buying property in France, French local property tax, French local taxes, French property tax, French taxe d'habitation, French taxe d'habitation tax rate 2013, second home in France, selling property in France, taxe d'habitation rate
Do read our new post on “taxe fonciere” and “taxe d’habitation” ranking for 41 cities, spending for an average family, which will give you in depth data and information on this complex tax matter…Read also our new post on “taxe d’habitation” (“French taxe d’habitation: calculation and explanations on tax statement”) for further details on calculation and how to understand your tax role!
In a previous post we disclosed the rate and ranking of the “taxe fonciere” for the French towns above 50.000 people, (read the post “French property tax: 2013 “taxe fonciere” rate and ranking by cities”) we herehunder disclose the same ranking for the “taxe d’habitation” rate.
As a reminder, you will have to pay the “taxe d’habitation” if you do not rent your French property all year round, so if you have a second home in France that you only rent seasonaly for the tourists you will have to pay the tax (there are a few exceptions, however it is generally difficult to get the exemption even in these cases). The “taxe d’habitation” is based on the ownership (or occupancy if you are an all year round tenant) at the 1st of January of each year. The tax has generally to be paid before mid November. The landlord or all year round tenant, is responsible for the full payment whether he has sold, (or left for the tenant) the property after the 1st of January. However, if you sell your property and you did not have an all year round tenant at the 1st of January, you may include a clause in the “compromis de vente” (preliminary contract) that the tax will be refunded pro rata by the buyer. In any case, the seller remains ultimately responsible for the payment to the tax authorities. We will write a separate post on the “taxe d’habitation”.
However, this ranking is to be taken with a “pinch of salt”, firstly the rental value may also influence the tax that you would have to pay, secondly the city tax rate does not include the “group of cities” tax rate, which can be quite significant for a few cities (e.g. Amiens “group of cities” tax rate is at 14.81%). We do not have the exhaustive data for the “group of cities” tax rate for the moment and will update the spreadsheet in due course. Additionally there are numerous rebate (e.g. between 10 to 20% for a couple with 2 children …). Do read our new post on “taxe fonciere” and “taxe d’habitation” ranking for 41 cities, spending for an average family, which will give you in depth data and information. Also the cities have a decentralised power to grant exemptions or rebates for less affluent families based on revenues thresholds.