Faced with a deteriorating budgetary situation, the mayor of the capital had to go back on her campaign promise not to raise taxes.
The property tax will explode in Paris from next year. While she had pledged, during the campaign for the municipal elections of 2020 not to increase taxes, the mayor of Paris, Anne Hidalgo, announced on Monday an increase in the rate of this local tax by no less than 7 points. in 2023, which will thus increase from 13.5% to 20.5%. This controversial measure will be presented at the next Council of Paris. ” This represents an increase of more than 50% “Warns public finance expert François Ecalle. According to the town hall, which issued a press release for the occasion, the tax will then increase from 438 to 665 euros on average for an apartment of 50 m2from 576 to 874 euros for 75 m2 and from 715 to 1,086 euros for 100 m2.
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But, in reality, the bill will be even higher for Parisian owners. Indeed, the town hall of Paris is careful not to mention the strong revaluation expected next year of rental values, which precisely serve as a tax base for this property tax and on which the rates voted by local elected officials apply. . Due to galloping inflation, this revaluation should reach nearly 7% next year, much more than the 3.4% observed this year and the 0.2% in 2021. The executive did not wanted to cap this increase in rental bases in the draft 2023 budget examined in Parliament to avoid alienating local elected officials, hoping that the latter will make a gesture for their constituents…
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A hope which is therefore already in vain for Paris. Property tax “is today in Paris the lowest in France, with 13.5% against 41.61% on average in the large French cities, and it has not increased since 2011”, defends for her part Anne Hidalgo, who especially hopes to recover 586 million for the coffers of the city with her measure. It should be noted that it plans to completely exempt owners who have invested in the thermal renovation of their property between 2020 and 2026, as well as those“encountering economic difficulties”and who receive solidarity allowances.
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