In the continuity of the 2024 finance law, which attacked the taxation of furnished tourist rentals, the 2025 finance bill seems to be taking the same path.
In this article, discover the changes that were introduced in 2024 and those provided for by this bill, accompanied by the advice of a chartered accountant, a partner of our company specialized in real estate asset management. If you are the owner of a property of character or an investment building, here is what the 2025 finance law could change for your projects.
The taxation of furnished tourist rentals is at the center of the reforms. Indeed, this market is sometimes perceived as a direct competitor to the traditional hotel industry. The tax advantages enjoyed by this sector are seen by the State as a fiscal niche that needs to be further regulated.
The previous finance law had already introduced changes concerning the allowances for furnished tourist rentals. Since January 1, 2025, a 30% discount has been applied under the micro-BIC regime with an income ceiling of €15,000 (the allowance remains at 50% for long-term furnished rentals).
It also introduced a reduction in the allowance for classified rentals from 71% to 51%, making the micro-BIC regime less attractive for high-end tourist rentals (exception for those located in non-tense areas who maintain a 71% discount provided they earn less than €50,000 in revenue).
> Advice from Yvan, chartered accountant: the micro-BIC regime is becoming less and less advantageous. The real regime is more favorable when investing in this market: it allows you to deduct expenses and amortize the property.
Para hotel business is already subject to VAT (see our blog post on the subject of para-hotels).
To comply with European law, since August 7, 2024, the law has imposed specific thresholds for short-term rentals that do not offer para-hotel activities. 10% VAT applies to short-term rentals that exceed the franchise threshold of €85,000 in annual income.
Another important change concerns the reintegration of depreciation into the calculation of capital gain when selling a property operated as a furnished rental (for non-professional furnished renters — LMNP). Currently, owners can deduct depreciation during the rental period and benefit from a partial exemption on capital gain at the time of resale. The reinstatement of depreciation would increase the basis for calculating taxable capital gain, making resale potentially more expensive from a fiscal point of view.
For owners of character properties, this measure would encourage them to rethink long-term holding strategies in order to optimize fiscal profitability over time.
According to Yvan, a chartered accountant, there is no point in worrying. This aspect has already been discussed for several years, but has not yet been adopted by the legislator.
Despite these new constraints, the real furnished rental regime remains very advantageous, especially for owners of high-end properties. This regime allows not only expenses to be deducted, but also the depreciation of the property, thus reducing the tax due during the holding period.
> The opinion of the accountant: with the real regime, depreciation and deductions often offset the tax due, making it an ideal regime for property owners wishing to optimize their taxation.
The market for furnished tourist accommodation remains attractive. For owners and investors in luxury properties, the key is to anticipate and adapt.
Tax options should be evaluated to assess the most attractive regime. To do this, it is important to be accompanied by a chartered accountant or by a company specialized in the management of real estate assets.
At OIQIA, our experts support you in the management of your real estate assets and build a tailor-made strategy to enhance your property. Our clients benefit from advice on tax matters.
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