Four main schemes let you reduce your tax by renovating a property in France: the Malraux law, the Monuments Historiques (Historic Monuments) regime, the Denormandie law and the déficit foncier (property deficit). All reward renovation works, but with different mechanisms, amounts and constraints. Here is how to compare and choose.
Comparison of renovation-based tax-relief schemes
| Scheme | Tax benefit | Best for | Commitment |
|---|---|---|---|
| Malraux law | 22–30% tax reduction on works (up to €120,000) | Restoring a property in a protected heritage area | Unfurnished rental 9 years |
| Historic Monuments | 100% deduction of works from overall income, no cap | Restoring a listed/registered building (MH/ISMH) | Retention 15 years |
| Denormandie law | 12–21% tax reduction (purchase + works) | Buying & renovating in an eligible town | Unfurnished rental 6, 9 or 12 years |
| Déficit foncier | Works deducted up to €10,700/yr (€21,400 for energy) | Renovating an older rental property | Unfurnished rental ~3 years after offset |
Malraux law: restoring in a protected area
A 22% or 30% tax reduction on the cost of works, capped at €400,000 over 4 years, outside the cap on tax loopholes. Ideal for a characterful property in a Remarkable Heritage Site. Read the Malraux guide →
Historic Monuments: the maximum deduction
A 100% deduction of restoration works from overall income, with no cap, for a listed or registered building. The most powerful scheme, in return for a 15-year retention commitment. Read the Historic Monuments guide →
Denormandie law: buy and renovate older property
A 12–21% tax reduction calculated on purchase + works (base capped at €300,000), provided you carry out at least 25% of works in an eligible town. Read the Denormandie guide →
Déficit foncier: the standard-law lever
Deduct works from your overall income up to €10,700/yr (€21,400 for energy-efficiency works), with no zoning or rent cap. Simple and combinable. Read the déficit foncier guide →
How to choose the right scheme?
- You target an exceptional listed property and are heavily taxed → Historic Monuments or Malraux.
- You buy an older home to renovate in an eligible town → Denormandie.
- You already own (or buy) an older rental to renovate, with no zoning constraint → déficit foncier.
- In every case, the benefit depends on the quality and compliance of the works.
Genesius’s role
Whatever the scheme, the common thread is renovation. Genesius provides full project management of your project — precise costing, coordination, compliance (ABF/DRAC where applicable), compliant invoices — to secure your tax benefit. See the Renovation and construction page. We also support non-resident investors remotely.
Frequently asked questions
Which scheme offers the biggest tax saving?
The Historic Monuments regime allows a 100% deduction of works with no cap — the most powerful. The Malraux law offers up to €120,000 in reduction. The choice depends on the property and your tax situation.
Can these schemes be combined?
They apply to different properties and situations. The déficit foncier in particular is outside the cap on tax loopholes, as are Malraux and Historic Monuments.
What do all these schemes have in common?
Renovation: the tax benefit relies on works genuinely carried out, properly qualified and documented with compliant invoices.
Does Genesius advise on which scheme to choose?
Genesius carries out the works and project management. The choice of scheme and structuring are handled by your tax adviser or notary, with whom we coordinate.
This article is provided for general information only and does not constitute tax advice. Rates and conditions are subject to change; check your situation with a tax adviser or notary.