French property tax for non-residents: what you pay on rental income

General information only. French tax rules change every year, and the rules of your country of residence matter too. This page does not replace advice from a tax lawyer, a chartered accountant or a notary: have your situation reviewed before you buy. We work with an accountant who specialises in non-residents.

The principle: France taxes French rent

A non-resident is taxed in France on French-source income (Articles 4 A and 164 B of the French General Tax Code). Rent from a property located in France is always French-source income. Tax treaties follow the same logic: income from real estate is taxed where the property is. Your country of residence then either exempts that income or gives you a credit for the French tax, depending on the treaty.

Income tax: a 20% minimum rate

Non-residents pay at least 20% on their net French income up to €29,579 (2025 income, filed in 2026), and 30% above that. If your average tax rate calculated on your worldwide income would be lower, you can ask for it to be applied instead.

Social charges depend on where you are insured

The 18.6% rate on furnished lettings applies from 2025 income onwards. The reduced 7.5% rate is claimed on the French tax return, based on the social security system you belong to on 31 December of the tax year. For the UK, it requires being covered by the UK social security system and not by a French one, subject to nationality or legal residence conditions.

Furnished letting (LMNP): why most of our clients choose it

LMNP (non-professional furnished landlord) status is open to anyone who lets a furnished property in France, resident or not, French or not. You keep it as long as your furnished rental receipts stay at or below €23,000 a year, or at or below your household's other earned income. From 2026 income (declared in 2027), the 2026 finance law also counts, for non-residents, earned income actually subject to an equivalent income tax in their country of residence. This keeps most expatriate employees in LMNP; if you live in a country with no income tax, such as the UAE or Qatar, have your situation checked.

Under the actual-expenses regime, you deduct your costs (loan interest, management, insurance, property tax, repairs) and the depreciation of the building, the works and the furniture. In practice, this often keeps the taxable rental profit close to zero for many years. The trade-off: since the 2025 finance law, the depreciation you deducted is added back when the capital gain is calculated on sale. An accountant prepares the yearly accounts; this is part of what we organise.

When you sell

A capital gain made by a non-resident individual is taxed at 19%, plus social charges (17.2%, or 7.5% if you are covered by an EU, EEA, Swiss or UK social security system). Allowances for the length of ownership reduce the gain each year: it becomes fully exempt from income tax after 22 years and from social charges after 30 years. A surtax of 2% to 6% applies to taxable gains above €50,000. The notary calculates and pays the tax at completion; in some cases, a tax representative must also be appointed, and the notary will tell you.

Other taxes to know

• Property tax (taxe foncière), paid each year by the owner.
• Real estate wealth tax (IFI), only if your net French real estate is worth more than €1.3 million.

This page summarises French rules for individuals owning a property directly. Owning through a company, inheritance and the rules of your own country are outside its scope.