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John McGuirk

France Discovers the Taxable Loo

France wants to count toilets, showers and running water as extra taxable space in millions of homes. Officially, it is a cadastral update. In practice, the French taxman has found his way behind the bathroom door.

If there is a problem that European politicians cannot seek to solve by increasing taxes on their own citizens, it has yet to reveal itself. Even by those standards, the latest stunt from France is astonishing: millions of people are to see their homes classified by the tax authority as substantially larger than they actually are, just for the now taxable privilege of having a shower, a bath or even running water.

According to the Directorate General of Public Finances (DGFiP), properties are getting a “notional” bump in their “taxable surface area”. That is to say, if a home is a certain size, the government is going to start counting it, for tax purposes, as bigger, depending on what it contains. To be precise: 4 sq m for running water, another 4 sq m for a shower, 5 sq m for a bathtub, 3 sq m for a toilet and so on for electricity, heating and the rest. The average home with taps, a bath, a shower and a toilet will suddenly be 16 sq m larger than it actually is, for tax purposes.

That is about two normal-sized car-parking spaces.

A Tax Base With Running Water

This “reliabilisation of the cadastral records”, a fine example of clear legislative language if ever there was one, is expected to hit around 7.4 million homes with an average increase of €63 ($73) per year. That might not sound like much on the face of it, but for pensioners and families already squeezed by energy costs and inflation, it is probably a bit of a kick in the teeth, or indeed somewhere even more painful.

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