JJ Jones I agree with you and I did seek professional advice in France …so many opinion on this matter.
In my case I do not want to sell yet my property and happy to rent it for few years but most website and people suggest me otherwise as I will be paying CGT in France at 36%…plus an extra 6% if the gain is more the 250.000 euro…below will copy and paste the reply I got from a french tax specialist so I hope can help other people but pls as JJones previously said …do seek professional advice as each scenario is different
- According to the UK/France tax treaty (article 6), a property located in the UK is taxable in the UK.
You told me that you will be taxable in the UK on the capital gain upon two years of rental.
Thus, you won’t be taxed in France but in the UK, and you will benefit from a tax credit in France.
But you will be subject to declaratory obligations in France (on the annual tax return+ form 2048-IMM by a notary).
- In consequence, tax to be paid in the UK on the capital gain. Tax credit granted in France
So If I go to France next year I can rent my house and sell it in few years and only paying CGT in UK as will become my secondary home while I rent in France
Many people told me not to rent as I will be taxed in France…
Thank you