The five questions
1. Which regime does the operation fall under. Works on an existing building, or demolition followed by rebuilding. Both carry the reduced rate but not the same conditions, as the article on demolition and rebuild explains.
2. Does the dwelling meet the age condition. Ten years since first occupation, compared with the date of the first invoice, following the method in the article on the age condition.
3. What will the use be after works. The property must be used exclusively or principally as private housing. A substantial professional element switches the regime.
4. Is the recipient a final consumer. The works must be supplied and invoiced to them directly.
5. Are the works themselves eligible. Some items are excluded, notably anything not bearing on the building itself.
The conditions are cumulative. Four favourable answers out of five do not suffice.
| Question | What it checks | Unfavourable answer |
|---|---|---|
| Age of the dwelling | First occupied at least ten years ago | Full rate |
| Use of the property | Principally residential | Full rate |
| Nature of the works | Eligible immovable works | Full rate on excluded items |
| Capacity of the provider | A taxable person invoicing the works | Different regime |
| Invoice formalities | Required statement and retention | Risk of reassessment |
The order matters
The first question governs all the others. It concerns the age of the dwelling.
Identify the regime first. Asking renovation questions of a demolition-rebuild operation means checking the wrong conditions and reaching a wrong conclusion.
Then the quick questions. Age and the recipient's status are answered by consulting two documents.
Finally the questions of judgment. Future use and the eligibility of items sometimes call for advice.
Documents to gather
Five documents suffice in most cases.
A document establishing the date of first occupation, cadastral record, deed or energy certificate.
A description of the works planned, detailed enough to identify any excluded items.
The plan or description of the property after works, allowing use and, where relevant, floor area to be assessed.
Title deeds, notably where the sole-dwelling condition applies.
The quotation, the point at which the question must be raised.
Those documents form part of the preliminary file, covered in the article on the preliminary file. The full list is given there.
When to carry out the check
Timing is decisive, and earlier than expected. The check precedes ordering the works.
At quotation stage, not at invoicing. It is the only moment when both parties can still adjust scope or timing.
Before the first invoice where a property is near the age threshold, that date fixing the regime for the whole project.
Before any irreversible commitment on a demolition-rebuild, occupation and floor area conditions being checkable from drawings.
Situations calling for advice
Four configurations have no automatic answer. They call for advice before invoicing.
Mixed-use property, part of which is used professionally.
Property near the age threshold, where a few weeks change the regime.
An extension, whose relative scale may switch the operation.
Floor area near the ceiling in demolition-rebuild, converted volumes being liable to count.
In those four cases an accountant decides before invoicing, not after an inspection.
Keeping the record
Three documents to keep with the property file. They serve on an inspection years later.
The check itself, however brief, with the documents it rests on.
Invoices and their statements, covered in the article on the invoice statement.
Documents establishing age and use, which are precisely what an inspection will ask for.
Tax limitation extends over several years, which makes retention as important as checking.
What this means for a professional
Three rules.
Ask the five questions at quotation stage, systematically, even where eligibility seems obvious.
Write down the answer and its basis, the burden of proof falling on whoever claims the reduced rate.
Refer borderline situations to an accountant rather than deciding, characterisation being factual and dependent on administrative interpretation.
This article reflects a checking method at the date shown and serves professional orientation. It does not constitute tax advice and does not replace consulting the competent administration.