Reimbursement of VAT

Published on 04 Septembre 2014

A buy-to-let investment in a "Classified Tourist Residence" residence type allows the recovery of VAT: you only need cover the property price excluding tax although the asset value is expressed with all taxes included.

As an added advantage, the Pierre & Vacances-Center Parcs Group with pay the VAT amount up-front on behalf of the investor. In other words, you pay just the pre-tax price for a property valued at a price including tax.

(1) Reimbursement of VAT is immediate and subject to a 20 years utilisation.


On the 1st January 2014, the rate of VAT for new properties was raised from 19.6% to 20%. The interim rate rose from 7% to 10% while the reduced rate has not moved and remains at 5.5%.

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