Nearly one in 5 municipalities will increase property tax this year, according to the AMF

Europe 1 with AFP / Photo credit: DENIS CHARLET / AFP 15:42 pm, May 31, 2023

The president of the Association of Mayors of France (AMF), David Lisnard, announced Wednesday that 19% of municipalities will increase the property tax this year, while stressing that it will be indexed to inflation for all of them. "There are 19% of municipalities that will increase their property tax rate, so 81% of municipalities that will not increase it," said the mayor LR of Cannes on Radio J, asked about this tax which is one of the only tax levers still available to mayors since the abolition of the housing tax on main residences.

Property tax increased by an average of 4.7% between 2021 and 2022

The president of the AMF has however acknowledged that "the property levy" will automatically increase in all municipalities "because it is readjusted by the amount of inflation". The increase in property taxes has given rise to controversies between the municipalities and the government, such as Paris where their 52% increase wanted this year by PS mayor Anne Hidalgo has been criticized by ministers Clément Beaune and Gabriel Attal, who are believed to have municipal ambitions in 2026.

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According to the National Union of Property Owners (UNPI), the property tax as a whole (base and rate) increased by an average of 4.7% between 2021 and 2022 in the country's 200 largest cities.