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Hello,

We're moving to France in August and own a flat in London that we will be renting out. Will we have to pay tax on any earnings we make on the flat? It's not likely to be that much but I don't want to get into trouble! We're going to try to keep the money in our UK account - does that make a difference?

Thanks for any advice.

Lizzie
 

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Hello,

We're moving to France in August and own a flat in London that we will be renting out. Will we have to pay tax on any earnings we make on the flat? It's not likely to be that much but I don't want to get into trouble! We're going to try to keep the money in our UK account - does that make a difference?

Thanks for any advice.

Lizzie

Hi,
Under the Double Tax Treaty any income from UK sited real estate is taxable only in the UK. You should contact HMRC about getting "non-resident landlord " status ;

see here;HM Revenue & Customs: The Non-resident Landlord Scheme

many find they pay no or little UK tax as their personal allowances cover the rent if they have no other UK taxable income.
Although not taxable in France the rent has to be declared so it can be taken into account to calculate your french tax rate used for any french taxable income--the rent itself should not be taxed in France.
Keeping the money in a UK account makes no difference. Apart from UK rents and a UK government (not state retirement) pension, all your income will be taxable in France.
One word of warning. Last year , due to some french tax offices not understanding the new Double Tax Treaty, many people getting rents from the UK were wrongly charged tax and social contributions on their UK rents; most have since been refunded but some cases are still grinding on. You can find much info about this on this and other forums.
 

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Hi,
Under the Double Tax Treaty any income from UK sited real estate is taxable only in the UK. You should contact HMRC about getting "non-resident landlord " status ;

see here;HM Revenue & Customs: The Non-resident Landlord Scheme

many find they pay no or little UK tax as their personal allowances cover the rent if they have no other UK taxable income.
Although not taxable in France the rent has to be declared so it can be taken into account to calculate your french tax rate used for any french taxable income--the rent itself should not be taxed in France.
Keeping the money in a UK account makes no difference. Apart from UK rents and a UK government (not state retirement) pension, all your income will be taxable in France.
One word of warning. Last year , due to some french tax offices not understanding the new Double Tax Treaty, many people getting rents from the UK were wrongly charged tax and social contributions on their UK rents; most have since been refunded but some cases are still grinding on. You can find much info about this on this and other forums.
Hi there, do you happen to know if interest on any capital invested in UK accounts
is taxable in France or just UK, would social charges also be applicable?

Thanks for any advice...
Chrisnjac :confused:
 

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Hi there, do you happen to know if interest on any capital invested in UK accounts
is taxable in France or just UK, would social charges also be applicable?

Thanks for any advice...
Chrisnjac :confused:
Hi,
Interest on bank and BS deposits , dividends and all similar income from capital is taxable only in France, and also subject to social charges ( dividends get a generous income tax treatment).
You should contact HMRC about getting interest paid gross , or if that is not possible (some banks won't do it) reclaiming UK tax paid.
 
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