France's National Assembly approved an amendment extending the Loc'Avantages tax scheme until 2032, aiming to boost rental intermediation and affordable housing.
Vote approves tax extension
The National Assembly approved an amendment on October 30, 2026, to extend the Loc'Avantages tax scheme until December 31, 2032, as part of the review of the 2027 finance bill. The amendment, I-1511, was supported by 25 deputies against 21 opponents, with 35 abstentions.Amendment changes tax incentives
The amendment aims to improve the Loc'Avantages scheme for landlords using rental intermediation—approved organizations that manage shared property rentals. It would replace the current tax credit with a cap of 4,000 euros per tax household for eligible situations, especially benefiting those with low income tax.New rules for property management
The amendment also allows the use of the micro-property regime under the scheme and raises the limit for property deficits to be applied to total income to 15,300 euros for affected properties. These changes are included in the text of amendment I-1511, which was adopted with the vote.Unclear repayment terms
The amendment includes a provision for repaying excess tax credits when they exceed the tax due, up to 4,000 euros per household. However, this only applies to amounts deducted from the tax due, meaning the actual refundability for non-taxable property owners remains unclear.Government opposes amendment
During the same session, Minister of Public Action and Public Accounts David Amiel criticized the amendment, arguing it went beyond a simple extension by altering the tax treatment of rental intermediation, micro-property, and property deficits. The government opposed the measure, while the finance committee supported it.Goal is affordable housing
The reform seeks to increase private housing with controlled rents without relying solely on new construction. Property owners benefit from rent reductions and tax incentives, while tenant households depend on income limits and subsidized housing availability.Rental intermediation framework
The National Housing Agency (Anah) notes that rental intermediation can include management by approved organizations and rent guarantees, such as those offered by the Visale Housing Action program. This context supports the idea of a targeted tax incentive for sustainable and affordable rentals.Extension pending final law
The amendment applies to 2026 revenues and future years, but its implementation depends on the final adoption of the 2027 finance law. The Senate and budget process may still modify or remove the measures passed in the first reading.
