The list of municipalities that can apply the tax on vacant dwellings (TLV) from 2024 has been extended to include 2,553 new municipalities. The aim is to combat the shortage of properties in certain tourist areas...
New municipalities can now apply the tax on vacant dwellings (TLV), which applies to homes that have been unoccupied for at least a year. The scope of this tax was extended by the Finance Act for 2023 in order to combat the shortage of properties.
Which communes are eligible?
Until now, this tax could only be applied in municipalities belonging to a continuous urbanisation zone of more than 50,000 inhabitants, facing a marked imbalance between housing supply and demand, high property prices and rents... This results in them being classified as a tense zone.
A decree published at the end of August extends the scope of the TLV to other towns and cities, even if they are not located in a high-tension zone, but have the same imbalance or a high proportion of second homes. In 2024, the TLV could therefore be applied in 2,553 new towns, including 2,259 for tourism (located on the coast or in the mountains, such as Courchevel or Aime-la-Plagne), in addition to the 1,140 already eligible. This brings the total to 3,693 towns, the list of which is available here.
Which properties are liable for the TLV ?
In the municipalities concerned, the TLV must be paid by the owners (or usufructuaries) of residential property that has been unoccupied for at least one year (or less than 90 consecutive days in any one year) on 1 January of the tax year. The property must be unfurnished and have minimum amenities (electricity, running water, etc.). Tax is payable on each vacant dwelling held by an owner.
How much is it ?
The TLV is calculated on the basis of the rental value of the property. For 2023, the rate will rise from 12.5% to 17% for the first year of rental vacancy and from 25% to 34% for subsequent years.
When is it due ?
The TLV is sent out in November by the tax authorities, based on the tax returns filed in the spring.
What is the difference with the THLV ?
Communes that cannot apply the TLV can nevertheless apply the taxe d'habitation sur les logements vacants (THLV). This is levied on owners of dwellings that have been vacant for more than two consecutive years on 1 January of the tax year.
Translation provided by DeepL.com
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