Posted Oct 12, 2022 7:52 AM
Many owners have seen it: if the housing tax has disappeared, it seems that there has been a catch-up in property tax. Thus, according to the latest National Observatory of Property Taxes of the National Union of Property Owners (UNPI) unveiled by “Le Parisien”, this local tax jumped by 4.7% on average in the 200 largest cities in France between 2021 and 2022. “A record year”, according to Frédéric Zumbiehl, lawyer in charge of the Observatory at the UNPI.
Part of this increase is directly linked to inflation. The legal increase in rental values, applied each year according to the evolution of prices, was 3.4% this year, the largest increase since 1989. This is much more than the revaluations of 0.2% in 2021 and 1.2% in 2020.
The other part of the increase is based on political choices. Thus, according to an estimate by the firm FSL carried out in September, the average increase in property tax rates on buildings and non-buildings amounted to 1.9% in France. According to the UNPI classification, the strongest increases (3.4% increase in rental values included) were observed in Poissy (+23.9%), Mantes-la-Jolie (+22.2%) and Martigues (+19%).
New outbreak expected for 2023
But the evolution of the local tax should not stop there. Christophe Demerson, the president of the UNPI, explains to the “Parisien” that he foresees “terrible increases” next year. “In 2023, we will still be far from the electoral deadlines: it will therefore be another good year for the municipalities to massively increase” the property tax, he judges, while the war in Ukraine is raging and inflation does not don’t slow down.
Not to mention that the automatic increase, linked to the revaluation of the rental bases, already looks exceptional. The 2023 finance bill presented by Bercy provides for an increase of 7%. But the majority should carry an amendment to limit the increase to 3.5%. Which would already be more than this year’s revaluation.