The decree of December 18, 2014, establishing the list of departments for piloting the revision of rental values for residential premises as provided for in Article 74 of Law No. 2013-1279 of December 29, 2013, amending the 2013 Finance Law, lists the departments for piloting the revision of rental values for residential premises as provided for in Article 74 of the amending Finance Law for 2013.
The departments selected for the pilot program of the revision of rental values are:
- Charente-Maritime;
- the North ;
- the Orne;
- Paris ;
- the Val-de-Marne.
The rental value of each property or portion of a property is determined based on the state of the rental market. It takes into account the nature, location, and characteristics of the property or portion of the property in question. The rental value of exceptional properties may be determined by direct assessment using a rate to be defined during the pilot phase.
The government must submit a report to Parliament no later than September 30, 2015. This report outlines the consequences of the revision for taxpayers, local authorities, inter-municipal public cooperation establishments, and the State. It examines how the revision is carried out while maintaining constant tax revenue for local authorities and focuses in particular on measuring:
- tax transfers between categories of taxpayers;
- the impact of the revision on the financial and fiscal potential of local authorities, the distribution of state grants and equalization instruments.
