French General Tax Code
In forceI.-Municipalities and public establishments for inter-communal cooperation with their own tax status may, by a deliberation taken under the conditions defined in article 1639 A bis, partially or totally exempt from business property tax establishments carrying on a commercial or craft activity in a town centre revitalisation zone defined in II of this article.
To benefit from this exemption, the establishment must, during the reference period mentioned in Article 1467 A, be operated by a company belonging to the category of micro, small and medium-sized enterprises within the meaning of Annex I to Commission Regulation (EU) No 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market in application of Articles 107 and 108 of the Treaty.
The exemption ceases to apply from 1 January of the year following the year in which no commercial or craft activity is carried out within the establishment.
The resolutions remain in effect until they are rescinded or amended.
II.-A.-The intervention sectors mentioned in II of Article L. 303-2 of the Construction and Housing Code are classified as town centre revitalisation zones and are located in municipalities that meet the following conditions:
1° They have concluded an agreement for a territorial revitalisation operation provided for in the same article L. 303-2, providing in particular for actions mentioned in 6°, 8° or 9° of III of the said article L. 303-2. This agreement must be signed before 1st October of the year preceding the first year of application of the exemption and must not have been terminated;
2° The median tax income per consumption unit of the municipality is lower than the national median of median tax incomes per consumption unit.
However, for the communes of Guadeloupe, Guyana, Martinique, La Réunion and Mayotte, the condition mentioned in 2° of this A is not applicable.
The data used is drawn up by the Institut national de la statistique et des études économiques from that available on 1 January of the year of classification.
B.-The classification of municipalities in town centre revitalisation zones on 1 January of each tax year is established by order of the ministers responsible for the budget and regional planning.
III.-To benefit from the exemption, companies must submit a request, within the timeframe stipulated in article 1477, to the tax department responsible for each of the establishments concerned. If this application is not submitted within the time limits stipulated in the same article 1477, the exemption is not granted for the year concerned.
The exemption relates to items declared within the time limits provided for in the said article 1477.
IV.-When an establishment qualifies for one of the exemptions provided for in articles 1463 A, 1463 B, 1464 A, 1464 B, 1464 E, 1464 İ, 1464 İ bis, 1464 M, 1465,1465 A, 1465 B, 1466 A, 1466 D or 1466 F and that provided for in I of this article, the request for the benefit of the latter exemption under the conditions provided for in III shall constitute an option for the latter. The option is irrevocable and applies to all municipalities and public establishments for inter-municipal cooperation.
Failing an option, the taxpayer continues to benefit from the application of the system from which he benefited prior to the introduction of the exemption provided for in this article.
V.-The benefit of the exemption is subject to compliance with Commission Regulation (EU) No 1407/2013 of 18 December 2013 on the application of Articles 107 and 108 of the Treaty on the Functioning of the European Union to de minimis aid.
