That’s what I thought Graham…so renting my house in uk for 2 years…reasons…( to avoid 10k bank penalty first as Im stuck on a fix rate for another 2 years and also to make sure we want to live again in France for the rest of our days…after we sell there is no going back as we would never be able to afford the house again in UK ) seems the difference will be will be expensive as our property has already generate 200k in profit. In UK the CGT won’t be much as we lived for 8 years as a main residence and if we rent it for 2 well my accountant said we will be charged only for that 2 years (based on 80/20 calculation we will be charged CGT on 40k) mines 12.500 allowance x 2 .
The relief in France will be 6% each years from year 6 so in our case will be 30% ( owned the house for 10 years in total for the French system…sadly they do not take into account the year we lived as a main residence) reduction on CGT in France plus another reduction for social charges around 8.25%.
If Im not wrong we would still have to pay around 25 thousand euro if not more with social charges… even after receiving a tax credit for what we paid in UK…I hope Im wrong but not sure the best solution
thx
Any chance of living in the UK house, making it your main residence for 12 months then selling it… CGT free… or don’t you have a 10 year Carte de Sejour which allows you out of France for that long…
I do know folk who moved out of their main home and into their gîte (in the next village) for 12 months for just this reason … it was a few years ago, so no idea if it’s possible nowadays.
Thx for your reply Sunbeam…well w do not need a carte de sejour as we both have european passports…we want to move to France next summer so I didnt quite understand when you said …" living in the UK house, making it your main residence for 12 months then selling it"…we are currently living in our UK property
thx
Ah… sorry… didn’t have the full gist of your situation. Thought you were already in France and selling later in UK…
We sold before we moved so had no problems…
Hope you get sorted.
Thats ok…well that will be the scenario …being in France by next summer and sell our UK property at later stage …seems like not a good idea
Thx for your last reply…just wondering since I started this complicated topic discussion…did you assume I will buy a property to live in France when I will move next year and rent my house in Uk ?
If I rent a place in France …does my UK home will become a secondary residence ?
thx
I never assume anything 
for whose purposes? France or UK tax purposes? Length of stay - so many variables it’s not possible to be specific at this point.
France tax purpose…so going to France next summer permanently with my partner by renting a french flat and at the same time renting our UK property for about 2 years to avoid early fees mortgage penalty.
Then my idea is to sell the UK property and use the money to purchase one in France
We have European passports but dont think makes any difference
Thx
it does in respect to your ability to remain in France with FOM, of course - lucky you!
Does this reference help?
lol i do not understand FOM…so sorry…so based on my scenario will I pay CGT in France ?
Thank you
wow - this is still going!
@Pat99 - I recall you recently posted you are EU citizens! So if you have done the UK version of the WA which I have in France, you can happily be UK tax resident - declare your centre of interests is UK, have a France property, rented or purchased, don’t ‘live’ in it > 183 days / year (your EU passport is not going to be stamped - no schengen requirement) - you have emergency health cover, and visits to the doc will be 25 euro - won’t break the bank? - or do private with the CGT savings?
Just stay UK tax citizens till you make up your mind? I’ve read here loads of UK citizens stay in France or 9 months or permanently, never register with tax authorities.
Not condoned! Though surely you could decide where you want to live without spending an uninterrupted year in it - visits back to plague island will help you compare!
Hope I’ve got the right smielly thing this time…
lol i knowwww…I have to live in a rented French property lol
thx for taking the time to reply once again…so kind…but my French girlfriend will be working in France
Freedom of Movement… one of the important aspects of being a citizen of Europe (which sadly us Brits are now denied).
I think @larkswood12 has answered your other point. If you rent out the UK property, you will pay tax on rentals you receive in UK AFAIK
Another reference to consider concerning CGT.
Im happy to pay tax on rental but I still dont understand if I will be charged CGT in France when I will sell to eventually buy a French property…AFAIK??? LOL not sure the meaning
Larkswood said have a rented or purchased property but dont live in it? Am I missing something lol…I do need to sleep somewhere in France
thx
sorry 183 days dont live in it ok i get it
AFAIK as far as I know…
Yes AFAIK you will according to the reference I linked to.
“Even if your UK home was your family home when you resided in the UK, when you moved to France your property in France is classified as your family home. If you have retained your UK property then this becomes a secondary residence and subject to CGT if you sell it.”
This is an important point and why most will effectively have sold their home in UK before becoming a permanent resident in France.
I understand…so classified as a family home even if rented ? I guess is yes
yes thank you…the article says …However, owners of occasional dwellings may be exempt if the capital gain on the secondary residence is used to purchase a principal residence.
Congratulations to your GF! And another clue in the jigsaw… if you mentioned it, sorry missed that! (Wish my partner would go out and get a job, not sitting on the pension lol - and great way to integrate…)
so you’d both be down for 50% France GCT .
yup - though you’d have the previously mentioned non-official exemption for the UK property for up to '‘approx’ a year if you hadn’t rented it (or moved a relative in).
yes, but you’re renting - no gain - clinging to straws? - no one expects the spanish inquisition
So - if you stay, why not keep renting the UK property and get a mortgage to buy a France one? With 200K capital you could probably raise some money on the UK one as a depo on the France one - just don’t tell the mortgage company (which if you’ve already told them you are renting as you should you may well be stuffed on that one).
Or keep renting - seems lots do it, secure tenure - just a bit expensive I’ve found… Sell when you hit the sweet spot of dual CGT.