OUR ADVICE – There are solutions to investing in real estate without increasing the wealth tax burden too much. In particular, you can opt for the rural sector and take advantage of the 75% exemption.
Buying a forest, woodland or agricultural land is an original way to diversify your real estate assets while reducing your tax burden. These investments can allow you to not only reduce your income tax, but also take advantage of the partial exemption from property tax (IFI). However, it is better to take some precautions before making this type of investment, as rural land is not without risks.
In addition, the tax bonus is conditional on compliance with long-term managerial and operational obligations, which only investors with experience in agricultural practice are able to respect. Others would prefer to turn to forestry or agricultural groups to use this tax exemption tool in a less restrictive framework.
Direct purchase is complicated
Direct acquisition of timber, forest, meadow or land for agricultural purposes can be complex, as these properties are usually exchanged by professional operators…