Municipalities deprived of housing tax, the government tries to reassure them

Municipalities deprived of housing tax, the government tries to reassure them

The housing tax is set to disappear in 2019 for 80% of the French will not do the business of the municipalities. The government plans to redistribute various taxes and levies, but that does not reassure elected officials.

Municipalities deprived of housing tax, the government tries to reassure them

How will the disappearance of the housing tax be financed by 2023? If it represents a gain of 723 euros on average for 24.4 million households, the municipalities are worried. But the State had the idea of ​​giving them the property tax touched by the departments in compensation. “It is not by taking Peter to give Paul that we are going to change things. The department is the main financier of the municipalities, if part of its resources are withdrawn from it, it will inevitably be to the detriment of the investments that will be made in our municipalities in the future ”, fears Philippe Geslan, unlabeled mayor of Méricourt (Yvelines).

Concerned departments too

To compensate for the shortfall in the departments, the executive intends to transfer part of the VAT revenue to them. Not enough to reassure the president various right of the Assembly of the departments of France Dominique Bussereau: “We want to be able to freely administer our communities ”. Finally, the state ensures that it should pay the 17 billion euros for the reform without, he promises, increasing taxes and the deficit.