France 2025 Property Tax & Rental Updates Every Owner Should Know

As 2025 approaches, property owners in France will face a number of important administrative and fiscal changes. Whether you rent out a furnished property or simply own your home, it’s essential to understand how the new rules may affect your tax obligations and property management.

At LBS in France, we know how complex French property regulations can be — so we’ve summarised two key updates that every homeowner and landlord should be aware of for the year ahead.

1.Major Changes for Furnished Rentals in 2025

Significant changes are coming for furnished rentals in 2025 — both in terms of paperwork and taxation.
By May 20, 2026, all furnished tourist accommodation rentals must be registered online. Property owners will need to provide proof that the property is their primary residence, such as a tax notice showing the address. These requirements stem from the law of November 19, 2024, which updated the legal framework for furnished rentals. This declaration of primary residence can be done via your online tax account.

If you are renting out accommodation for tourism purposes, then some fiscal changes you need to be aware of.  For landlords using the micro-BIC tax system, new fiscal rules take effect in 2025:

For unclassified furnished tourist rentals:

• The turnover threshold for themicro-BIC regime is lowered from €77,700 to €15,000.
• The tax reduction rate is reduced from50% to 30%.

For classified furnished tourist rentals and guest rooms:

• The turnover threshold is lowered from€188,700 to €77,700.
• The tax reduction rate is reduced from71% to 50%.

If your turnover exceeds €15,000 or €77,700 (depending on the type of furnished rental) for two consecutive years(years N-2 and N-1), you are now required to switch to the real taxation regime(régime réel d’imposition). This is a whole different system of declaration and you will need to inform your tax office of this change of regime.

If you rent out furnished accommodation, it’s important to review how these changes could impact your income declarations for 2025 that you will make in 2026.

Professional tax account
To manage professional lettings, VAT declarations, ensure that you set up your online tax account.  If you do not yet have a professional account, you must create one from the homepage of impots.gouv.fr by selecting “Access your professional space” and then “Create my professional space” (see the “Create a simplified professional space” information sheet).

Activation of a new account currently takes about one day. This account will then allow you to complete all declaration procedures related to the real taxation regime.You can find more details on the official Service Public website.

2.Property Tax (Taxe Foncière): What You Should Know

The taxe foncière, or property tax, applies to both residential and commercial real estate. It is calculated based on the nature of the property — whether it includes permanent buildings — and contributes to funding local community services.

Types of Property Tax

• Taxe foncière sur les propriétés bâties— applies to permanent buildings such as houses and apartments, as well as related structures like garages, pools, and gardens.
• Taxe foncière sur les propriétés non bâties— applies to land without permanent buildings, such as plots with caravans, mobile homes, or agricultural structures.

Who Is Liable?
The person who owns the property on January 1st of the year the tax bill is issued is responsible for paying it.

Exceptions and Exemptions

• Usufruct holders(those with long-term or lifetime usage rights) are liable for the property tax, even if they are not the legal owners.
• Some towns offer atwo-year exemption for new builds. To qualify, you must declare your construction within 90 days of completion.
• +75 year olds may get full exemption primary home in France if under certain earning thresholds.
• 65-75 year olds may bet -100 euros deducated from their fonciere bill if income is very modest. Check with your tax office to see if you can benefit from this.

Even if you benefit from an exemption, you are still responsible for paying waste collection charges (ordures ménagères).

Payment Details
Bills are issued in September, with payment due by October 15th. If paying online, you have until October 20th, and the amount will be debited approximately ten days later. You can also choose to pay in ten monthly instalments from January to October.

Your taxe foncière can be accessed and managed online via your personal space on www.impots.gouv.fr.

Finallly, whether you’re renting out a furnished property or managing your annual tax obligations, these new regulations highlight the importance of staying informed. French property rules can shift quickly — and keeping on top of them helps you avoid surprises and make smart financial decisions.

At LBS in France, we assist homeowners, landlords, and new residents in navigating these administrative changes with clarity and confidence.