Repeal of housing tax 2023: all useful information
through Dorothy Perry February 1, 2023
If you own one or more second homes, On the other hand, housing tax is withheld. Discover all the useful information in this section.
Finally, the owners vacant residences still required to pay THLV (Vacancy Housing Tax).
Read the rest of this article to find out who is liable for property tax in 2023.
The housing tax was abolished: what you need to know
Renting or buying a home creates several types of tax liability depending on the situation. Among the latter there were until now housing tax on primary residences (TH). It was to be paid by all persons living in the dwelling, tenants as well as owners, and it applied to more than 30 million apartments.
In 2018, the reform providing for the abolition of the progressive housing tax entered into force. Initially relaxed, TH was later subjected to reductions and exclusions (all details here), Before disappearing completely in 2023.
Thus, the last households subject to TH (not monthly) paid it at the end of 2022.
After this, no tenant or owner is liable for housing tax for a principal residence. This 2023 removal is for everyone without exception.
But be careful: it is only about TH in the main residences. Housing tax still exists on secondary residences as well as on vacant dwellings (see below). Similarly, owners are responsible for property taxes, except in exceptional circumstances.
The end of the housing tax, but not for second homes
As we mentioned above, the cancellation of housing tax does not apply to second homes. Owners of this type of dwelling(s) are still required to pay housing tax in 2023 and beyond.
Here’s what you need to know about TH in second homes:
- This applies to: owners or usufructuary of furnished dwellings in which they do not live as their principal residence
- Feels like: by local authorities
- Its quantity: it depends tariff set by local authorities the location of the residence as well as the rental value of the property (including outbuildings)
- Possible increases: cities located in a stressed area may impose an increase (“understanding surcharge”) on this tax
- Unable deductions: this tax cannot be subject to income-based reductions or limitations, as was the case with the old TH on principal residences.
- Exceptions: You may be exempt from TH on secondary residences if the residence in question is located in a municipality subject to vacancy tax or if you entered a specialized reception facility after leaving your primary residence (Warning: in which case income limits apply)
- Statement: you don’t have to file a return, you automatically receive a tax notice at the end of the year (you can also find this document in the “Special Gap” section on the Taxes website)
- Payment date: Similar to the old housing tax on primary residences, TH is payable on secondary residences at the end of the year, but you can pay monthly if you want
If you have any doubts or questions about your condition, don’t hesitate contact your tax office (See how to contact DGFIP).
Do not delete housing tax: what about empty accommodation?
Owners or usufructuary of the so-called “empty” residential building It will have to continue to pay housing tax (THLV) on vacant dwellings in 2023 and beyond. Indeed, the repeal of the residence tax does not apply to this particular tax.
It should be noted that vacant residential houses belonging to THLV are those that meet the following criteria:
- Vacancy starts from this date More than 2 years (from January 1 of the tax year)
- Not a residence not located in a stressed area (in which case TLV applies)
- The residence is located In a municipality that implements THLV
The amount of THLV it is calculated based on the rental value of the residence and the tariff applied by the relevant municipality.
If you are liable for THLV, you will receive a tax notice at the end of the year.
Good to know: in 2023, The applicable rate for TLV is increasing. It increases to 17% in the first year and 34% in subsequent years.
? Other articles may interest you : If you want to know more about taxes related to housing, read the articles below
A question to ask? Trouble to raise? The entire community is at your service…
❓ Who should pay housing tax on primary residences in 2023?
❌ Are all housing taxes removed?
? Is TH still available on vacant apartments?
? Who should I contact when I have questions about housing tax?
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Sciences Po graduate, I am a freelance journalist/editor. I have ten years of professional web and writing experience and have been working at aide-sociale.fr since 2017.