What you need to know about real estate tax returns in France in 2024

If you own a property in France, it's essential to be aware of the new reporting obligations that came into force on January 1st, 2023. This declaration concerns all property owners, whether individuals, companies or even non-trading property companies (SCI). In this article, we'll explain in detail what this entails and how to proceed with your declaration.

New reporting obligation in 2023

From the beginning of 2023, all owners of residential real estate are subject to a new declaratory obligation under Article 1418 of the French General Tax Code (CGI). This obligation applies to undivided owners, usufructuaries and non-trading property companies (SCI).

The aim of this step is to enable the tax authorities to better determine which owners are still liable for the taxe d'habitation on second homes or the taxe sur les logements vacants.

Deadline and benevolence of the tax authorities

The original deadline for this declaration was July 31. However, due to exceptional circumstances, it has been postponed to January 1st, 2024. It's important to note that this process is separate from your tax return. You must therefore ensure that you meet this reporting obligation, even if you have already filed your tax return.

It's important to note that the tax authorities will show kindness to late filers acting in good faith. For this year, no penalties will be applied in the event of non-declaration, error, omission or incomplete declaration. Penalties will only be applied from January 1st, 2024, following reminders to owners who have not made their declarations.

A fixed fine of €150 per property may be applied in the event of non-compliance.

Contents of the declaration

The purpose of the occupancy and rental declaration is to collect precise information on how properties are occupied. For each property, the owner must indicate whether it is occupied or rented. If rented, the identity of the occupants and the period of occupancy on January 1st, 2023 must also be entered.

Once the declaration has been validated, a summary PDF document will be made available to the declarant to confirm that the occupancy declaration has been taken into account.

Special cases

If you did not yet own the property on January 1, 2023, it is up to the former owner to complete the declaration of occupancy before August 10, 2023.

Assistance and resources

Given the dematerialization of this process, it is not possible to submit a paper declaration of your real estate. The tax authorities have set up several information channels to support you. You can find all the answers to your questions on the website (www.impots.gouv.fr) thanks to Frequently Asked Questions and a step-by-step guide to completing your declaration online. If you encounter any difficulties using the online service, the tax department's user assistance service is available Monday to Friday from 8:30 am to 7:00 pm. Y

ou can contact them by telephone on 08 09 401 401 (free service + price of a local call) or via your secure messaging system from your secure area on the website. This will enable you to leave a written record of any late submission of your declaration, proving your good faith. In short, the declaration of occupancy and rent for residential properties is a new obligation for all landlords in France.

Make sure you meet this obligation before the January 1st, 2024 deadline to avoid any future penalties.

The tax authorities are here to help you and answer any questions you may have, so don't hesitate to use the resources at your disposal to facilitate this important administrative process.

Don't hesitate to contact our real estate experts on the Côte d'Azur to find out more about the evolution of your tax and real estate duties.

+33 4 92 92 12 88

info@cotedazur-sothebysrealty.com