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A Place In The Sun - Dec 2006 - Taxing Rent in France

Posted on Tuesday, 30 October 2007 11:25AM
Question: I am buying a property in France to rent out. Do I still have to pay income tax on the income even if I am not going to be living there?


Answer: For the purposes of this answer I am assuming that you are tax resident in the UK and not tax resident in France. If that is the case then you should be paying income tax in France on the income you receive in France and then also declaring that income on your UK tax returns as part of your world-wide wealth. However, you shouldn't pay tax twice as we have a double taxation treaty with France so you should be able to offset the tax you have paid in France against the tax you would have paid in the UK.


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