Home » News » Anne Hidalgo Criticized for Increasing Property Tax in Paris: Legal Proceedings and Lack of State Funding Explained

Anne Hidalgo Criticized for Increasing Property Tax in Paris: Legal Proceedings and Lack of State Funding Explained

Par Living Samuel
Published on 6 Sep 23 at 10:26 See my news Follow Actu Paris The case should be brought before the administrative court, but also before the Constitutional Council. (©CM/news Paris)

Criticized for increasing 52 % property tax in Paris, Anne Hidalgo replica. Asked about this, this Wednesday, September 6, 2023 at the microphone of LCI, the mayor of the capital was on the offensive, pointing out the lack of funds allocated by the State. The aedile indicated that a legal proceedings was going to be engaged.

From 900 million to 0 euros in state funding

In Paris, where the property tax rate now reaches 20.5%, Anne Hidalgo first conceded that this increase required “a very significant effort” from Parisian owners, stressing however that elsewhere – in Le Havre or Angers – this figure peaks at 54%. An increase for which the state would be at least partly responsible, according to her.

“The State has decided to pick the pockets of local communities (…). We went in 2015 from 900 million zero endowments, castigated the socialist mayor. We have decided to initiate litigation against the State, because the State does not respect the City and the Parisians. The State (…) does not respect its constitutional obligations”. Thus depriving Paris of part of its autonomy, forcing it to play on “the lever of taxes”.

Paris, “a solid community”

The case should therefore be brought before the administrative courts, and probably before the Constitutional Council”, as well as before “the European courts”, left Anne Hidalgo hovering. Defending “a solid community” and a “very controlled debt”, the former presidential candidate in 2022 also threatened to sue, “those who would come to the sets to explain that the City is bankrupt” .

In January 2022, the Court of Auditors looked into the capital’s budget, observing with concern that it had increased by 40% in five years reaching 7.713 billion euros. While the State has set the debt reduction alert threshold at 12 years, Paris displayed, on the eve of the health crisis, 11.2 years to repay its loans.

For example, Marseille could get out of debt in seven years and Lyon in 3.5 years before the Covid. A parallel to qualify by the fact that Paris endorses both the status of city and department.

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