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What are the rules for renting a garage?

2023-01-29T07:34:34.582Z


Do you want to rent a garage, a parking space or a box? Or conversely, do you want to rent a parking space? Before you start, it is better to know your rights and duties. What are the rules for renting a garage? Our answers.


Renting a garage with your main residence does not have the same consequences as renting it separately.

Moreover, the taxation of the residence tax is not the same depending on whether the rented space is an accessory to a main residence, a secondary residence or commercial premises.

What is a Garage?

In terms of parking, it is important to distinguish between:

  • The

    parking space

     : it is delimited by markings on the ground and is not closed.

    It can only accommodate one motorized vehicle.

  • The

    garage

     : it is a closed and delimited place, only dedicated to parking.

  • The

    box

     : it is a place closed by walls and a door.

    It allows you to park your car and store objects there.

Before agreeing on a rental contract, it is important that the two parties agree on the purpose of it.

Namely, a garage, a parking space or a box.

The rules specified below apply to all of these types of parking.

What regulations apply to renting a garage?

The law applicable to the rental of a garage, or any other parking space, depends on whether or not it is incidental to a residential lease:

- The rental of a garage is linked to that of a dwelling

 : the law n°89-462 of July 6, 1989 tending to improve rental relations is applicable

(

article 2 of the cited law

)

.

- The rental of a garage is linked to that of a commercial premises

 : the provisions of the common law of commercial leases apply

(

article L145-1 of the Commercial Code

and following)

.

- The garage rental is isolated

 : the provisions of common contract law apply, and more specifically of the rental contract

(

article 1709 of the Civil Code

and following)

.

Good to know

If the rented parking space is located within a condominium, its use and destination are defined in the condominium regulations.

Owner and tenant must comply.

What are the rules for renting a garage linked to a residential lease?

When a garage is rented with a dwelling by the same lessor, it is said to be the accessory (or annex) of the latter.

In this case,

there is no need to draft a specific lease

.

The

residential lease is sufficient

for the whole, as soon as mention is made of the existence of the rented parking space.

The garage then follows the rules of the residential lease concerning:

  • The duration of the rental.

  • The end of the lease.

  • Rent review.

  • The possible rules of subletting.

What are the rules for renting a garage linked to a commercial lease?

The garage which is the accessory of a room for the exercise of a commercial activity follows the rules of the commercial lease.

There is no need for a specific rental contract.

Read alsoCan you turn a home into a business premises?

What are the rules for renting a separate garage?

When a garage is rented independently of a dwelling, the

rental

is said to be

free

.

It then follows the classic rules of renting things.

That is to say that the conditions of the rental of the parking lot are freely negotiated between the parties, the owner and the tenant.

For example :

  • Amount of rent and rental charges.

  • Rent review.

  • Duration of rental.

  • Amount of the deposit.

  • Terms of termination of the lease.

  • Specific clauses.

Good to know

The drafting of a lease contract is not mandatory but is strongly recommended to avoid any future dispute between the tenant and the owner of the garage

(

article 1714 of the Civil Code

).

What are the lessor's obligations?

The lessor is obliged, by the nature of the contract:

  • To deliver the leased item to the lessee.

  • To maintain this thing in a condition to serve the purpose for which it was rented.

    In this case, parking a vehicle.

  • To make the lessee enjoy it peacefully during the term of the lease.

  • The lessor is required to deliver the thing in good repair condition of any kind.

  • To carry out all repairs that may become necessary, other than rental ones.

If the lessor disregards one or other of his obligations, the tenant of the garage may request the judicial termination of the lease.

He can also ask the landlord for a reduction in the agreed rent.

What are the obligations of the tenant of a car park?

The lessee is bound by 2 main obligations:

  • To use the rented thing reasonably, and according to the destination given to it by the lease.

  • To pay the agreed rent.

If the lessee is not aware of his obligations, the lessor is entitled to have the lease terminated.

Can we sublet a parking space?

Yes,

subletting is possible as soon as the main tenant has obtained the owner's written agreement

(

article 1717 of the Civil Code

)

.

The rent applied by the tenant or sub-tenant must not be higher than that of the main rent.

Good to know

The main tenant is responsible for damage and losses that occur because of the people in his house or his sub-tenants.

How to declare the rental of a garage?

The owner of a rented car park must declare the rents received when renting his garage

each year

when

filing his income tax return

.

Who has to pay the housing tax for a rented garage?

As a general rule, it is up to the tenant to pay the housing tax.

But the law has changed the very existence of this tax.

The housing tax on main residences has been completely abolished since January 1, 2023

.

The tenant of a car park or garage is no longer liable for this tax as of this year.

On the other hand, it is not on second homes

(

article 1409 of the CGI

)

and its outbuildings, including garages and parking spaces.

Under these conditions, the tenant must always pay this tax.

The residence tax is not due on commercial premises and their accessories when:

  • That they have a separate entrance from that of the accommodation.

  • That they are subject to the business property contribution (CFE).

  • That the layout of the premises does not allow them to be used as accommodation.

What is the duration of a lease for a garage?

The minimum duration of the lease for a garage varies according to different criteria:

  • It is an accessory to an unfurnished dwelling: it is 3 years old.

  • It is an accessory to furnished accommodation: it is for 1 year.

  • It is independent of any other location: it is free.

  • It is the accessory of a commercial premises: it is 9 years old.

The parties can then renew the lease by tacit agreement or by written contract.

Is a garage taxable?

Yes,

renting a car park entails the payment of taxes

.

The scope of taxation is not the same depending on whether you are a tenant or an owner.

Garage owner:

- must pay property tax.

- must pay a housing tax if the garage is not rented and it is located less than 1 km from his secondary residence.

- must declare all income from the rental of a garage, box or parking space.

They must be mentioned in the annual tax return.

The amount of the tax depends on the amount received and the chosen tax regime (micro-BIC or real regime).

- must declare and pay VAT if the income generated by the rental is greater than 34,400 euros in 2021,

via

form n°3517-S-SD.

- must pay social contributions if the rents generated over the year exceed 8227 euros in 2021.

The tenant of the garage must pay the housing tax when the garage is located less than 1 kilometer from his secondary address.

To note

The tenant who rents the garage on January 1 must pay the residence tax for the year.

Good to know

 : the residence tax is never due if the garage is located in a condominium with free parking (not numbered and not assigned).

Source: lefigaro

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