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Taxation: a third of municipalities plan to increase property tax this year

2021-05-03T17:33:23.827Z

According to the Association of Mayors of France, the increase of 2 to 3% on average should make it possible to compensate for the loss of revenue due to confinements.



A third of municipalities plan to increase the property tax this year, on average by 2% or 3%, to cope with the loss of revenue caused by the health crisis and to maintain investments, indicates an AMF survey made public on Monday. .

Read also: Real estate: the property tax on old housing may soar

"

We have a third of the communities which plan to increase the rates of the property tax in 2021

", affirmed the secretary general of the Association of the mayors of France (AMF), Philippe Laurent, during the presentation to the press of the results of a survey conducted with the Banque des Territoires. "

We estimate that the increase in the property tax rate will be on average for all municipalities from 2 to 3%,

" he added, recalling that this tax is the last fiscal lever available to municipalities. Philippe Laurent, mayor (UDI) of Sceaux (Hauts-de-Seine), estimated that this tax increase was the consequence of the revenue losses suffered by the municipalities during the first confinement which "

were not completely offset by theState

".

According to him, the gradual abolition of the housing tax since the start of Emmanuel Macron's five-year term “

is not fully compensated either

”.

Support for recovery

Despite these revenue losses, "

the majority of the communities questioned expressed their desire to continue their support for the recovery and to maintain their investment forecasts

", underlines the AMF study, which requests the support of the State.

The government did not understand that our communities were local economic agents who contribute to the creation of value and wealth

», Regretted Antoine Homé, mayor (PS) of Wittenheim (Haut-Rhin), who co-chairs with Philippe Laurent the local finance and taxation commission of the AMF. The relations between mayors and the State have given rise to many frictions since the announcement of the gradual abolition of the housing tax and the more recent one of the reduction in production taxes that they collected, despite the commitment state to compensate for lost income.

Source: lefigaro

All business articles on 2021-05-03

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