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Local taxes: high bill in 2010

Monday Sep 6, 2010

With the start of the season back taxes. It was then that households receive in their mailbox the tax notice for the property tax. Those in council tax will not be long. Taxpayers have until midnight Oct. 15 to set the first and the second until November 15.

Overall, the grade will be less painful than last year, while remaining salt. And for several reasons. Local taxes are calculated by multiplying the rental value of housing as determined by the administration by a tax rate voted by the regions, departments or municipalities. Each year, the rental value is increased at national level to keep pace with inflation. In 2010, the increase was fixed at 1.2% against 2.5% in 2009.

Moreover, local officials have been generally a bit lighter this year.According to the Forum for the management of cities, communes and intercommunal more than 100,000 people have on average increased their tax rate on property tax and residence tax of 2.8% in 2010 almost two times less than in 2009 (5.2%).

Period of "midterm"

The same goes for the departments, with an average increase in tax rates of 2.5% this year against 6.3% last year. The regions are, themselves, remain wise as last year (up 0.1% after 0.7%). Still, this level has little in local taxes.

In total, therefore, households should have their council tax increase of 3.7% and 3.9% this year to mark the foundation added a 1.2% rate hike, while confused level, a just over 2.5%. It is far from moderate. But this is not the disaster of last year, the bill had increased by 6%."We are already half-term in cities. No longer the period of strong increases in revenue, "says Olivier Regis, Chief Executive of the Forum.

The average may conceal wide disparities. Thus, the Parisians are increased by 8% tax rates on housing and property tax. And after an increase of 9% last year! Local taxation, traditionally very low in Paris, still remains low. A household with two children in middle-income pay, according to calculations Forum, 435 euro tax shelter in the capital, against 1180 euros in Nimes.

Better also do not live in Montreuil (increase 10.3%), Argenteuil (+9%), Perpignan (+8%) or in Rouen (+8%). In terms of departments, people in the Yvelines are penalized with an increase of 14.8%.

Conversely, some elected officials have been reasonable.In half of the departments and half of the cities over 100,000 inhabitants, the rates have not budged in 2010. Among these include Bordeaux, Montpellier, Lille, Grenoble and Tours. Rodez has even dropped his residence tax of 1%!

In 2011, with the reform of business tax, the municipal level will be the one to collect the tax shelter, while the regions will lose property tax. The system will be simpler. But will they be elected more virtuous? "Taxpayers can expect some moderation. For the inheritance, the other important community resource, go back with the recovery of real estate, "predicts Olivier Regis.

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