After Macron’s second homeowner tax raid of up to 60%, my wife and I are seriously considering selling our five-bedroom 15th-century French house due to financial concerns.All French citizens who own second homes will be subject to Emmanuel Macron’s tax hike.Do you think the fees will have an impact on you? If you have a story and images to share, please send them to email@example.com.Written by Jack Hardy, Peter Allen, and Sabrina Miller Last modified at 5:01AM EDT on September 1, 2023
Due to Emmanuel Macron’s proposed tax increase on second homes, a British couple may be forced to sell their 15th century French vacation property.Simon Amster, 55, a creative director, and his wife Asha, 48, a television executive, purchased a five-bedroom, 15th-century mansion in the village of Sauveterre-de-Bearn, not far from Biarritz, for 50,000 euros (£42,000) eight years ago.After French president Macron gave local authorities the right to impose massive tax rises, the couple living in Lewes, East Sussex, who presently pay 1,400 euros per month in residency taxes, face a minimum increase of 7.1%.New travel limitations limit visa-free stays in the EU to just 90 days in each 180-day period, which is another slap in the face for British citizens who have invested in property in France following Brexit.
The Amsters, who have two children, ages 11 and 13, say they are considering selling the house since the annual property tax bill has increased by thousands of dollars.Do the French taxes on those who own second homes concern you? If you have a story and images to share, please send them to firstname.lastname@example.org. Mr. Amster stated, “Macron’s tax hikes have made us consider selling.” Our second property, which was once a source of joy, is now a cause of stress due to rising maintenance and repair bills. “My wife’s mother lives in the neighboring village, so it is really useful for us to have the house so we can look after her if we need to.”The extent to which we will be negatively impacted by these levies is likewise unclear.
We anticipate a sizable increase, perhaps 20 percent. Q&A Who is going to be impacted?86 thousand British homeowners in France (and any French citizens with second homes).What if I continue to have a British residence?All French real estate is subject to the tax, yes.What is the procedure?If a second home is kept in livable condition but is not occupied by its owners, the owners must pay a yearly fee. This was approximately £808 for an apartment and £664 for a house a year ago.
What do you think will occur?There will be a 7.1% increase in taxation, with the possibility of an additional surcharge of up to 60% at the discretion of local governments.Do any extra taxes apply to home ownership?Similar to the British council tax, an ownership tax would pay for services like trash collection. There is a two-year grace period for newly constructed homes.Where exactly will this have an impact?Every significant part of the country, includes the most well-known tourist destinations like Brittany, the Dordogne, and the south of France. Advertisement
“It’s a first world problem, but it turns a vacation that seemed reasonably priced into a serious financial concern,” he said.Mr. Macron’s new regulations could increase the tax on second homes by as much as 60%, even if British citizens are only allowed to visit for a maximum of six months after Brexit.Despite this, the French seek to increase taxes on almost 86,000 homes in the UK.
As a result, homeowners should expect a rise in their property tax of between 7 and 60 percent.Before a revision by President Emmanuel Macron’s cabinet, it was only paid by people whose primary residence was located in France.A government source in France told the Mail that the new tax would be felt most strongly in neighborhoods where residents already face the greatest obstacles to purchasing homes.Many popular destinations among international second-homebuyers are included in this category.
The purchase of second residences in France by non-residents should not be subsidized by the tax dollars of French citizens.The average residence tax for a house in 2017 was €775 (£664), while the average residence tax for a flat was €943 (£808).Brittany, which is very well-liked by Britons, has 156 councils, all of which have been granted permission to impose a 60% increase in the residence tax.
Wherever there is a shortage of available dwellings for sale or rent, a premium may be imposed. It’s meant to deter people from buying a second house.
Originally only applicable in major cities and popular tourist destinations, the surcharge has since been expanded to cover a total of 2,263 local governments across the country.The second municipal tax in France, known as the Property Tax, is also increasing by double digits. The city council in Paris, for instance, has approved a 51.9% hike, while Grenoble, in the French Alps, is enforcing a 25% increase.Almost two-thirds of Britons surveyed by The Connexion newspaper this month said they had contemplated selling up because of the 90-day restriction, which applies to second homes in the country.Have the French taxes imposed on those with second homes affected you? If you have a story and images to share, please send them to email@example.com.Share on Facebook «||» Share on Twitter «||» Share on Reddit «||» Share on LinkedIn