Investors in Property Logo Investors in Property Logo

French Buyers' Info

  • Switzerland
  • France
  • Austria

Property Restrictions for Foreigners

What are the rental income tax rates after deductions?

Non-residents pay French tax on the taxable income at a flat rate of 20%.

As explained above, you may make a lot of deductions before calculating your actual taxable income or if your gross rental income (i.e. the total rental income before deductions) from furnished lettings is less than €32,900, the taxable income may be calculated under the Micro-BIC, a simplified deduction scheme that simply taxes 50% of the gross income (i.e. 50% of the gross rental income – so the total income with no deductions at all – is automatically deducted in place of actual expenses).

No expenses need be demonstrated, no accounts are required and no separate tax forms for the business need be prepared. The main drawback of this regime is that it always shows a fixed taxable profit i.e. it can never show a lower net profit or a loss.

Information correct as of 1st January 2024. This may change as rules and regulations change often, so please contact us directly if you have any specific enquiries.