Social-housing surcharge: income must be annualized from the 3-month average

ATA/443/1996Court of Justice / Administrative ChamberAug 27, 1996Annulled

Extracted by Omnilex

Omnilex summary

The Tribunal administratif held that a 19% drop in salary amounts to a significant change of income within the meaning of Art. 11(3) RLGL. For a tenant whose income fluctuated over a three-month period, the housing authority could not annualize only one month’s wages. It had to annualize the average income actually received over the three months. The surcharge decision was therefore set aside.

Omnilex headnote

Art. 11 al. 3 RLGL; social-housing surcharge; determination of income where remuneration fluctuates. A reduction in salary of 19% constitutes a significant change in income within the meaning of Art. 11(3) RLGL. When income varies over a relevant three-month period, the authority may not rely on a single month for annualization; it must base the annual projection on the average of the income actually earned during the three months. Using one isolated month would distort the assessment and is incompatible with the purpose of the provision.

Full text

Descripteurs

SURTAXE; LOGEMENT SOCIAL; LOGEMENT; BASE DU REVENU; ANNUALISATION; REVENU; IEA

Normes

RLGL.11

Résumé

Une baisse de salaire de 19 % est une modification significative du revenu, au sens de l'article 11 alinéa 3 RLGL. Pour calculer cette baisse, le Tribunal administratif a pris en compte la moyenne des salaires réalisés par le locataire durant 3 mois. En présence d'un revenu fluctuant sur trois mois, l'OLS ne peut se contenter d'annualiser le revenu d'un seul mois, mais doit annualiser la moyenne des revenus perçus durant les trois mois.

Keywords

social housingsurchargeincome assessmentannualizationfluctuating incomesalary decreaseaverage income

Extracted by Omnilex

Key legal questions extracted by Omnilex

Key legal question

Whether a 19% salary decrease constitutes a significant change of income under Art. 11(3) RLGL, and how fluctuating income must be annualized.

Extracted holding

Yes. A 19% salary decrease is a significant modification of income. Where income fluctuates over three months, the authority must annualize the average income earned during those three months, not the income of a single month.

Extracted reasoning

The court held that using one month alone would distort the assessment when earnings are variable. The proper reference point is the average of the actual income received over the relevant three-month period.

Social-housing surcharge: income must be annualized from the 3-month averageAI generated