With the housing tax, a strong incentive to build disappeared

Rebsamen’s 2021 report already stated that mayors were now more encouraged to organize activities than to build housing. 606526420/STORYTELLER – stock.adobe.com

Repealing the housing tax removed one of the strongest incentives for mayors to grant building permits. The fate of one municipality to another can be very different.

“When you have yours property tax increase, that’s not the government. (…) It is your municipality that decides. And it’s a scandal when I hear elected officials dare to say it’s the government’s fault.” The departure of the President of the Republic ten days ago did not help the mayor to loosen his ties. The dispute revolves around the reasons for the property tax increase. For the state, this explains the carelessness of local teams; the dangerous reforms implemented by the executive in recent years for the elected officials concerned.

The Association of Mayors of France (AMF), chaired by David Lisnard, had the pleasure of replying to the head of state that “All elected officials note that repealing the housing tax deeply destabilized local taxation by focusing only on property taxes. As of 2017, the executive has never proposed building a renewed framework.” What were the real consequences of these reforms, while tensions…

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