Bad news is coming for thousands of French people.
Be careful, it’s going to sting! In several thousand municipalities, mayors have decided to drastically increase a local tax. This is not illegal since the State authorizes it, but the fiscal blow promises to be difficult to absorb for the French people concerned. This had already made a certain number of them jump last year, but in 2024, the list of cities concerned has been extended by the government.
In a few weeks, many owners will have the unpleasant surprise of receiving a tax notice that is higher than the one in 2023: the housing tax notice. This still concerns 7.6 million French people. They are liable for this tax when it is a second home that is not rented out year-round. For these people, the increase will be significant since many municipalities have decided to increase the amount to be paid, up to 60%!
When you pay the housing tax, part goes to the municipality and another to the inter-municipality. This is the share collected by the municipality which can now be increased by 5 to 60%! Let’s take an example. Concretely, on a housing tax that costs you €1000, of which €500 goes to the municipality, this share can increase to €800 (+60%) and bring the total bill to €1300.
Not all cities are affected. This mainly concerns those where the annual rental market is undermined by short-term rentals, such as AirBnB. As a result, owners no longer want to rent year-round, or at exorbitant prices, and locals are no longer able to find accommodation. The town halls have therefore decided to hit the wallets of these property owners to force them to review their strategy.
Among the cities concerned, Arcachon, Argeles, Bayonne, Briançon, Capbreton, Cassis, Concarneau, le Grau du Roi, Gerardmer, Gruissan, Martigues, Ouistreham, Palavas-les-Flots, Perros-Guirec, Quiberon, Royan and Les Sables-d’Olonne can be mentioned. Here, the increase applied is 60%. In Antibes, Bonifacio, La Grande-Motte, Pleneuf Val-André, Ramatuelle, it is 40%. A new feature in these municipalities, which should surprise many owners. On the other hand, in Annecy, Anglet, Bordeaux, Lyon, Marseille, Nice, Paris and Strasbourg, the 60% surcharge is maintained, as last year. In total, 1467 municipalities apply this increase.