Does the overseas Pinel scheme still exist?

The end of the Pinel scheme, overseas included, since December 31, 2024

The Pinel tax reduction (Article 199 novovicies of the CGI) applied to new housing acquired or built until December 31, 2024. This deadline also concerned the overseas branch of the scheme, which offered higher rates. The budget act did not extend the scheme: for an acquisition after this date, no Pinel reduction, mainland or overseas, can be obtained.

In practice, a real estate program marketed today with the promise of a Pinel advantage should alert you: either the operation is duly linked to a triggering event prior to the deadline, a situation to be checked by a professional, or the presentation is misleading.

Investments already made: nothing stops

Taxpayers who made their investment within the deadlines keep their tax reduction, spread over the six- or nine-year rental commitment period, extendable up to twelve years. The obligations continue identically: bare rental for use as a primary residence, rent and tenant-resource caps, revised each year (scales published on impots.gouv.fr).

Failure to comply with these conditions during the commitment triggers the claw-back of the tax reduction. Conversely, the scheme's ending for new acquisitions does not call into question the rights duly acquired.

The overseas rates: an advantage now historical

The overseas Pinel scheme granted higher reduction rates than mainland France, in exchange for the same rental commitments. These rates varied by year of acquisition, with a downward trajectory over the scheme's last years, except for Pinel+ subject to reinforced quality and location criteria.

To find out the rate applicable to your own investment, refer to the year of your acquisition and the corresponding official scales (the practical income-tax brochure, the BOFiP). Never rely on a rate found on an undated page: in matters of overseas tax reduction, a figure without a year has no value.

What alternatives for overseas tax reduction after the Pinel scheme?

None of the tools below replaces the overseas Pinel scheme feature for feature. The right choice depends on your tax, your horizon and your risk tolerance; above all, it requires checking, for the current year, which schemes are actually open.

• Social-housing Girardin (Article 199 undecies C of the CGI): a one-shot reduction, now refocused mainly on the overseas collectivities and New Caledonia; an arrangement to secure (see our Girardin guide).
• Industrial Girardin (Article 199 undecies B of the CGI): to reduce your tax without acquiring real estate, with the risks specific to this type of arrangement.
• Denormandie in the existing stock (Article 199 novovicies of the CGI): a purchase with works in certain eligible municipalities; check the municipality's eligibility and the scheme's deadline.
• Furnished rental (LMNP) and property deficit: general-law regimes applicable in the DROM, often more durable than the dedicated schemes.

Where to check the state of the law

Before any decision based on a tax advantage, check the following official sources:

• Legifrance: the version in force of Article 199 novovicies of the CGI and of Articles 199 undecies A to C.
• BOFiP: up-to-date administrative commentary, notably the BOI-IR-RICI-360 series for the Pinel scheme.
• impots.gouv.fr: the practical income-tax brochure, the year's rent and resource caps.
• A notary or a tax lawyer for any operation presented as tax-advantageous.