Property tax exemption for the elderly and disabled – 01/10/2023 at 08:30

In a context of an increase in property taxes in nearly 20% of large cities, certain taxpayers can claim an exemption. The 2023 finance law brought some adjustments, broadening the beneficiary public.

Property tax exemption for the elderly and disabled-iStock-AndreyPopov

What are the criteria for exemption from property tax?

The property tax, a local tax due each year in October by the owners of a property (house, apartment, garage, land, etc.), allows municipalities to meet their operating expenses. In 2023, the increase suffered by owners will affect 19% of towns with more than 40,000 inhabitants. Alongside this increase, significant for some, the 2023 finance law broadens the conditions of exemption and relief for the elderly or disabled. To benefit from an exemption from property tax on the main residence, no special steps need to be taken, you simply need to meet certain criteria. It is granted without means conditions to beneficiaries of the ASI (Supplementary Disability Allowance) or the ASPA (Solidarity Allowance for the Elderly). As for holders of the AAH (Allowance for disabled adults) and people aged over 75, they are exempt subject to means testing (reference tax income less than €11,885 + €3,174 per additional half-share) . If the ceiling is exceeded, the benefit of the exemption is acquired for two years, including for a second home. For married couples, it is sufficient that only one of the spouses meets the condition of age or disability, if the accommodation is the own property of the elderly or disabled owner, or if the property belongs to the marital community.

What if the exemption conditions are not met?

Certain owners aged 65 to 75 (on January 1 of the tax year) who do not meet the total exemption criteria can nevertheless benefit, subject to means testing, from a reduction of €100 on their tax. . Here again, no action is required, it is automatically assigned by the administration. Likewise, a tax cap may be granted to owners under 65 years of age, provided that the reference tax income is less than €27,947 for the first share (+ €6,530 for the first half share in addition , and €5,140 for the other half-shares). The capping consists of eliminating the part of the property tax greater than 50% of the tax household’s income.

More specific situations

Elderly people residing in EHPADs or housed in a USLD (Long-Term Care Unit) who retain the enjoyment of their main residence can also benefit from this tax advantage. The 2023 finance law has just removed the conditions of occupation of housing, which can now be vacant or occupied. Owners of a new home or off-plan (off-plan sale) are potentially exempt from the tax for two years following the end of the work. Likewise, depending on the type of loan, a new building used as a main residence can allow exemption from property tax for 15 years. Finally, an owner can benefit from an exemption if his accommodation intended for rental is vacant, or in the event of involuntary non-use of a building intended for commercial use.

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