The high expectations for this text continue: on Wednesday evening, deputies began examining a bill aimed at regulating Airbnb-type furnished tourist accommodation, accused of harming long-term rentals, without reaching a vote. The first reading of this cross-party text began in the early evening and ended at midnight without MEPs even adopting Article 2.
The text led by Annaïg Le Meur (Renaissance) and Iñaki Echaniz (PS) was first put on the agenda in the spring before being postponed indefinitely.
💡Regulation of furnished tourist accommodation: the bill proposed by MPs @InakiEchaniz and @AnnaigLeMeur_29 to "remedy imbalances in the rental market" could not be examined to its conclusion and put to the vote this evening. Its review will continue in early 2024. #DirectAN
— LCP (@LCP) December 6, 2023
The LR group had decided last week to oppose the simplified examination of the bill, which could have accelerated the debates. During the discussions, the LR and RN deputies multiplied their manoeuvres — points of order, multiple speeches, requests for suspension — leading to their slowing down.
"Today we have a housing problem and you are having fun holding public ballots and preventing us from voting," Iñaki Echaniz said shortly before midnight. The chairman of the Economic Affairs Committee, Guillaume Kasbarian, lashed out at those who "have tried to drag out the debate again and again", but welcomed the fact that there was "a real majority to support this text", which "will come back in January or February".
Throughout the evening, the debates pitted the left and the majority against the right and the RN, which are hostile to measures that penalise "small landowners". RN MP Frédéric Falcon denounced "a compendium of old socialist measures" multiplying "standards" and "tax increases". It's the "RNbnb", said LFI MP François Piquemal ironically. The most emblematic measure of the bill aims to tackle the "tax loophole" enjoyed by furnished tourist accommodation, with lower rates of allowance than those of traditional long-term rentals (30%).
Follow the public session#DirectAN https://t.co/ns2LoQ8zF6
— National Assembly (@AssembleeNat) December 6, 2023
Article 3, tightened by the Law Commission last week against the government's advice, provides for a reduction to 30% of the rate of allowance on income from furnished tourist accommodation (compared to 71% for classified furnished rentals and 50% for unclassified furnished rentals today). An exception would be made in "very sparsely populated rural areas" where an additional rate of 41% (71% in total) could be applied.
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In his introductory remarks, Housing Minister Patrice Vergriete said he supported "a reform of the rental taxation of private landlords", with the aim of "putting an end to tax loopholes deemed unjustified". But he also urged people to be "cautious", recalling that a parliamentary mission on the subject had been entrusted to Annaïg Le Meur and MoDem MP Marina Ferrari.
From 120 to 90 rental days per year?
The tax advantage had already been the subject of a tug-of-war during the examination of the 2024 draft budget, with the executive's promise to reduce the allowance in tense areas from 71% to 50%. "There can't be a tax measure outside the finance bill," a majority party leader said on condition of anonymity on Wednesday.
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The text, examined at first reading, also applies energy performance diagnosis obligations to furnished tourist accommodation. It plans to provide mayors with a "toolbox" to regulate these tourist rentals, and gives them the possibility of lowering from 120 days to 90 days per year the maximum duration during which a main residence can be rented as a furnished tourist accommodation.