A property dealer's notary fees comprise four components: emoluments (regulated tariff), fees (freely negotiated), disbursements (sums advanced) and duties and taxes (transfer duties, land registration tax, additional Île-de-France tax). Across these four items, tax optimisation relies almost exclusively on managing the transfer duties, through two mechanisms of the French Tax Code: the commitment to resell (art. 1115, land registration tax reduced to 0.715%) and the commitment to build (art. 1594-0 G A, fixed duty of EUR 125). Used properly, these two commitments can reduce the fees by several tens of thousands of euros per transaction.
The notary's emoluments and fees are the only true notary fees. The remaining sums paid by the purchaser are compulsory levies collected by the notary on behalf of the State and local authorities (transfer duties, land registration tax, additional tax).
The tax optimisation of notary fees therefore actually rests on the tax component (transfer duties, land registration tax and additional taxes), which represents 5.81% to 6.32% of the purchase price in 2026 (5.81% in the 8 departments that did not adopt the 2025 Finance Act increase, 6.32% in the vast majority), that is, the bulk of the cost for the property dealer.
Properly anticipated, this optimisation can turn a significant charge into a mere fixed duty of EUR 125 in the best cases (commitment to build), a saving of several tens of thousands of euros per transaction.
The notary's remuneration for services subject to a regulated tariff (set by decree).
Remuneration that is freely negotiated for non-regulated services.
Sums advanced by the notary on behalf of the client.
Compulsory levies collected by the notary on behalf of the State.
The French Tax Code provides two mechanisms for optimising transfer duties. The right choice depends on the nature of the planned transaction.
French Tax Code art. 1115. Grants a reduced land registration tax of 0.715% in exchange for a commitment to resell within 5 years of the acquisition. Conditions: being a VAT taxable person (French Tax Code art. 256 A), purchasing in France or an overseas department, and stating the commitment in the deed. Can be lifted at any time. If not honoured: additional land registration tax plus interest plus penalties.
French Tax Code art. 1594-0 G A. Grants a full exemption from proportional transfer duties in favour of a fixed duty of EUR 125, in exchange for an obligation to build (or heavily renovate) within 4 years. Eligible works: new construction, adding storeys, restoring an existing building so that it qualifies as new for tax purposes, and completing an unfinished new building. The commitment may also be made after the event, by way of a claim.
Without a commitment (2026 transfer duties at 6.32% in most departments): transfer duties of EUR 18,960 plus emoluments plus disbursements, that is, notary fees of around EUR 22,800 (about 7.6% of the price). With a commitment to resell (land registration tax at 0.715%): transfer duties reduced to EUR 2,145, total notary fees of around EUR 6,000. Saving: around EUR 16,800 on the transfer-duty item alone.
Without a commitment (2026 transfer duties at 6.32%): transfer duties of EUR 25,280, total notary fees of around EUR 30,000. With a commitment to build: a fixed duty of EUR 125 instead of the proportional transfer duties. Saving: around EUR 25,000 on the transfer-duty item alone. Completion deadline: 4 years (with a possible 1-year extension).
If the initial commitment can no longer be honoured, a substitution is possible: switching from a commitment to build to a commitment to resell, for example. Subject to strict conditions: a prior tax analysis is essential.
Enter the purchase price and the department: the simulator compares the three scenarios (no commitment, commitment to resell under art. 1115, commitment to build under art. 1594-0 G A) and calculates the expected saving. An educational tool: for an operational calculation, contact the firm.
Educational simulator, checked against the official DGFiP table "DMTO 2026-02" as at 1 February 2026. Standard transfer duties of 6.32% (municipal tax of 1.20% plus departmental duty of 5.00% since the 2025 Finance Act increase, art. 116 of Law no. 2025-127, applicable from 1 April 2025 to 31 March 2028; French Tax Code art. 1584, 1594 D, 1647 V). 5.81% in the 8 departments that did not vote the increase: Hautes-Alpes, Alpes-Maritimes, Drôme, Eure, Lozère, Oise, Hautes-Pyrénées, Guadeloupe. Emoluments: progressive scale since 1 January 2021 (annex 4-7 of the French Commercial Code). Commitment to resell: land registration tax of 0.715% (French Tax Code art. 1115). Commitment to build: fixed duty of EUR 125 (French Tax Code art. 1594-0 G A). Additional 0.6% tax on Île-de-France offices (French Tax Code art. 1599 sexies). First-time-buyer main-residence derogation: rate kept at 4.50% (transfer duties of 5.81%), not applicable to property-dealer transactions. Freely negotiated fees and actual disbursements not included. Eligibility conditions for the commitments are not verified by the simulator. For an operational calculation, contact the firm.
Bensaid Avocats advises property dealers, developers, family property companies and real-estate investors across the full notary-fee optimisation cycle: pre-acquisition analysis to identify the commitment best suited to the transaction, drafting of the clauses in the notarial deed in coordination with the notary, and monitoring of the deadlines (5 years to resell, 4 years to build) including the management of extensions.
Where a commitment becomes difficult to honour, we structure substitutions or defend the taxpayer in a tax audit if the commitment is challenged by the tax authorities.
Our recognised expertise in VAT and real-estate taxation (Strong reputation, Décideurs 2024) allows us to structure complex transactions upstream: serial buy-and-resell operations, heavy renovation projects, structures using a dedicated SCI or SAS, and coordination with the VAT margin scheme and the calculation of capital gains.
The commitment to resell (French Tax Code art. 1115) grants a reduced land registration tax of 0.715% in exchange for a commitment to resell within 5 years. The commitment to build (French Tax Code art. 1594-0 G A) is more powerful: it grants a full exemption from proportional transfer duties in favour of a mere fixed duty of EUR 125, in exchange for an obligation to build (or heavily renovate) within 4 years. The commitment to build suits development projects; the commitment to resell suits pure buy-and-resell arbitrage without works.
The additional land registration tax becomes payable (the difference between the standard rate, 6.32% in 2026 in the vast majority of departments and 5.81% in the 8 departments that did not adopt the 2025 Finance Act increase, and the reduced rate of 0.715%), together with late-payment interest at 0.20% per month (French Tax Code art. 1727) and, in the event of deliberate non-compliance, a 40% surcharge (French Tax Code art. 1729). On a EUR 500,000 transaction, the reassessment on the transfer-duty portion can reach EUR 28,000 to EUR 30,000, plus interest and a potential surcharge.
Yes, by way of a claim. If you did not make the commitment initially but you meet the conditions, you may file a claim with the tax authorities within the limitation periods (generally 2 years after the duties were collected). This route is useful where the opportunity to build or renovate arises after the purchase.
The additional 0.6% tax on office sales in Île-de-France does not apply where the acquisition is made with a commitment to resell or to build (the reduced rate or the fixed duty replaces all the proportional duties). For Paris office transactions carried out as a property dealer, making a commitment is therefore particularly advantageous.
Yes, in two cases: the restoration of an existing building so that it qualifies as new for tax purposes (a renovation that changes the nature of the property; see French Tax Code art. 257-I-2-1°) and the addition of storeys to an existing building. These works must be completed within the 4-year period following the acquisition for the commitment to be regarded as honoured.
Yes, notary fees (emoluments, fees, disbursements, duties) are deductible charges in the property dealer's taxable result, either as immediate expenses or as a component of the cost price when calculating the capital gain on disposal. VAT deduction on the emoluments and fees (VAT at 20%) is available where the dealer is a taxable person liable for VAT.
There is no numerical limit, provided each transaction meets its own conditions (5-year deadline, VAT taxable-person status, mention in the deed). In practice, a property dealer can therefore chain buy-and-resell operations while systematically benefiting from the reduced rate, subject to keeping rigorous accounts and being able to document each resale vis-à-vis the tax authorities.
Topics frequently linked to notary-fee optimisation for property dealers.
Overview of the practice: transaction structuring, disposals, real-estate VAT, capital gains.
Voir la page Tax practiceVAT regime, optimisation, commercial and wealth structuring.
Voir la page LitigationDefence where a commitment is challenged by the tax authorities.
Voir la page LitigationPost-audit strategy, settlement, hierarchical and judicial remedies.
Voir la pageA confidential initial discussion: pre-acquisition analysis to identify the suitable commitment and quantify the expected saving.
Written by
Me François Ouairy, avocat associé en charge du bureau de Paris, expert en fiscalité immobilière, fiducie et fiscalité financière.
© BENSAID Avocats — The information on this site does not constitute legal advice and is no substitute for a personalised tax analysis.