10% VAT and 20-year property tax exemption for new intermediate rental housing

The 2014 Finance Act created article 279-0 bis A of the General Tax Code: deliveries of new homes to legal entities wholly owned by companies subject to corporate tax, intended for intermediate rental as main residences, are taxed at 10% instead of 20%. The homes must be located in high-demand areas, be part of a development with at least 25% social housing, obtain prefectoral approval and comply with rent and income ceilings. These homes are exempt from property tax on built land for 20 years starting with the 2015 tax.