Rental income on second homes in France

A basic rule of life is that income is taxed. Somehow somewhere. That’s the basic rule anyway. Some people seem to manage to use the rules to their advantage but that isn’t what this brief article is about.

Apartment for sale in st Gervais

So if you have a second home in France then you rent out then you will have to pay tax on the income. It doesn’t matter if you live in France or elsewhere. The tax should be paid in France in the first instance. If you live in the EU then the double taxation rules apply. This means that if you pay less tax to the French authorities than you will have done in your home country then you should pay the difference in your home country.

  • If you get an income from a second home in France then you will need to submit a tax return in France.
  • If you live in the UK then you will need to declare the income there too (but the double taxation rules apply).

The basic rate of tax on this rental income in France is 20%. Since January 2012 there has been an attempt to collect a further 15.5% in Social Charges on rental income and Capital Gains too. This has recently been deemed illegal by the European union.

Anyone who paid this extra tax in the meantime is entitled to a refund.

There are a couple of different regimes under which you can register yourself for tax purposes in France. They are quite different and the best way forward is often not clear to the uninitiated. I would suggest that the best option is to speak to an accountant. In the Haute Savoie  we would be happy to introduce you to our English speaking contacts at SAREG they will be available for an initial consultation at their offices in Les Gets or St Pierre en Faucigny.

7 thoughts on “Rental income on second homes in France

  1. kirsten burnett

    This is a very interesting thing to know. I know of some people who own different places in europe. so I hope that they know these things. I will have to show it to them.

  2. Johan Sjogren

    Valuable info in terms of taxation, but are there any rules of thumb regarding how much of a season you will have to rent out your property (or how much you are allowed to use it your self) in order to still get a VAT refund? Majority of season? More than 80%?? etc etc
    How and to which govenmental institution do you report these contracts? Are they locally negotiated with the local rental management company?

      1. Johan Sjogren

        Ok, I´ll do that. Thanks anyway. You have a great blog!
        Have a nice day. Regards, Johan

  3. Phil Kennedy

    Hi. Good blog.

    Can you recommend a good English speaking accountant in St Gervais?

    Appreciate your help.

    1. Gareth Jefferies Post author

      I would recommend SAREG. We have worked with them for almost 20 years. They have offices in St Pierre en Faucigny, which is between Geneva airport and St Gervais.


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