Vacant Property Tax in France: How to Avoid It Legally

Who Is Affected by the Vacant Property Tax in France?

The vacant property tax in France applies to homes left unoccupied for at least one year as of January 1 of the tax year.
It targets properties located in cities with more than 50,000 inhabitants experiencing housing shortages or rental tension zones.

According to French tax authorities, a property is considered vacant if it has been occupied for less than 90 consecutive days during the reference year.

The amount due is calculated based on the property’s cadastral rental value:

• 12.5% in the first year,

• and 25% from the second year onwards.

💡 This same cadastral value is also used to determine other local taxes such as the property tax and housing tax (if applicable).

How to Qualify for Exemption from the Vacant Property Tax

1. The Property Is Uninhabitable

A property is exempt from the vacant property tax in France if it is not fit for habitation.
To be taxable, the dwelling must be closed, covered, and equipped with basic amenities (water, electricity, and sanitation).

The exemption may apply if the cost of renovation or repair work exceeds 25% of the property’s market value.
Owners must provide supporting documentation such as quotes, invoices, photos, or expert assessments to justify the exemption request.

2. The Vacancy Is Beyond the Owner’s Control

Owners may also avoid the vacant property tax if the vacancy is not intentional.
This includes:

• A property listed for rent at market rates that has not found a tenant, with proof of active rental marketing (ads, emails, agency mandates).

• A property put up for sale under normal conditions but unsold.

• A property scheduled for redevelopment or demolition within an urban planning or construction project.

In these cases, property owners can request a reduction or full exemption from the TLV.

How to Contest the Vacant Property Tax in France

If you believe the tax has been wrongly applied, you can file an appeal through several channels:

• Online, via your account on impots.gouv.fr,

• By mail, to your local public finance center,

• Or in person, by visiting your local tax office.

Note: Filing a claim does not exempt you from paying the tax.
If the tax authorities fail to respond within six months, or if the decision is unfavorable, you can escalate the case to the Administrative Court.