2015 continuation and gradual phase-out of local housing and property tax exemptions for low-income taxpayers

Article 75 of the 2016 finance act introduces a gradual exit from the exemptions from property tax on built land and from housing tax on the main residence granted to low-income elderly, widowed or disabled people. A taxpayer who loses the exemption remains exempt for the following two years, then receives an allowance of two thirds of the rental value in the third year and one third in the fourth. It applies from 2015 assessments to taxpayers exempt the previous year; for 2015, the exemption is restored through a tax relief. It notably concerns retirees who became liable to income tax after changes in its calculation, such as the removal of the widows' half-share.