Tax d'habitation

[DonD]

I am registering as a newbie in France and am looking for advice on what to do regarding the tax d'habitation. What I need to know is the breakpoints and structure of this. I am in a position where I can control the amount of income I have in France, both by declaration and into my bank. Obviously, I am not looking to cheat or act in an illegal way. I do however have some options and want to know the extend of the cost to me by declaring (and bringing into my French bank) either a minimum (say €18K pa) or a maximum (say €48K+ pa). If the difference is minimal, then it would be easier to bring in the larger amount. The house is the same either way so that element is constant. If there are breakpoints along the income curve, then an idea of what they are may guide me to an optimal solution. Thanks.

[Bevdeforges]

Hi there - I've moved this to the French section, as taxe d'habitation is generally only of concern to those living in France.

Basically, taxe d'habitation is part of what most folks know as property tax or "rates" elsewhere. In France, the tax on your living quarters is divided into two parts. There is a tax levied against the owner of the property (the landlord, if you're renting), and a separate tax levied against whoever is living in the property as of January 1st of the year.

Both taxes are based to some extent on the size of the property - livable square meters, determined by a formula which adds square meters for such upgrades as flush toilets, sinks, bathtubs, showers, central heat, air conditioning and swimming pools. The taxe d'habitation is also based partly on the number of people inhabiting the property.

Your income is not part of the calculation - though that comes into play for income tax and, if applicable, the wealth tax (called ISF).
Cheers,
Bev

[glentheleg]

Just to add on to what Bev had to say, on the service public site you'll find several exemptions from paying the taxe, one is based upon your income. It, however, has to be small enough that you are receiving the APL I think. Check the site, it's helpful so long as your french is good.

Glen

[DonD]

Thanks Glen.