Subsection 1: General provisions.

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L2334-1L2334-2L2334-3L2334-4L2334-5

Article L2334-5

French General Code of Local AuthoritiesIn force
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Updated 7 Nov 2023

The tax effort of each commune is equal to the ratio between:


1° The revenue received by the municipality the previous year in respect of property tax on non-built properties, council tax on second homes and other furnished premises not allocated to the main dwelling and property tax on built properties, excluding the compensation mentioned in c of 1° and b of 2° of C of IV of Article 16 of Finance Act no. 2019-1479 for 2020;


> 2° The sum of:



a) The proceeds determined by applying the average national municipal tax rate for each of these taxes to the municipal bases for council tax on second homes and other furnished premises not used as a main residence and to the municipal bases for property tax on non-built-up properties;


b) The proceeds determined by applying the average national municipal tax rate for each of these taxes to the municipal bases for council tax on second homes and other furnished premises not used as a main residence and to the municipal bases for property tax on non-built-up properties c) The product determined by applying the difference between the average national communal tax rate for this tax and the sum of the communal and departmental rates for property tax on built-up properties applied on the territory of the commune in 2020 to the communal tax bases for property tax on built-up properties. The weighted average rate for a commune is equal to the ratio between the sum of the income from the three direct local taxes calculated in accordance with 1° of this article and the sum of the net communal tax bases for property tax and council tax.


For municipalities for which the increase in the weighted average rate is greater than the increase in the weighted average rate for all municipalities belonging to the same demographic group, the latter increase is taken into account when calculating the tax revenue mentioned in the same 1°.



For municipalities for which the weighted average rate is lower than that of the previous year, it is the latter rate that is taken into account to determine the tax revenue referred to in the aforementioned 1°.



The tax bases used are the gross tax bases for the last year for which the results are known, and are used as the basis for municipal taxation. The average national rates used are those recorded in the last year for which the results are known. The resources and income used are those of the last year for which the results are known. For communes that are members of the Lyon metropolis, the departmental property tax rate for built-up properties refers to the property tax rate for built-up properties adopted in 2014 by the Rhône department.

Mariela Petrova

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A notary (notaire) is a public officer who authenticates specific deeds (mainly real-estate transfers and certain family-law acts). A corporate lawyer (avocat) advises on strategy, negotiates and drafts company documents, and represents you in disputes. The two roles complement rather than overlap.

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Mariela Petrova

Mariela Petrova

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15+ Years In Corporate Practice

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