Last Updated on February 20, 2024 by Kristina Valcheva
Are you a foreign landlord of a French rental property who finds navigating the nuances of French property taxes complicated and overwhelming?
Are you unsure if you are obliged to declare your income from French sources on a French tax declaration?
Our tax advisors can help.
If you own a French property and earn rental income, there are strict rules that must be followed. If you are a foreigner, you are obliged to file a French tax declaration as a non-resident because this revenue is taxable in France.
As a property owner in France, you need to be aware that it’s not enough to file a French tax return and claim your revenue from French sources only in your home country.
The French social security system is among the world’s most generous, however, it’s funded by significant social charges and taxes.
Yet, the assumption that France has higher taxes in comparison to the United Kingdom or Ireland for example is incorrect. The annual tax burden could be reduced if you claim all the allowable expenses.
Nonetheless, the French property tax and social security implications of having real estate there are far-reaching. It is worthwhile to understand them and take steps to limit your tax burden.
Property Tax International (PTI Returns) strongly advises that you file your French property tax return to avoid fines and potential problems with the French tax authorities at a later stage.
If you would like some help, our qualified property tax consultants will guide you through the process and ensure your tax affairs are in order.
Here, in this guide, you will find everything you need to know about the French tax declaration for non-residents with rental property.
Got questions? Request a free callback from a tax professional
I am a non-resident in France for tax purposes and I am renting out my property. Should I file a French tax declaration?
Yes. Let’s imagine that you are coming from the UK and you have a French property. In this situation, you should file two income tax returns. One in the UK, where you will claim your income from French sources, and one French tax return for non-residents in France.
Learn more:
Property Tax in France for Non-residents
How would the French tax inspector know that the property is rented out?
There are various tell-tale signs. Some of them could be, for example, the high electricity consumption most of the year, or the *Gardien(ne) who figures out the situation, or maybe Taxe d’Habitation applying to a secondary residence.
In other cases, the banks are reporting the income generated in France. Airbnbs are also reporting the rental income, etc.
*Gardien (ne) – In France, the gardien / gardienne is a lady or a gentleman who often resides on the ground floor, and sometimes is in charge of cleaning, parcel delivery, and post. Typically, they know important information about the building, its occupants, and the neighborhood.
You may have a false sense of security if you believe you are safe from French tax inspectors because you never had a problem with them in the past. What we know is that when tax fraud is identified, French tax authorities usually wait around three years before taking any action.
Learn more on Property Tax in France – The Ultimate Guide for Non-Residents Owning Property 
What if I live outside of France?
Even if you don’t live in France permanently, if you have income from French sources, you must declare your earnings on the form Cerfa no. 2042 (FORM N°2042/ Income Tax Declaration France) each year.
Then, you will have to submit your French tax declaration to the Non-Resident Personal Income Tax Service.
The good news is that if you have taxable income in France, tax treaties with your home country can be applied to prevent you from being taxed on the same income.
Our tax consultants guarantee that your French tax declarations will be filled out properly with the applicable tax treaties so that you avoid double taxation.
Do you want your worries dissolved and be sure that you’re in good hands when it comes to filing a precise and optimized French property tax return?
Am I qualified as a tax non-resident?
When it comes to taxation, not everyone who resides in France is deemed a resident. According to the Code Général des Impôts (CGI) as someone:
- whose primary residence is in France
- who carries out business activities in France
- whose investments are in France
As we discussed above, even if you don’t qualify as a French tax resident under these criteria, if you earn income there, you are obliged to submit a tax declaration in France. If you are not sure whether you are a tax resident or non-resident, simply contact PTI Returns.
We provide income tax return services for non-residents in France, and our tax experts will help you determine your residency status.
Is there a French tax declaration in English?
The French tax authorities do not provide an English version of the tax declaration in France for the time being. However, if you send the needed information to our qualified tax advisors in English, they will fill out your French tax declaration.
What are the personal income tax rates in France for non-residents in 2023?
Non-residents typically pay tax on their income from French sources at a tax rate of 20% for revenue up to €27,519, and 30% for revenue above this threshold.
What’s the difference between “régime micro” or “régime réel”?
The régime “micro-BIC” applies to a lessor whose annual income does not exceed a certain threshold. The real mode of taxation applies to lessors whose annual income exceeds the threshold for both non-classified (over €72,600) and classified (over €176,200) tourism accommodations or for those who have opted for it.
When is the tax deadline for submitting my French tax declaration? You have to submit your French income tax return for non-residents before May 15th.*
*The deadlines are determined every year by the French tax authorities, but they are usually around mid-May.
If the taxpayer fails to pay the tax on time, the French tax administration may impose fines. A 10% late payment penalty is included in these fines. The tax authorities in France may charge default interest of 0.2% per month of delay. The final decision depends on the French tax office for the additional penalties and interest applied.
What is our process for income tax return services?
- We will speak with you to determine your personal needs
- We will send you questions and you will send them back to us
- When we collect all the info & documents, we get to work and fill up your French tax declaration
- We file your French tax declarations online or on paper (on your behalf)
* We use the questionnaire to identify your residency for tax purposes, your personal tax situation, the most beneficial mode of taxation, any potential tax refunds, and also if you are eligible for any tax deductions, and tax treaties.
Why choose PTI Returns for your non-resident French income tax return?
Property Tax International (PTI Returns) is part of CluneTech, which employs more than 1,500 individuals in over 20 countries. We have over 25 years of international tax experience, and our tax advisors will keep you compliant with the French tax authorities.
Our in-depth understanding of the French tax system, particularly in respect to the taxation of French non-residents, means we’re qualified to help you file your French tax declaration and help you save from taxes by applying all the allowable expenses. If you have any additional questions, you can request a free call from our team on +353 1 635 3722.
We also can help you with:
Here is how to claim your French property VAT refund
Check out our detailed guide on French taxes for foreigners
What do we promise you?
Here are the benefits you earn when you choose us. You will:
- Save time and hassle by delegating your French tax declaration to experienced tax consultants. We will communicate with the tax authorities in France on your behalf if any issues arise
- Relief yourself from the mental burden of not filing properly your French income tax return due to language barriers
- Get a no-fuss, prompt, and friendly service
- Be reassured that we will take care of the tax paperwork in French, apply all tax deductions and tax treaties, follow deadlines, and changes in the French tax legislation
Do you want to make your French income tax return chore safe and smooth?
Оur tax experts can assist.
