CGT on Maison Secondaire.. New rules ??

[Gyn_Paul]

I have always understood the CGT liability on the resale of a maison secondaire (of a French resident) to be 27% deminishing from year 5 onwards by 10% each year until it disappeared in year 15.

Now somebody has told me the period has recently been extended to 22 years. Is this true? if so what is the decay rate?

paul

[Clair]

http://www.impot.gouv.fr/

[quote]Calculer la plus value imposable

Un abattement pour durée de détention

La plus-value brute est diminuée d'un abattement de 10 % pour chaque année de détention au-delà de la 5ème.

Ainsi, la plus-value se trouve exonérée au bout de 15 ans de détention.

Un taux de 16 % et des prélèvements sociaux de 11 %

Après déduction des abattements, les plus-values sont soumises à l'impôt sur le revenu au taux de 16 %.

S'ajoutent également les prélèvements sociaux : CSG, CRDS, prélèvement

social de 2 % et contribution additionnelle au prélèvement social, pour

un taux global de 11 %.

[/quote]

[Kitty]

Don't forget, if you are a UK taxpayer, you are still liable for UK capital gains tax.

Incidentally, I have been told that there is no such thing as a maison secondaire.  Apparantly, the French is residence secondaire.

 

 

[Will]

'Somebody' has got their facts a*** about face. The period used to be 22 years, but was shortened to 15 some time ago, I think at the same time that the basic rate was reduced to 16% (plus CSG/CRDS/PS, at present an extra 11% making 27% overall).

[Gyn_Paul]

.....and having just sold the residence secondaire which started this thread, I can just add that I was under the impression that from years 5 to 15 the CGT was a fixed discount rate. And that's your lot.

So imagine my delight to be asked by the notaire to provide artisan's factures for the renovations, which I duely did, and as a result, what I though would be a CGT bill of around 13k E, has had 10k lopped off it.

The French administration: doncha just love it ?

 

p