Furnished Rental Property Owners: Failure to Register Costs 100 Million

Behind the simplicity of the micro-BIC tax regime lies a fiscal time bomb. Hundreds of thousands of landlords still fail to register with the INPI to obtain a SIRET number, even though this is mandatory for any furnished rental business. This oversight could cost them dearly at a time when the DGFiP is tightening the screws and could deprive municipalities of tens of millions of euros in revenue.
 

A Formality Often Overlooked
Furnished rentals attract new investors every year, drawn by their tax benefits and simplified management. But many are unaware that, legally speaking, this is a commercial activity subject to mandatory registration with the INPI. The process is free and quick, yet still widely neglected.
According to cross-referenced data from the DGFiP and the SIRENE registry, only 884,827 furnished rental businesses are currently registered, out of nearly 1.2 million landlords who file tax returns. In other words, nearly one in three landlords operates without a SIRET number. According to Stéfano Demari, president of JD2M (Jedéclaremonmeublé.com), this is due to widespread lack of awareness:
 

“Under the micro-BIC regime, the reporting system does not block unregistered landlords. As a result, many people mistakenly believe that a SIRET number is not required. ”
The risk is increasing with the reform of the micro-BIC regime under the Le Meur Act, which restricts the tax benefits of short-term rentals. Many landlords will have to switch to the actual income tax regime starting in 2025, a transition that makes the SIRET mandatory for filing tax returns.
 

An oversight that can be costly
On the surface, failing to register does not result in an immediate penalty. But the tax consequences can be severe. The SIRET number establishes the date business operations began, which serves as the starting point for deductible expenses and depreciation. Registering too late means losing several months of tax deductions—or even depreciation on property or equipment.
 

“For an investor, this date may be the date of purchase of the property or the date of the first renovations carried out before the property was rented out,” explains Baptiste Bochart, a lawyer at JD2M. “If this date is not reported correctly, expenses incurred before registration will not be deductible. This can result in a sometimes significant loss of tax benefits.”
 

This risk is all the greater as rental companies are increasingly moving toward accurate reporting, whether voluntarily or by mandate. Between regulatory changes and increased oversight by the DGFiP, the era of administrative approximations is coming to an end.
Municipalities Are Also Losing Out
The lack of registration not only penalizes individuals; it also deprives municipalities of a significant portion of the Business Property Tax (CFE), which furnished rental property owners are required to pay.
 

According to JD2M, approximately 350,000 businesses are currently exempt from this tax. Simply applying the minimum contribution (€243 in 2025) represents at least 85 million euros in lost revenue for local governments. And even this figure is likely an underestimate: some non-exempt businesses would likely owe much higher amounts. “We’re likely approaching 100 million euros in lost revenue for municipalities,” estimates Victor Peltier, CEO of JD2M. “All it would take to solve the problem is to require the SIRET number for all micro-BIC rental income tax returns.” ”
A simple fix to implement, which would have the merit of providing security for landlords… and giving local finances some breathing room.
 

Toward an Inevitable Regularization
With the growing prominence of the actual income tax system, the digitization of the tax system, and the expansion of the furnished rental market, the issue of registration can no longer be overlooked. Landlords will need to comply with regulations, or risk encountering issues when filing their 2025 tax returns.
Experts advise taking proactive steps: register as soon as the first expense is incurred, verify the activity codes (68.20A or 55.20Z), and regularly check for updates on the INPI website.
 

Behind a simple SIRET number lies an essential administrative requirement for securing one’s income and protecting one’s assets. When it comes to furnished rentals, overlooking this requirement is never a trivial matter.