Starting from the 2023 income year, two new conditions regulate the deduction of professional rents for companies, following a law enacted on December 28, 2023. Previously, to deduct the rent of a property used for professional purposes, it was sufficient to meet the general conditions for the deduction of professional expenses: demonstrating that the expenses were used for revenue-generating activities, and proving their reality and amount.
Now, for the 2024 tax year, two additional requirements have been introduced:
Mandatory Form 270 MLH: This form must be attached to the company’s tax return. It must indicate the identity of the landlord(s), the address of the property, the amount of rent paid or attributed during the year, and the portion of this rent deducted as professional expenses. Without this form, the rent is not deductible. However, if the rent or indemnity is invoiced, the submission of the form is not necessary.
0.2% Registration Fees: It is required that 0.2% registration fees be paid on the total amount of rents and rental benefits for these to be deductible.
In summary, to continue benefiting from the deduction of rents as professional expenses, your company must now attach Form 270 MLH to its tax return (unless invoiced) and ensure that the appropriate registration fees have been paid.
