Taxe foncière is a little back-to-school gift we could do without. This inescapable local tax for French property owners is set to rise by a further 1.7% this year. This automatic increase, based on inflation, applies to all properties in the Paris region and the rest of France. The first property tax notices have already been sent out since August 25, with payment dates that must be respected. Fortunately, some property owners can benefit fromexemptions depending on their age, resources or situation.
Each year, the tax authorities apply a flat-rate increase to cadastral rental values, the basis for calculating property tax. For 2025, the increase is 1.7%, the most moderate in several years, following increases of 7.1% in 2023 and 3.9% in 2024. This is due to the slowdown in inflation, measured by the harmonized consumer price index published by Insee in November 2024.
All owners and usufructuaries of real estate on January 1, 2025 are affected by this property tax, whether they live in or rent out their property. In Île-de-France, where property values are high, this increase represents several dozen extra euros per year for most owners. For example, for a property with a rental value of 4,000 euros and cumulative rates of 40%, the property tax will automatically rise from 1,600 euros to around 1,627 euros in 2025.
The 2025 property tax notices are arriving according to a precise timetable set by the tax authorities. The first mailings were sent out on August 25, 2025 for taxpayers who do not pay monthly. If you have opted for payment spread over the year, your notice will arrive later, between September 22 and October 8, 2025.
For dematerialized notices, the dates are slightly different. Taxpayers who have opted for electronic receipt can consult their property tax notice online from August 28, 2025 if they are not on a monthly basis, or from September 20, 2025 for those who have opted for monthly payment. You will be notified by e-mail when your notice is available in your personal space on impots.gouv.fr.
Payment of the 2025 property tax is subject to strict deadlines, depending on the method of payment chosen. For online payment via internet, smartphone or tablet, the deadline is midnight on October 20, 2025. This option is compulsory for all amounts over 300 euros.
For other payment methods (cheque, bank transfer, cash), the deadline is earlier: October 15, 2025. Please note that this traditional payment option is only available if your property tax is less than 300 euros. Above this threshold, electronic payment becomes compulsory.
Owners who have opted for the monthly payment system pay their property tax in ten instalments between January and October. If the final amount differs from the estimate, an adjustment is made in November. To take advantage of this facility in 2025, you had to sign up before June 30, 2025.
Calculation of the 2025 property tax is based on the cadastral rental value of your property, i.e. the theoretical annual rent it could generate if rented out. This value, initially established in 1970 for built-up properties, is updated each year by a revaluation coefficient. In 2025, this coefficient is 1.068, an increase of 1.7%.
The cadastral rental value is subject to a flat-rate allowance of 50% to take account of management, insurance and maintenance costs. This tax base is then multiplied by the tax rates voted by the local authorities: commune, inter-commune and sometimes département, depending on the area.
In the Île-de-France region, these rates vary considerably from one commune to another. Paris has one of the highest property tax rates in the region, while some communes in the outer suburbs apply more moderate rates. This disparity explains the significant differences in property tax rates between homeowners for properties of similar value.
Several categories of homeowner can be totally or partially exempt from the 2025 property tax on their principal residence. This exemption mainly concerns the elderly, disabled or people on very low incomes.
Recipients of the ASPA (Allocation de solidarité aux personnes âgées) and theASI (Allocation supplémentaire d'invalidité) are automatically exempt, regardless of their means. This exemption applies even if they are living in a retirement home, provided they retain the use of their former home.
People over 75 years of age on January 1, 2025 are also eligible for total exemption, but only on a certain income. Their reference tax income for 2024 must not exceed 12,704 euros for one family quotient share, plus 3,393 euros for each additional half share.
AAH (Allocation aux Adultes Handicapés - Disabled Adult Allowance) recipients are eligible for the2025 property tax exemption, but only if their income meets the same ceilings as those for people over 75. The 2024 reference tax income must not exceed 12,704 euros for one part, plus 3,393 euros for each additional half-part.
This means-test is assessed at the level of the tax household. For example, a married couple, one of whom receives theAAH, will be exempt if their combined income does not exceed 19,097 euros in 2024. Theexemption applies automatically if the conditions are met, with no particular steps to be taken.
Owners aged between 65 and 75 on January 1, 2025 do not benefit from a total exemption, but can obtain a flat-rate reduction of 100 euros on their property tax. This reduction applies automatically if their 2024 reference tax income respects the same ceilings as for total exemption.
This rebate only applies to the main residence, and is only granted if the home is owned personally by the beneficiary, or is jointly owned with an eligible spouse. If only the younger spouse owns the property, the reduction does not apply.
A property tax capping mechanism exists to limit the burden on the budgets of low-income households. Under this provision, property tax on the principal residence is capped at 50% of the taxpayer's annual household income.
To benefit from this ceiling, three conditions must be met. The 2024 reference tax income must not exceed 29,815 euros for the first family quotient share, plus 6,966 euros for the first additional half-share and 5,484 euros for each subsequent half-share. The owner must not have been subject to theIFI(Impôt sur la fortune immobilière) and must complete form 2041-DPTF-SD before December 31, 2026.
Owners of vacant rental properties can apply for a property tax rebate if the property has been vacant for at least three months. This situation must be beyond the owner's control, for example due to major works or marketing difficulties.
The rebate is calculated on a pro rata basis for the period of vacancy, and must be requested from the tax office before December 31, 2025. Appropriate supporting documents must be provided to justify the involuntary vacancy of the property and its causes.
Failure to pay the 2025 property tax by the due date will automatically incur a penalty of 10% of the amount due. This penalty applies from the first day of delay, without prior formal notice from the tax authorities.
In the event of temporary financial difficulties, it is possible to apply to the public accountant for a deferment of payment or an ex gratia payment. This request must be made before or immediately after the due date, and must justify the exceptional situation encountered.
A little-known scheme enables homeowners to obtain a 3-year property tax exemption after carrying out energy-efficiency renovation work. This incentive measure, voted locally by certain communes in the Paris region, can represent thousands of euros in savings.
To benefit from this exemption, several conditions must be met. Your home must have been completed before January 1, 1989, and you must have carried out a minimum of 10,000 euros of eligible work in the year preceding the application, or 15,000 euros over the previous three years. All amounts include VAT, excluding labor.
Eligible work includes thermal insulation, replacement of heating equipment, installation of renewable energy systems, installation of a double-flow CMV or removal of an oil tank. This exemption can be partial (50%) or total (100%), depending on the local council's decision.
Please note: not all communes in the Paris region offer this scheme. It's essential to check with your local council before starting any work. Paris voted for this exemption in December 2022, and it has been applicable since 2024 for a period of three years. The declaration must be submitted to the public finance center before January 1 of the year of application, together with all supporting documents for the work.
A major reform of cadastral rental values is scheduled for 2028, with a new calculation method based on actual market rents. This revision, originally scheduled for 2026, has been postponed to allow for better preparation.
A campaign to collect rents from landlords will be launched in the first half of 2025 to feed the new database. This reform will reshuffle the cards between territories and property types, with winners and losers depending on the evolution of the local real estate market since 1970.
The 2025 property tax remains an unavoidable local tax for homeowners in the Paris region, with a moderate but widespread increase. However, a number ofexemptions and rebates are available to ease the burden on low-income households. Don't hesitate to check your eligibility for the various rebates, and to scrupulously respect payment dates to avoid penalties.
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