Annual tax on vacant housing: extended to 28 urban areas and higher rates

The 2013 Finance Act extended the annual tax on vacant housing to all municipalities in continuous urban areas of over 50,000 inhabitants with a tight housing market. The vacancy period triggering the tax was cut from two years to one, and rates were raised to 12.5% of the rental value in the first year and 25% thereafter (compared with 12.5%, 15% and 20% under the amending finance act of 16 August 2012, which had raised the rates from 10%, 12.5% and 15%). The list of municipalities was set by Decree No. 2013-392 of 10 May 2013 (28 urban areas).