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Do you want to heat yourself with a high-performance gas boiler? VAT will increase from January 1, 2025 to install one.
GAS – Another bad news for the wallets of some households. While the price of gas already saw a significant increase last July, West France reveals that VAT on gas boilers, which was previously 5.5%, will increase to 10%. The decree published on December 24 concerns the equipment and installation of these boilers. This while the country failed to adopt a budget for 2025, and a special finance law had to be passed.
According to information from the Ministry of Ecological Transition West France, VAT on the equipment and installation of very high energy performance gas boilers (THPE) will now be 10% from January 1, 2025. Although the decree was only published on December 24, it was nevertheless signed on December 4 by Laurent Saint-Martin, Minister responsible for the Budget and Public Accounts, Agnès Pannier-Runacher Minister for Ecological Transition, and Valérie Létard Minister responsible for Housing, before that the Barnier government falls.
While certain equipment will continue to benefit from a reduced VAT rate of 5.5%, heat pumps for example, this is no longer the case for THPE boilers. Initially, the 2025 finance bill even planned to increase this rate to 20%. But the text was not adopted (the Prime Minister triggered 49.3) and the government was censored. In the absence of a budget, “this decree therefore already allows us to go from 5.5% to 10% for gas boilers”, specifies the ministry on a daily basis. “By decree, we can only move from one reduced rate to another reduced rate,” he adds.
No change for quotes already signed
However, individuals who have already ordered and paid for their gas boiler can rest assured, “the value added tax rate of 5.5% remains applicable (…) for operations having been the subject of a dated estimate, accepted by both parties and having given rise to a deposit collected before January 1, 2025″, assures the ministry. Same thing for the maintenance and repair of said boilers, the VAT rate remains at 5.5%.
A decree denounced by professionals in the sector, who are concerned about the purchasing power issues of certain individuals. “It’s a steep regulatory step”writes Synasav (Union of climate engineering maintenance companies).
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