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6 key things you need to know about Taxe Foncière

6 key things you need to know about Taxe FoncièreBenjamin Franklin, the 18th century American politician and the country’s first Ambassador to France once famously said that “nothing is certain but death and taxes.”

That is certainly true!
France has its fair share of taxes and one is the Taxe Foncière. This is one of two property taxes, the other being the Taxe d’habitation. In this article we are focusing on the Taxe Foncière including the key things you need to know.

1. What is the Tax Foncière?
The Taxe Foncière is a property ownership tax. Tax is payable regardless as to whether the estate is occupied – or not. It is important to note that the tax is payable not only on residential property but commercial and industrial buildings too. Land is also subject to the tax.

2. How is the Tax Foncière calculated?
The French government calculates the Taxe Foncière whilst the local commune decides the overall amount payable by the property owner. A notional rent is calculated for each house or building, taking regard of the size, condition and location of the property.
Properties are regularly revalued, which means the amount property owners will pay can increase over the years.

3. How is the money collected used?
The tax revenues fund services in your local commune and intercommunal services such as waste disposal, street cleaning, road maintenance and fire services.

4. Are there any exemptions from paying the Taxe Foncière?
There are some exemptions from paying the tax as well as reductions in specific circumstances.
Elderly persons over the age of 75 are exempt if their income falls below a specific amount. Over 65s low income households and those with registered disabilities may also be exempt or receive a reduction.
If you own a new build residential property less than two years old, have an empty property or own farmland you may similarly qualify.
Please note this is not an exhaustive list. If you think you may be eligible consult a professional for further advice.

5. When is the Taxe Foncière due for payment?
Tax notices are issued in early October for payment in the middle of this month. You can pay online, by telephone or directly at the tax office. There is an option to pay as one sum or in monthly payments.

6. What are the penalties for non-payment?
Property owners are liable to a fine of 10% of the amount payable in situations relating to non-payment, partial payment or late payments.

For further information about your local Taxe Foncière, please speak to your Mairie.