Thousands more French second homes face 2024 tax rises

Over 500 new communes have voted for 60% levy on vacant second homes

Many more communes were authorised to increase the taxe d’habitation for second homes this year - and duly did so
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Almost 1,500 communes across France have voted to levy additional taxes on second-home owners this year, up from only 308 to vote the same way in 2023, it has been revealed.

The second-home tax rise will vary considerably by commune, from a 5% increase in some up to 60% in others. More than 500 communes across the country have chosen the maximum 60% surcharge.

While second homes across France are faced with a specific property tax (taxe d’habitation), certain communes are allowed to vote for a surcharge on top of this.

Read also: Explainer: France’s taxe d’habitation property tax

Previously, this only applied in areas with at least 50,000 residents, which were classed as having a housing shortage (known as zone tendues). 

However, changes in August 2023 meant the population limit no longer applied, and any commune deemed to have housing pressures could levy a surcharge, adding an additional 2,263 communes to the list.

Overall, there are now 3,697 communes which can levy the surcharge if they wish. 

Read more: Second-home tax: 2,263 French communes added to ‘possible rises’ list

The changes were made shortly before deadlines for announcing taxe d’habitation rates so new communes could not apply the tax last year.

However, with more time to prepare, 1,461 in total have voted to levy the tax in 2024.

This means that 39.5% of eligible communes increased the tax this year, up from 27.1% last year, figures from the Direction générale des Finances publiques (DGFiP) tax authority show. 

Read also: What are the two exemptions to paying French taxe d’habitation? 

Which areas have chosen to levy the tax?

Most of the authorities to have increased the tax are concentrated in three regions:

  • Auvergne-Rhône-Alpes (316 municipalities)

  • Provence-Alpes-Côte d'Azur (293 municipalities)

  • Occitanie (171 municipalities)

These regions account for 53% of the total number of municipalities to have voted for a rise in the tax (780 out of 1,461 nationwide).

However proportionally municipalities in the western regions have voted through higher increases. 

In Brittany, 75% of eligible communes have introduced the increase, in Pays de la Loire 61.4%, and in Nouvelle-Aquitaine 58.5%.

The breakdown of how much new communes are charging can be seen below: 

  • 359 communes (24.6%) have decided to apply a surcharge of 20% or less, compared with 106 in 2023 (34.4%);

  • 258 communes (17.6%) have chosen a rate of increase of between 20.1% and 30%, compared with 24 last year (7.8%);

  • 185 communes (12.7%) opted for a rate of between 30.1% and 40%, compared with 35 last year (11.3%);

  • 120 communes (8.2%) opted for a rate of between 40.1% and 59.9%, compared with 23 last year (7.5%);

  • 539 communes (36.9%) have voted for the maximum rate of 60%, compared with 120 in 2023 (39%)

You can check to see if your commune is one of those eligible via the August 2023 decree here

Press the ‘ctrl’ and ‘F’ buttons at the same time on your keyboard to bring up a search function, then type your commune’s name into the box that appears. 

If your commune is on the list, you can check to see which rate will apply. 

Alternatively, taxe d’habitation bills will arrive in your personal space on the French tax site from November onwards, informing you of the rates you must pay. 

Read also: Why do only second-home owners pay taxe d’habitation in France?