French General Tax Code
In forceThe rental value of industrial fixed assets liable to property tax on built-up properties is determined by applying interest rates to the cost price of their various components, revalued using the coefficients (2) that had been provided for the revision of balance sheets.
Before any application of these coefficients, the cost price of land is increased by 3% for each year that has elapsed since the property became the property of the owner.
The interest rates mentioned in the first paragraph are equal to:
1° 4% for soil and land;
2° 6% for buildings and installations.
The following abatement rates shall be applied to the interest rate referred to in 2°:
a) 25% in respect of land and buildings, and
a) 25% for property acquired or created before 1 January 1976;
> b) 33.33% for property acquired or created before 1 January 1976.
b) 33.33% in respect of property acquired or created from that date.
An additional deduction is, moreover, granted to certain categories of establishments by reason of their exceptional nature, assessed on the basis of the nature of the operations carried out there; these categories of establishments are determined by a decree in the Council of State which also sets the limits and conditions for the application of the deduction (5).
