FRENCH PROPERTY TAX
Understanding French Property Tax is a must for all property holders in France. Especially, it is very essential to be clear about the taxes levied and how they can be managed. What is a property tax or to be general, a tax? Taxes are levied for owning property in France. After buying a property in France, it is a must for a resident or a non-resident to pay taxes for their French property.
South of France Real Estate has varied opportunities for the buyers from both inland and foreign lands. Also the mortgage in France helps investors in buying property in France. One can avail certain privileges on being a resident or non-resident. Details about it are discussed later in the article. Now coming to the types of taxes, there are two local taxes payable on a French property termed as taxe foncière and taxe d’habitation. The first one is known as property tax for owners and the second one is known as occupancy tax for occupiers.
The first type of tax is charged on the value of the property owned, comfort level, type of building and surface area. The second type is one in which the owner of the property keeps it as holiday residence and pays the occupancy tax based on the rental value of the property as defined by the local authorities. If the occupier of the French property does not pay the tax, then the owner of the property is liable to pay it.
To get a clear idea on types of taxes, one has to know about the authorities who decide the tax rates in France. The local authorities of a region and collectivité territoriale determine the rates and they may vary from region to region. So, it is advisable to look into the tax slabs and invest in property. Taxe foncière when compared to taxe d’habitation will be high and may be twice the amount of the occupancy tax. Generally, the 1st of every January is the due date for paying the French property tax. The property owner or the occupant will receive the bills in the months of August or September and the taxes have to be paid on or before the stipulated period. For the occupants or for those who come under taxe d’habitation, the French government gives an option to pay tax in monthly installments.
When buying a property in France it is always recommended to check the price rate of the region, tax exemptions and privileges given by the local authorities. When paying the tax bills, if one feels that the tax assessment is high, local Mairie are there to help in the tax assessment process.
Provence real estate has many offers for its both foreign and local investors. The price rate may increases during holidays, as South France is forever a holiday spot! Mortgage in France is also flexible for both residents and non-residents. On fulfilling these requirements one can own property in France.
South of France Real Estate has varied opportunities for the buyers from both inland and foreign lands. Also the mortgage in France helps investors in buying property in France. One can avail certain privileges on being a resident or non-resident. Details about it are discussed later in the article. Now coming to the types of taxes, there are two local taxes payable on a French property termed as taxe foncière and taxe d’habitation. The first one is known as property tax for owners and the second one is known as occupancy tax for occupiers.
The first type of tax is charged on the value of the property owned, comfort level, type of building and surface area. The second type is one in which the owner of the property keeps it as holiday residence and pays the occupancy tax based on the rental value of the property as defined by the local authorities. If the occupier of the French property does not pay the tax, then the owner of the property is liable to pay it.To get a clear idea on types of taxes, one has to know about the authorities who decide the tax rates in France. The local authorities of a region and collectivité territoriale determine the rates and they may vary from region to region. So, it is advisable to look into the tax slabs and invest in property. Taxe foncière when compared to taxe d’habitation will be high and may be twice the amount of the occupancy tax. Generally, the 1st of every January is the due date for paying the French property tax. The property owner or the occupant will receive the bills in the months of August or September and the taxes have to be paid on or before the stipulated period. For the occupants or for those who come under taxe d’habitation, the French government gives an option to pay tax in monthly installments.
When buying a property in France it is always recommended to check the price rate of the region, tax exemptions and privileges given by the local authorities. When paying the tax bills, if one feels that the tax assessment is high, local Mairie are there to help in the tax assessment process.
Provence real estate has many offers for its both foreign and local investors. The price rate may increases during holidays, as South France is forever a holiday spot! Mortgage in France is also flexible for both residents and non-residents. On fulfilling these requirements one can own property in France.
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