Selling French property as a non-resident: capital gains tax

How the gain is calculated

The taxable gain is the difference between the sale price and the purchase price, both adjusted:

• the sale price is reduced by certain costs borne by the seller, such as an estate agent’s fee charged to the seller;
• the purchase price is increased by the acquisition costs (actual costs, or a flat 7.5% of the price) and by building or improvement works carried out by businesses (actual invoices, or a flat 15% of the purchase price if you have owned the property for more than five years) (CGI art. 150 VB);
• for a property received by gift or inheritance, the starting value is the value declared at that time;
• for sales since 15 February 2025, depreciation deducted under the furnished-letting regime (LMNP) is generally added back to the gain, with some exceptions.

Rates and taper relief

Tax	Rate	Taper relief for length of ownership
Income tax (CGI art. 244 bis A)	19%	6% per year from the 6th to the 21st year, 4% for the 22nd year: no income tax after 22 years (CGI art. 150 VC)
Social charges	17.2% (CSG 9.2%, CRDS 0.5%, solidarity levy 7.5%), or 7.5% only for sellers covered by an EU/EEA, Swiss or UK social security scheme	1.65% per year from the 6th to the 21st year, 1.60% for the 22nd year, 9% per year from the 23rd to the 30th year: no social charges after 30 years
Surcharge on high gains (CGI art. 1609 nonies G)	2% to 6%, from €50,001 of taxable gain, with smoothing between bands	Calculated on the gain taxable to income tax, after taper relief; does not apply to building land

Social charges in 2026

The social security financing act for 2026 raised the CSG on many types of investment income from 9.2% to 10.6%, bringing total social charges on that income to 18.6%. Property capital gains are kept at the 9.2% CSG rate (Social Security Code, art. L136-8, IV). That provision refers to the gains of French residents (art. L136-7, I-2°), but the tax authorities apply the same rate to non-residents: the 2026 capital gains return (form 2048-IMM) applies total social charges of 17.2%. We check the position at the date of your sale.

Sellers who are covered by the social security system of an EU or EEA country or Switzerland, and not by a compulsory French scheme, pay only the 7.5% solidarity levy (CGI art. 235 ter). Since 1 January 2021, the French tax authorities apply the same treatment to sellers affiliated to UK social security who are nationals or legal residents of France, the UK or an EU member state and are not covered by a French scheme. You will need to provide evidence of your affiliation. Residents of the United States and other countries pay 17.2%.

Exemptions available to non-residents

• Long ownership: full exemption after 30 years, and from income tax only after 22 years.
• Small sales: sale price of €15,000 or less, assessed for each co-owner’s share (CGI art. 150 U, II-6°).
• Former main residence sold soon after leaving France: exemption if the property was your main residence when you moved abroad, you moved to an EU state or a state that has the required administrative and tax-recovery assistance agreements with France, the sale takes place by 31 December of the year after your departure, and the property was not let or lent in the meantime (CGI art. 244 bis A, I-1).
• A home in France owned by a former French resident: exemption up to €150,000 of net taxable gain, for one property per person, if you were tax resident in France for at least two continuous years at any time before the sale. The sale must take place by 31 December of the tenth year after you left France, or at any time if you have had free use of the property since at least 1 January of the year before the sale (CGI art. 150 U, II-2°). This exemption cannot be combined with the previous one.

The last exemption is reserved by law to nationals of EU and EEA states. The French tax authorities accept that nationals of other countries may benefit when they can rely on a non-discrimination clause in a tax treaty with France and are in the same situation as a French national (BOFiP, BOI-RFPI-PVINR-10-20). British and American sellers should have this checked case by case. For a married couple, the €150,000 ceiling applies to each spouse’s share of the gain.

The tax representative

Sellers resident in an EU member state, Iceland or Norway pay the tax under their own responsibility. Sellers resident elsewhere, including the United Kingdom since Brexit and the United States, must in principle appoint an accredited tax representative in France, who guarantees the tax for several years after the sale. The representative can be the buyer if resident in France, a bank, or a firm accredited by the tax authorities. The notary cannot act as tax representative.

No representative is needed when one of the following automatic exemptions applies (BOFiP, BOI-RFPI-PVINR-30-20):

• the sale price is €150,000 or less for each seller (a married couple or jointly taxed PACS partners count as one seller);
• the gain is fully exempt from income tax and social charges because of the length of ownership;
• the sale benefits from the exemption for a former main residence sold soon after leaving France.

The representative’s fee is a cost of the sale. Appoint one early: without the representative’s details, the deed cannot be registered.

How the notary handles the tax

1. When you put the property on the market, send us the purchase deed, invoices for works, proof of your tax residence and, if relevant, evidence of your social security affiliation.
2. We calculate the gain, check the exemptions and tell you whether a tax representative is needed.
3. Before the preliminary contract is signed, we give you an estimate of the tax and of your net proceeds.
4. On completion, we deduct the tax from the sale price, file the capital gains return and pay the tax when the deed is registered.
5. We transfer the net proceeds to your account and send you a copy of the return for your tax filing at home.

Tax in the United Kingdom and the United States

United Kingdom. UK residents are taxed on their worldwide gains, so the sale must also be reported to HMRC. Under the France–UK tax treaty, the French tax paid on the gain is generally credited against the UK tax on the same gain, up to the amount of the UK tax.

United States. US citizens and residents are taxed on their worldwide gains, calculated in US dollars under US rules. The French tax may be claimed as a foreign tax credit under US law and the France–US tax treaty, within the applicable limits.

Whether French social charges can be credited depends on the charge and on the position of each country. Ask your home adviser.

Sources: French tax code (CGI), arts. 150 U, 150 VB, 150 VC, 235 ter, 244 bis A and 1609 nonies G; Social Security Code, arts. L136-7 and L136-8 (version in force for 2026 income); BOFiP, BOI-RFPI-PVINR-10-20, BOI-RFPI-PVINR-20-20 and BOI-RFPI-PVINR-30-20; Légifrance (legifrance.gouv.fr) and BOFiP (bofip.impots.gouv.fr), consulted in October 2026.

This guide is general information and does not constitute legal advice. Contact the office for advice on your situation.

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