Verified on January 1st, 2021 – Department of legal and administrative information (Prime Minister), Ministry of Urban Planning
The development tax applies to all operations which are subject to an urban planning authorisation: construction, reconstruction and increasing the size of buildings, development and installations of any kind. It also applies to the change of use of agricultural premises. It is payable by the beneficiary of the building or development permit or by the person responsible for an illegal construction.
General Case
Introduction of the development tax
The development tax is a unique tax composed of:
- a communal or intercommunal share,
- a departmental share.
Each share is introduced by deliberation of the local authority: municipal council and departmental council.
- Commune that has a local urbanism plan or a land use plan
- Urban community or city
- Other commune
Deliberations that introduce the tax, forgo receipt of it or remove it remain in force for at least 3 years. They must be made prior to November 30th in order to be applicable on January 1st the following year.
Calculation of the development tax.
The amount of the tax is calculated on the basis of the flat-rate value using the following formula :
(taxable surface area x flat-rate value x communal or intercommunal rate) + (taxable surface area x flat-rate value x departmental rate)
The calculation of the amount of the development tax depends on the nature of the project.
Development tax calculation simulator
Ministry of Urban Development
Warning: the simulator is not up to date for the rates applicable in 2020.
Constructions
The taxable surface area of constructions corresponds to the sum of the closed and covered surface areas calculated based on the bare interior façades. Surface areas with a ceiling height of 1.80m or less, as well as ducts, stairs and lifts are deducted
The taxable surface area is composed of :
- all parts of a building which have a ceiling height of more than 1.80m,
- as well as all of its annexes, such as garden sheds.
A non-closed building (a pergola or an arbour for example) or an uncovered installation, such as a terrace, are not included in the taxable surface area. However, a closed and covered veranda is taxable.
NB: the transformation of an attic or a garage that is already part of the house into a habitable room is not subject to the development tax.
A flat-rate value is attributed per sqm of taxable surface area. It is revised each year based on the construction cost index.
|
Annual value of the development tax per square meter |
||||
|
2017 |
2018 |
2019 |
2020 |
2021 |
|
€705 |
€726 |
€753 |
€759 |
€767 |
Tax rate
The rate of the communal or intercommunal and departmental shares is set by deliberation prior to November 30th of each year to come into effect on January 1st of the following year.
The deliberation is valid for a period of 1 year.
It is systematically renewed the following year if a new deliberation has not been adopted prior to November 30th.
The communal or intercommunal share ranges between 1 % and 5 %.
It can be raised up to 20 % by a justified deliberation.
This is the case when new constructions make it necessary to:
- carry out substantial roadwork or work on networks
- or create general public facilities
In the absence of a deliberation setting the rate of the communal or intercommunal development tax share, the tax systematically introduced in the communes that have a local urbanism plan or a land use plan. The rate is set at 1 % by default.
NB: the rate can vary depending on the sectors of a commune. If the construction or the development is carried out a site with different rates, the lowest of the rates is applied.
The rate of the departmental share is the same throughout the entire department.
The departmental council (or the Corsica assembly) determines the rate in a deliberation.
The rate of the departmental share is capped at 2,5 %.
Deductions and exemptions
|
Operations benefiting from deductions or exemptions |
||||||
|
50 % deduction of the set-rate value |
Systematic exemptions |
Optional exemptions (1) |
||||
|
Communal or intercommunal and departmental share |
Communal or intercommunal share |
|||||
|
All constructions |
Construction up to 5 sqm |
X |
||||
|
Housing |
100 first sqm of a building used as a main place of residence and its annexes |
X |
||||
|
Surface area of a building used as a main place of residence and financed with a zero percent interest loan that does not benefit from the 50% deduction for the first 100 sqm (up to 50 %) |
X |
|||||
|
Garden sheds and dovecotes which are subject to a prior declaration (even a garden shed that can be dismantled are taxable) |
X |
|||||
|
Premises used as living quarters or subsidised accommodation benefiting from a reduced VAT rate |
X |
|||||
|
Social housing or accommodation financed with a state-backed housing loan (PLA-I) / Very social housing (LLTS) |
X |
|||||
|
Social housing benefiting from a reduced VAT rate |
X |
|||||
|
Reconstruction |
Reconstructing a building destroyed or demolished less than 10 years ago back to its previous state |
under certain conditions |
||||
|
Reconstruction after damage caused to a building of the same nature on another piece of land |
X |
|||||
|
Classified building |
Buildings classified as historical monuments or registered in the supplementary inventory of historical monuments |
X |
||||
|
Industrial, artisanal or commercial premises |
Premises and annexes used for industrial or artisanal purposes |
X |
X |
|||
|
Multi-professional health centre |
X |
|||||
|
Retail outlet with a surface area used for sales of < 400 sqm. |
X |
|||||
|
Warehouse or depot closed to the public and used for commercial purposes. |
X |
|||||
|
Car park |
Surface annexe à usage de stationnement des logements sociaux bénéficiant des prêts PLUS, PLS, PSLA |
X |
||||
|
Parc de stationnement couvert faisant l’objet d’une exploitation commerciale |
X |
|||||
|
Surface de stationnement intérieur des immeubles autres que les maisons individuelles |
X |
|||||
|
Agricultural holdings or cooperatives |
Serre de production |
X |
||||
|
Local de production et de stockage de produits à usage agricole |
X |
|||||
|
Local destiné à abriter les récoltes, les animaux et le matériel agricole, |
X |
|||||
|
Local de transformation et de conditionnement des produits de l’exploitation |
X |
|||||
|
Equestrian centre |
Surface des local affectée aux activités équestres (manèges et locaux de stockage) |
X |
||||
|
Risk prevention plan
|
Aménagements prescrits par un PPR |
Sous certaines conditions |
||||
|
Public service |
Constructions affectées à un service public ou d’utilité publique |
X |
||||
|
Specific perimeters and zones |
Construction et aménagement réalisé dans un périmètre d’opération d’intérêt national (OIN) |
X |
||||
|
Construction et aménagement réalisé dans une zone d’aménagement concerté (ZAC) |
X |
|||||
|
Construction et aménagement réalisé dans le périmètre de projet urbain partenarial (PUP) |
X |
|||||
|
(1) Les collectivités territoriales peuvent exonérer, en tout ou partie, certaines constructions de la part communale, départementale ou régionale sur un pourcentage de leur surface. La délibération doit être prise au plus tard le 30 novembre pour une application le 1er janvier suivant. |
||||||
Declaration
When the building permit, development permit or the preliminary declaration of building work is lodged, the applicant must complete a declaration form concerning the information required to calculate the taxes. The declaration form can be found in the building permit file or the work declaration file. An instruction sheet is also provided.
Payment
The amount of development tax to be paid is established by the “direction départementale des territoires” (Departmental Directorate of Territories). The bill is sent to the beneficiary of the planning authorisation by mail within six months of said authorisation being issued.
Depending on the case, the tax is due at the applicable rate on the following date:
- When the building or development permit is issued.
- When the modified permit is issued.
- When a tacit building or development permit is established
- When a decision is made to not object to a preliminary declaration of construction work.
- When minutes record the completion of constructions carried out illegally or without authorisation
If the development tax amounts to less than €1 500, the payment order is sent within a period of 12 following the date upon which the authorisation was issued. It is paid in one single installment.
If the development tax amounts to more than €1 500, it is paid in two equal installments. The payment orders are sent 12 and 24 months after the authorisation is issued.
The payment deadline is the 15th of the 2nd month after the payment order is sent out.
If payment isn’t made, the administration has a period of 5 years following the date upon which the payment order is sent to undertake debt recovery action.
The administration has up until the 31st of December of the 4th year following the date upon which the autorisation or the decision is issued to claim the tax. The period is extended to the 31st of December of the 6th year following the completion of the work in the event of construction or development carried out illegally or without authorisation.
Paris Region
Introduction of the development tax
The development tax is a unique tax composed of:
- a communal or intercommunal share,
- a departmental share.
Each share is introduced by deliberation of the local authority: municipal council and departmental council.
- Commune that has a local urbanism plan or a land use plan
- Urban community or city
- Other commune
Deliberations that introduce the tax, forgo receipt of it or remove it remain in force for at least 3 years. They must be made prior to November 30th in order to be applicable on January 1st the following year.
Calculation of the development tax.
The amount of the tax is calculated on the basis of the flat-rate value using the following formula :
(taxable surface area x flat-rate value x communal or intercommunal rate) + (taxable surface area x flat-rate value x departmental rate)
The calculation of the amount of the development tax depends on the nature of the project.
Development tax calculation simulator
Ministry of Urban Development
Warning: the simulator is not up to date for the rates applicable in 2020.
Constructions
The taxable surface area of constructions corresponds to the sum of the closed and covered surface areas calculated based on the bare interior façades. Surface areas with a ceiling height of 1.80m or less, as well as ducts, stairs and lifts are deducted
The taxable surface area is composed of :
- all parts of a building which have a ceiling height of more than 1.80m,
- as well as all of its annexes, such as garden sheds.
A non-closed building (a pergola or an arbour for example) or an uncovered installation, such as a terrace, are not included in the taxable surface area. However, a closed and covered veranda is taxable.
NB: the transformation of an attic or a garage that is already part of the house into a habitable room is not subject to the development tax.
A flat-rate value is attributed per sqm of taxable surface area. It is revised each year based on the construction cost index.
|
Annual value of the development tax per square meter |
||||
|
2017 |
2018 |
2019 |
2020 |
2021 |
|
€705 |
€726 |
€753 |
€759 |
€767 |
Tax rate
The rate of the communal or intercommunal and departmental shares is set by deliberation prior to November 30th of each year to come into effect on January 1st of the following year.
The deliberation is valid for a period of 1 year.
It is systematically renewed the following year if a new deliberation has not been adopted prior to November 30th.
The communal or intercommunal share ranges between 1 % and 5 %.
It can be raised up to 20 % by a justified deliberation.
This is the case when new constructions make it necessary to:
- carry out substantial roadwork or work on networks
- or create general public facilities
In the absence of a deliberation setting the rate of the communal or intercommunal development tax share, the tax systematically introduced in the communes that have a local urbanism plan or a land use plan. The rate is set at 1 % by default.
NB: the rate can vary depending on the sectors of a commune. If the construction or the development is carried out a site with different rates, the lowest of the rates is applied.
The rate of the departmental share is the same throughout the entire department.
The departmental council (or the Corsica assembly) determines the rate in a deliberation.
The rate of the departmental share is capped at 2,5 %.
Deductions and exemptions
|
Operations benefiting from deductions or exemptions |
||||||
|
50 % deduction of the set-rate value |
Systematic exemptions |
Optional exemptions (1) |
||||
|
Communal or intercommunal and departmental share |
Communal or intercommunal share |
|||||
|
All constructions |
Construction up to 5 sqm |
X |
||||
|
Housing |
100 first sqm of a building used as a main place of residence and its annexes |
X |
||||
|
Surface area of a building used as a main place of residence and financed with a zero percent interest loan that does not benefit from the 50% deduction for the first 100 sqm (up to 50 %) |
X |
|||||
|
Garden sheds and dovecotes which are subject to a prior declaration (even a garden shed that can be dismantled are taxable) |
X |
|||||
|
Premises used as living quarters or subsidised accommodation benefiting from a reduced VAT rate |
X |
|||||
|
Social housing or accommodation financed with a state-backed housing loan (PLA-I) / Very social housing (LLTS) |
X |
|||||
|
Social housing benefiting from a reduced VAT rate |
X |
|||||
|
Reconstruction |
Reconstructing a building destroyed or demolished less than 10 years ago back to its previous state |
under certain conditions |
||||
|
Reconstruction after damage caused to a building of the same nature on another piece of land |
X |
|||||
|
Classified building |
Buildings classified as historical monuments or registered in the supplementary inventory of historical monuments |
X |
||||
|
Industrial, artisanal or commercial premises |
Premises and annexes used for industrial or artisanal purposes |
X |
X |
|||
|
Multi-professional health centre |
X |
|||||
|
Retail outlet with a surface area used for sales of < 400 sqm. |
X |
|||||
|
Warehouse or depot closed to the public and used for commercial purposes. |
X |
|||||
|
Car park |
Surface annexe à usage de stationnement des logements sociaux bénéficiant des prêts PLUS, PLS, PSLA |
X |
||||
|
Parc de stationnement couvert faisant l’objet d’une exploitation commerciale |
X |
|||||
|
Surface de stationnement intérieur des immeubles autres que les maisons individuelles |
X |
|||||
|
Agricultural holdings or cooperatives |
Serre de production |
X |
||||
|
Local de production et de stockage de produits à usage agricole |
X |
|||||
|
Local destiné à abriter les récoltes, les animaux et le matériel agricole, |
X |
|||||
|
Local de transformation et de conditionnement des produits de l’exploitation |
X |
|||||
|
Equestrian centre |
Surface des local affectée aux activités équestres (manèges et locaux de stockage) |
X |
||||
|
Risk prevention plan
|
Aménagements prescrits par un PPR |
Sous certaines conditions |
||||
|
Public service |
Constructions affectées à un service public ou d’utilité publique |
X |
||||
|
Specific perimeters and zones |
Construction et aménagement réalisé dans un périmètre d’opération d’intérêt national (OIN) |
X |
||||
|
Construction et aménagement réalisé dans une zone d’aménagement concerté (ZAC) |
X |
|||||
|
Construction et aménagement réalisé dans le périmètre de projet urbain partenarial (PUP) |
X |
|||||
|
(1) Les collectivités territoriales peuvent exonérer, en tout ou partie, certaines constructions de la part communale, départementale ou régionale sur un pourcentage de leur surface. La délibération doit être prise au plus tard le 30 novembre pour une application le 1er janvier suivant. |
||||||
Declaration
When the building permit, development permit or the preliminary declaration of building work is lodged, the applicant must complete a declaration form concerning the information required to calculate the taxes. The declaration form can be found in the building permit file or the work declaration file. An instruction sheet is also provided.
Payment
The amount of development tax to be paid is established by the “direction départementale des territoires” (Departmental Directorate of Territories). The bill is sent to the beneficiary of the planning authorisation by mail within six months of said authorisation being issued.
Depending on the case, the tax is due at the applicable rate on the following date:
- When the building or development permit is issued.
- When the modified permit is issued.
- When a tacit building or development permit is established
- When a decision is made to not object to a preliminary declaration of construction work.
- When minutes record the completion of constructions carried out illegally or without authorisation
If the development tax amounts to less than €1 500, the payment order is sent within a period of 12 following the date upon which the authorisation was issued. It is paid in one single installment.
If the development tax amounts to more than €1 500, it is paid in two equal installments. The payment orders are sent 12 and 24 months after the authorisation is issued.
The payment deadline is the 15th of the 2nd month after the payment order is sent out.
If payment isn’t made, the administration has a period of 5 years following the date upon which the payment order is sent to undertake debt recovery action.
The administration has up until the 31st of December of the 4th year following the date upon which the autorisation or the decision is issued to claim the tax. The period is extended to the 31st of December of the 6th year following the completion of the work in the event of construction or development carried out illegally or without authorisation.