Hello to you all.
I am researching a permanent move France and had a couple of questions I was hoping some of you could help me with:
We have a couple of buy to lets we would rely upon for income. For the price of another BTL in the UK we could buy a home in France. However, rent from a BTL in the UK (after tax) would allow us to rent a house similar or perhaps better than one we could afford to buy for the same amount in France. What would you do, buy in France or rent?
I understand that tax is paid in the UK on rental incomes and under the double taxation treaty with France we would not be taxed twice. However, I did read that, despite social charges being classified as a tax under the treaty, some people are still getting stung for social charges in France. I understood from the article I read that the outcome was pending. Does anyone know the situation?
One thing that is really difficult to get a handle on is how much is enough to live on in France. And of course it's a bit of an open-ended question, but it is hard to relate each situation one reads about to ones own circumstances. As a generalisation (i.e. not living in Paris, nor living in the woods on berries and nuts) would a net income of 2500 Euro be enough to live on (two of us and a 5-year old)? Of this we would have to also pay rent. I have done some sums and it comes out with a couple of hundred a month spare (see below), but is this realistic? Will we be on the border-line?
Health Insurance 1,740.00
Tax Habitation 900.00
Car and Home Insurance 840.00
Service and car maintain. 600.00
Total PA: 26,760.00
Total per month 2,230.00 Euro