The tracks of the government to compensate for the abolition of the housing tax

"The reform of local taxes will not be losers, to ensure Gérald Darmanin and Jacqueline Gourault in an interview with the newspaper Echoes . The minister of

The tracks of the government to compensate for the abolition of the housing tax

"The reform of local taxes will not be losers, to ensure Gérald Darmanin and Jacqueline Gourault in an interview with the newspaper Echoes . The minister of the Action and of the public Accounts and the minister of territorial Cohesion began Tuesday, the consultations with local elected officials, who are clearly of concern with regard to the compensation devices of the removal of the housing tax, seem somewhat complex.

" READ ALSO - The end of the housing tax for all the French still postponed

On this occasion, the two ministers unveiled to the economic newspaper, and several tracks being considered by the government to satisfy communities.

The entirety of the property tax would go to the common

During his general policy speech, prime minister Edward Philip had confirmed that the complete removal of the housing tax on principal residences will take place in 2023 rather than 2022 as he had planned, until then, the government. Campaign promise of Emmanuel Macron, the end of this local tax that would first occur at the edge 2021, will be finally contained in the Finance bill. Thus, while 80% of taxpayers in the more modest will be exempt from the tax as of next year, the removal will be in three stages for the 20% of households remaining, and the most affluent will have to wait an additional three years. "The gain will be the average of 723 euros per tax household for the 24.4 million households," says Jacqueline Gourault to Echoes .

" READ ALSO - local Authorities: expenditures better controlled in 2018

in the Face of the record tricky of the housing tax, which represents "a tax cut of 17 billion euros for citizens," the minister indicated that "the government's proposal to local elected officials is to give the entire property tax for the block communal". Thus, a municipality with a recipe of 60 property tax, and 100 of property tax" would benefit from "160 property tax", said Gérald Darmanin. "About 36.000 communes, 24,000 in total will receive more in property taxes than property tax before the reform. There are a few hundreds of communes that don't see the difference," says Jacqueline Gourault. And for the "10.000 common that this new resource will be lower", the government promises to "neutralise the case of under-compensation by allocating $ 1 billion of additional revenue from the State to local communities." As for the 10,000 rural communes among the 24,000 that will be "slightly surcompensées," the surplus of property tax be allowed if it does not exceed 15.000 euros.

in addition, the departments, which were until now part of this property tax, will be assigned "a portion of the VAT," said the minister of the Action and of the public Accounts, describing this tax as "very dynamic".

The levy of the television licence fee could be attached to the income tax

Yet maligned many times by Gérald Darmanin, the two ministers have told the Echoes that the television licence fee will be well maintained. The amount of 139 euros, it provides a significant part of financing of the public audiovisual sector and its disappearance, considered a time, would have resulted in a shortfall of 3 billion euros.

If the latter will ultimately be conserved, its collection which are operated at the same time as the housing tax will have to be modified. "The most likely option is to align the fee to the income tax, but this reform will take place later", has supported the minister of the Action and of the public Accounts.

Date Of Update: 19 June 2019, 00:00
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