Operations following acquisition

Operations following acquisition

The real estate asset is taken onto the purchaser’s balance sheet.

The choices made by the purchaser in terms of how this process is undertaken will have a significant impact on the asset’s future profitability and the tax arrangements applicable to it.

As far as VAT is concerned, the purchaser will have to:

  • opt if appropriate to charge VAT on the rents (if the operation involves a bare real estate asset rented out for business use and the choice made is to charge VAT on the rents);

  • ensure, if Article 257 bis of the FTC applies, that the information relating to the vendor’s obligations to settle VAT are passed on to the purchaser.

This document and the information it contains are intended to provide as complete and accurate information as possible. It is however theoretical in nature and must undergo all necessary checking prior to its application. FiscalImmo and its authors cannot in any circumstances be held liable on the basis of this document.