TLDR: Thresholds for furnished tourist rentals include full exemption for annual income not exceeding €760 and rent caps of €206/m² in Île-de-France and €152/m² in other regions for 2024. A flat-rate deduction of 30% applies to classified properties, with an additional 21% deduction under certain conditions.
Full exemption
For renting part of a primary residence, full exemption applies if annual income does not exceed €760 and rent is within regional limits: €206/m² in Île-de-France and €152/m² in other regions for 2024. These rules apply if the tenant establishes their primary residence in the property.
Tax deductions
For properties classified under Art. L. 324-1 of the Tourism Code, a flat-rate deduction of 30% on taxable income is provided. An additional 21% deduction applies if the property is not in an area with a supply-demand imbalance for housing and if the previous year’s turnover does not exceed €15,000.
Subletting
Exemption also applies to subletting, provided rentals are regular and open to the public. Professional activity is not required, but income must be declared in the appropriate section of the tax return, even if exempt.
General conditions
Furnished tourist rentals must be declared if income exceeds €15,000 per year. Taxpayers may choose to apply new or old rules for 2023. Changes introduced by Law No. 2023-1322 apply retroactively to 2023 income.
Required documentation
To qualify for exemptions and deductions, supporting documents are needed, such as:
- A rental agreement proving the tenant’s primary residence,
- Proof that rent is within regional limits,
- Income declaration not exceeding €760 per year for regular public rentals.
Geographic zones
The additional 21% deduction for classified properties does not apply if the property is in an area with a significant housing supply-demand imbalance.