Perpetuation of the tax loophole and extension of the VAT exemption: here are the two “big gifts” given by the government to Airbnb according to two opposition parliamentarians, Ian Brossat and Julien Bayou. “Instead of regulating furnished tourist accommodation as demanded by parliamentarians and mayors from all sides and all territories, the government took advantage of 49.3 to offer two big gifts to Airbnb,” declared Julien Bayou in a press release.
“On July 5, 2023, the Council of State ruled that the VAT exemption for rentals of furnished tourist accommodation created a situation of unfair competition towards hotels, in contradiction with European directives,” explains the senator. Ian Brossat. “Bercy has chosen to create a legal subterfuge” by extending the VAT exemption “to hotels which do not provide para-hotel services”, a proposal which according to Ian Brossat “eliminates unfair competition” but “will not have no effect because almost no hotel in France is affected.”
“Measurette”
Another amendment to the 2024 draft budget aims, on the contrary, to reduce the tax advantages currently enjoyed by furnished tourist accommodation such as Airbnb, Abritel or Booking, by reducing the reduction on rental income from 71% to 50%. But according to Julien Bayou, this “only concerns a tiny portion of rentals on Airbnb, even in tense areas”. The environmentalist MP believes that “this measure leaves room for the proliferation of furnished tourist accommodation to the detriment of long-term accommodation”.
The federation of furnished rentals such as Airbnb, the National Union for the Promotion of Vacation Rentals (UNPLV), is opposed to this reduction, estimating in a press release that “lowering the flat-rate reduction increased in this way would be a hard blow for the purchasing power of many small owners in a context of rising prices. » Overseas elected officials also opposed this amendment, believing that it would threaten activity and employment in their territories.