A welcome helping hand, but under conditions
The property tax weighs more heavily on the budget of owners each year, but you should know that the State offers financial assistance which is put in place by the municipalities, but not all. In fact, this boost is only possible in the municipalities which voted an exemption from property tax for the benefit of renovated old housing.
The renovations concerned are those which aim to reduce the ecological footprint. This means that to benefit from it, it is not only necessary to fulfill a certain number of conditions, which we will see a little later, but also to contact the municipality of your municipality to find out if it has implemented this tax exemption or not.
Each municipality had until October 1, 2023 to register for this project. Last year, 453 municipalities voted for partial or total exemption from property tax in the event of energy renovation work. The aim is to encourage owners to take action in their homes in order to reduce the number of thermal sieves.
A tax exemption in favor of ecology
As you have understood, this exemption from property tax is an incentive measure insofar as the objective is to encourage owners to carry out energy renovation work. Thus, owners who embark on the path to more eco-responsible housing will be rewarded with a return on investment.
To hope to benefit from the property tax exemption, the planned work must aim to reduce energy consumption of your accommodation. This work will therefore have benefits both for the environment, since it will allow a reduction in greenhouse gas emissions, and for you and your wallet, in the long term, since you will benefit from more comfortable and comfortable accommodation. less energy consuming.
What exemption can you hope for?
The amount of the exemption depends on the extent of the work and its nature. Likewise, it may vary depending on your geographic location.
The majority of the municipalities concerned choose total exemption, i.e. 100%, but others only offer 50% exemption, for 3 years in both cases.
As a general rule, the exemption is applicable from the year following payment of the total amount of the work and submission of the application.
Eligibility criteria
- Firstly, it is up to you to ensure that this tax system is made available in the locality where your property is located. To do this, you can contact the tax center or the town hall.
- You must also be the owner-occupier or lessor owner of the property in question, regardless of whether it is a primary or secondary residence.
- It must be an old home completed before January 1, 1989.
- The amount of work must exceed €10,000 (excluding labor) during the year preceding the application for exemption or €15,000 if the expenses were paid during the 3 years preceding the request .
- The work carried out must fall within the framework of those which made it possible to benefit from the old tax credit for the energy transition, that is to say thermal insulation, replacement of windows or the heating system, carrying out an energy audit, etc.
- The equipment and materials used must be eligible.
You should know that this aid can be combined with other aid such as MaPrimeRénov’, energy savings bonuses or reduced rate VAT.
How to proceed ?
To apply for property tax exemption, it is necessary that the work is completed and you have paid the bill global.
If you are in this case, you must send your request on plain paper to the tax service before January 1 of the year from which the exemption is applicable. If you actually benefit from an exemption, then it will be applied the year following your work.
The exemption request must integrate different information as :
- the date of completion of the accommodation;
- the company which was responsible for the site;
- a copy of the invoice with the amount of the work, as well as their nature.