits generated by location meublée can only be offset against future rental income from furnished properties. These deficits cannot reduce other sources of personal income, such as salary, unlike in location nue where deficits can be used to reduce overall taxable income.

How does the deductibility of agency fees work in location meublée?

Agency fees for managing the property are deductible in location meublée. An additional tip is to have the seller pay the agency fees, which can reduce notary costs, making the transaction financially more advantageous for the buyer.

What are the financial advantages of buying a furnished rental property over an unfurnished one?

The financial advantages of furnished rentals include larger tax deductions, more flexibility with amortization of the property, and the ability to deduct a wide range of expenses, including renovation and repair costs. These advantages can significantly reduce the owner's taxable income.

Can the deficits from location meublée be transferred to other rental properties or income?

Yes, deficits from location meublée can be transferred between multiple furnished rental properties within the same category, but they cannot offset income from unfurnished rental properties or personal income from other sources.

What role does professional advice play when dealing with amortization in location meublée?

Since amortization calculations can be complex and vary depending on factors like the property's location and the type of improvements made, it's recommended to consult an expert accountant to ensure accurate calculations and compliance with tax regulations.