Taxes increased in 37% of French cities in 2015

Nearly four out of ten French major cities increased their taxes in 2015, on average by 1.8%, according to a study by the Forum for the management of cities and local authorities published on Saturday, September 19 by Le Figaro. 37% of cities with more than 100,000 inhabitants increased taxes on households (housing tax and property tax) in 2015, a first for three years, details this study, unveiled on the day when the mayors of France are mobilized to alert on the consequences of the drop in State grants to local communities.

In 2009, the year of the last increase in local taxes on households, they had jumped 5.1%, recalls the Forum which therefore considers the increase this year “moderate”. “This increase is certainly higher than what elected officials wanted to do. But it is much lower than what it will be next year when we will experience a catching-up phenomenon compared to the usual electoral cycle”, explains to the Figaro Olivier Régis, President of the Forum. Because if 2015 is an electoral year (departmental and regional), traditionally little subject to significant unpopular tax increases, there will be no election in 2016.

“All the political colors have participated in this inflation”

In detail, with regard to the housing tax, the largest increase was recorded in Toulouse (+ 11.5%, i.e. 112 euros more per taxpayer), ahead of Lyon (+ 4.2%), Bordeaux ( + 3.7%) and Marseille (+ 3.3%). Lille, however, remains the large city where this tax is the highest (with a rate of 45.65%), ahead of Marseille and Nîmes. Housing tax is calculated on the basis of the theoretical net rental value of the accommodation.

As for the property tax, it is in Lille that it increased the most in 2015 (+ 23.3%), ahead of Toulouse (+ 13.3%) and Strasbourg (+ 6%). On the list of cities where this tax is the most important, Grenoble is in first place, ahead of Angers and Caen. “All the political colors have participated in this inflation, even if the right is more represented at the top of the ranking,” notes Le Figaro.

Companies have also seen their property contributions increase (+ 0.7%), again after three years of stability. The drop in allocations should represent a shortfall of 15.8 billion for the municipalities by 2017.

(with AFP)

In which cities do we pay the most local taxes?

  • In which cities do we pay the most taxes?
  • In which cities do we pay the most taxes?
  • In which cities do we pay the most taxes?