Second homes: what the tax authorities are preparing

2023-05-12T05:16:17.083Z

Highlights: Local taxes are not to be underestimated when looking for a second home. Starting this year, at unchanged rates, local taxes will increase by 7.1%. These are the effects of the indexation of tax bases on the high inflation recorded in 2022. The accumulation of two property taxes and the housing tax on it, can quickly reach and even exceed 5000 € per year. This article is for subscribers only. Use the weekly Newsquiz to test your knowledge of stories you saw on CNN iReport.

DECRYPTION - The housing tax remains on second homes and everything contributes to its amount and that of the property tax increase.

If there is one item not to be underestimated in your budget when looking for a second home, it is that of local taxes. Owner of a country house located in a rural commune of the Mâconnais, Eric pays some 3000 € per year in property tax and housing tax.

Fortunately for him, he is only a tenant of his home in the Île-de-France region. He does not have to pay property tax or housing tax, abolished this year for all principal residences.

For those who own both a family home in the city and a second home, the accumulation of two property taxes and the housing tax on it, can quickly reach and even exceed 5000 € per year.

Read alsoWhat taxation for a primary or secondary residence?

A significant budget likely to grow in the years to come. Starting this year, at unchanged rates, local taxes will increase by 7.1%. These are the effects of the indexation of tax bases on the high inflation recorded in 2022.