Loans for assignies agricultural properties

The law on French agricultural orientation gives tax advantages to farmers who sell their business to young farmers.

• Conditions of loans for assignies agricultural properties

  • Young farmers must be aged under 40 and be in the process of setting up in business or have been operating for less than 5 years.

  • Young farmer will be agree to receive part of the price at a later date.

  • Temporary measure : applies to sales signed between 18 May 2005 and 31 December 2010

• Eligible sales

  • They must be of entire farms (all constituent parts of the property concerned in running the farm, entire business sector or all the seller's shares/stakes in an agricultural group or company).

• Formalities

  • The sale agreement must be authenticated (i.e. drawn up by a notaire).

• Condition of funding

  • At least half the selling price must be paid on the date of sale.

  • The balance is payable between the 8^th and 12^th year following the sale.

  • Payment must be in cash and the interest rate on the balance is capped.

• Tax advantages

  • Tax deduction of 50% of the interest received up to an annual limit of :
    - €5,000 for single, widowed or divorced taxpayers,
    - €10,000 for married taxpayers or those in a Civil Union (PACS) subject to joint taxation.

• Find a notaire

  • Find the details in the Directory of Notaires of France.
    Your notaire is at your disposal to help you.