Last reviewed: August 2026 by GME Audit
Property tax in France is not a single tax. Every owner pays the annual taxe foncière (property ownership tax). Around it sit four obligations that depend on how you use the asset: a residence tax on second homes (taxe d'habitation), a wealth tax on large portfolios (IFI), income tax on rents, and capital gains tax when you sell. Residents and non-residents are both liable; what changes is the scope of what France taxes. This guide sets out each tax in plain English, with 2026 rates, deadlines, and the payment process.
What Is Property Tax in France?
Property tax in France is the taxe foncière: a local tax on ownership, payable every year by whoever owns the property on 1 January, whatever their country of residence.
Yes, France has an annual property tax, and this is it. It exists in two versions: on built property (taxe foncière sur les propriétés bâties, TFPB) and on land (sur les propriétés non bâties, TFPNB). Most owners only deal with the first.
The wider landscape of real estate taxes in France trips owners up: second homes, large portfolios, rents and resales each add their own tax, form and calendar. The administration publishes an English summary for non-resident owners on impots.gouv.fr; the rest of this guide walks through each tax in order.
The Main Property Taxes in France
Five taxes can touch a French property over the years you hold it. Rules below are current as of 2026.
Taxe Foncière: the annual property ownership tax
Who pays: the owner on 1 January, resident or non-resident. Rented, empty or holiday homes all pay the same way.
How it is calculated: the administration assigns each property a valeur locative cadastrale (cadastral rental value), its estimate of the theoretical annual rent. Half of that figure forms the taxable base, multiplied by rates voted each year by the commune, department and region. There is no national rate, which is why identical buildings produce different bills from one town to the next.
When: notices appear online from September, with payment due between mid-October and late November 2026 depending on your department (service-public.fr publishes the exact dates). The mechanics are detailed on the official taxe foncière page.
One point sellers miss: the tax belongs by default to the owner on 1 January, so if you sell in June you owe the full year unless the sale agreement prorates it. Notaires routinely include such a clause; check that yours does.
Taxe d'Habitation on Second Homes
The taxe d'habitation (residence tax) was abolished for primary residences from 2023. It still applies to second homes.
Who pays: whoever had use of the property on 1 January, the occupant or, if vacant, the owner. Like the taxe foncière, it is calculated on the cadastral rental value at locally voted rates. In tight housing markets (zones tendues), municipalities can add a second-home surcharge that now reaches 60% as of 2026.
The difference from the taxe foncière comes down to one word: the foncière taxes ownership, the habitation taxes occupancy.
IFI: the Real Estate Wealth Tax
The impôt sur la fortune immobilière (IFI) is the French wealth tax on real estate. It applies when your net real estate exceeds €1.3 million, after deducting mortgage debt.
Residents are taxed on worldwide real estate; non-residents only on French-situated property. The scale is progressive, from 0.5% to 1.5% of net assets above €800,000, with €1.3 million as the entry threshold. You declare IFI with your annual French income tax return in spring, on form 2042-IFI. The scale and thresholds are published each year on impots.gouv.fr.
Capital Gains Tax on Property Sales
Selling anything other than your main residence triggers the plus-value immobilière (property capital gains tax). The main residence is fully exempt.
The taxable gain is the sale price minus the purchase price, increased by acquisition costs and works. Rates as of 2026:
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19% income tax plus 17.2% social charges on the net gain
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A surtax of 2% to 6% on gains above €50,000
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Holding-period relief: full exemption from income tax after 22 years of ownership, and from social charges after 30 years
Non-residents pay the same rates, with two specifics. EU and EEA residents can, under strict conditions, claim an exemption on the first €150,000 of gain. And you do not handle the paperwork: the notaire calculates the tax, files form 2048-IMM and pays it before releasing your proceeds.
Rental Income Tax: Furnished or Unfurnished?
Rental income is taxed according to how the property is let. This regime choice is the decision that most changes a landlord's French tax bill.
Unfurnished lets produce revenus fonciers (property income). Under €15,000 of gross annual rents, the micro-foncier regime applies a flat 30% allowance. Above that, or by choice, the réel regime (real regime) deducts actual costs: management fees, insurance, works, loan interest. Loan principal is never deductible.
Furnished lets fall under the BIC regime. A micro-BIC flat allowance on turnover is available under ceilings set by each year's finance law, so check the current figures before deciding. On the réel regime you become an LMNP (loueur en meublé non professionnel, non-professional furnished landlord), deduct actual costs and the annual depreciation of the building.
Illustrative example: you let a flat unfurnished for €12,000 a year. Micro-foncier taxes 70% of that, so €8,400. If your real deductible costs exceed €4,200, the réel regime starts from a lower base instead. That comparison, run on your actual figures, is the whole decision. It is also part of what we handle through our English-speaking accountancy services.
Both regimes carry 17.2% social charges on top of income tax. Property held through a company, typically an SCI (société civile immobilière, civil real estate company), follows different rules again: see our guide to setting up a company in France before choosing a structure.
Property Taxes When Buying in France
Buyers meet property tax at the moment of purchase, disguised as "notaire fees".
For an existing property, transfer duties (droits de mutation, registration duties) run at about 5.8% of the price in most of France, which is why total acquisition costs are quoted at 5 to 6%. Most of that is tax going to local authorities and the state; the notaire's regulated fee is around 1%.
For a new build bought from a developer, duties drop to under 1%, total costs fall to 2 to 3%, and 20% VAT is already included in the developer's price. The notaire collects and forwards everything at completion, so there is nothing to file yourself.
How Property Tax Is Calculated
Your taxe foncière bill rests on the cadastral rental value: the administration's estimate of what your property would rent for per year, built from surveys and a classification by comfort and surface. Half of it forms the base; the commune, department and region each vote a rate on top.
Your bill differs from your neighbour's for concrete reasons: a different comfort category, a surface updated after works, a commune that voted a higher rate. You can read the detail line by line in your personal space on impots.gouv.fr. If the surface or classification is wrong, a réclamation (formal challenge) is possible until 31 December of the year following the notice.
Exemptions and Reductions
Full Exemptions
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New constructions: exempt from taxe foncière for two years from completion, provided the completion declaration is filed with the tax administration
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Agricultural land under conditions set by the local authorities
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Properties of public utility or owned by public-interest bodies
Partial Relief and Non-Resident Considerations
Age and income based relief exists for taxpayers over 75 on low incomes, but it concerns main residences only. Non-resident owners by definition hold second homes or let property, so that relief rarely reaches them. Exemptions for new builds apply regardless of residence: a non-resident who completes a build in France gets the two-year window like anyone else.
Most exemptions must be requested, not granted automatically. When we take on a property file, checking which exemptions apply is part of the first review.
How to Pay Property Tax in France: a Non-Resident Guide
Setting Up Your impots.gouv.fr Account
The taxe foncière notice now lands in your personal space on impots.gouv.fr rather than in the post. To activate the account you need your numéro fiscal (tax reference) and the référence de l'avis (notice reference), both printed on any notice you have received. The site publishes its pages for international users in English.
Payment Methods
Payment runs from the personal space: card or online transfer both work from abroad in most cases. Households whose French reference taxable income exceeds €10,000 must pay online, which covers most non-resident owners. SEPA direct debit, monthly instalments or a single debit on the due date, requires a euro-area bank account. Without one, pay by card each year before the deadline.
2026 Deadlines and What Happens If You Miss One
Local taxes fall due in autumn: between mid-October and late November 2026 depending on the department, with the online deadline usually a few days after the printed one. Miss it and the administration adds a 10% late-payment surcharge plus interest of 0.20% per month. The notice starts a clock.
The Property Tax Table, Consolidated (2026)
Tax — French name — Who pays — Basis and rate (2026) — When — Declaration
Annual property tax — Taxe foncière — Owner on 1 January, any residence status — Half the cadastral rental value, times local rates — Autumn, mid-October to late November — None, automatic
Residence tax — Taxe d'habitation (second homes) — Occupant on 1 January, owner if vacant — Same base, local rates, surcharge up to 60% in tense areas — Autumn — None, automatic
Wealth tax — IFI — Net real estate above €1.3m, French assets only for non-residents — Progressive, 0.5% to 1.5% — Spring, with the income tax return — Form 2042-IFI
Capital gains — Plus-value immobilière — Seller of a non-principal residence — 19% plus 17.2%, tapering to nil at 22 and 30 years — At completion, via the notaire — Form 2048-IMM
Rental income — Revenus fonciers or BIC — Landlords, resident or not — Micro allowances or real costs — Spring, annual return — Form 2042, or 2042-C if furnished
Purchase duties — Droits de mutation — Buyer — About 5.8% existing, under 1% new build — At completion, via the notaire — Filed by the notaire
If reading this table is the moment you decide the calendar is better outsourced, request a quote: we take over the declarations and deadlines for resident and non-resident owners alike.
Do Non-Residents Pay Property Tax in France?
Yes, without exception on the ownership side. A non-resident owner pays the taxe foncière like any resident, plus taxe d'habitation on a second home, IFI on French-situated assets above the threshold, capital gains on a sale, and French tax on French rents. What residence changes is scope: France taxes non-residents on French property only, while residents declare worldwide assets for IFI. Double taxation treaties usually prevent the same income being taxed twice; they do not remove the French filing obligation itself.
Non-resident landlords should file the annual French return even when no tax is due. Without a filed return, the administration applies minimum flat rates to the rents.
Frequently Asked Questions
What is the property tax in France?
The taxe foncière is the core one: an annual local tax on ownership, payable by the owner on 1 January. Around it sit taxe d'habitation on second homes, IFI above €1.3 million of net real estate, capital gains on resale, and income tax on rents.
Is there an annual property tax in France?
Yes. The taxe foncière is charged every year on every property, collected in autumn, with no exemption for foreign owners. Second-home taxe d'habitation is annual too.
How much is taxe foncière in France?
There is no national rate. The bill is half the property's cadastral rental value multiplied by rates voted locally, so it varies by commune, by property and by year. Your notice shows the calculation, and the base can be challenged if the records are wrong.
What is the difference between taxe foncière and taxe d'habitation?
Taxe foncière taxes ownership and is paid by the owner. Taxe d'habitation taxes occupancy and is paid by the occupant, or the owner if the property is empty. It was abolished on primary residences in 2023 but remains due on second homes, with a surcharge possible in tense housing areas.
When is the property tax deadline in France?
For 2026, payment falls due between mid-October and late November depending on your department, with the online deadline a few days after the printed date. The exact calendar is published each year on service-public.fr.
Get Help With Your French Property Taxes
Property tax in France becomes manageable once each tax is attached to its trigger: ownership, occupancy, wealth, rent or sale. The work is in the detail: the right regime for your rents, the exemptions that must be requested, the autumn deadlines that restart every year.
We are English-speaking accountants in Paris at GME Audit, a chartered accountancy firm registered with the Ordre des experts-comptables. We prepare and file property tax declarations for resident and non-resident owners, run the furnished-versus-unfurnished comparison on real figures, and keep rental accounts current through Pennylane, our real-time accounting platform.
Request a quote: tell us what you own and how it is used, and we will come back with a precise answer for your situation. Prefer to talk first? Book a consultation.
GME Audit is a Paris-based chartered accountancy firm registered with the Ordre des experts-comptables, led by Steeve Elharrar, expert-comptable and commissaire aux comptes (statutory auditor), formerly with KPMG and Deloitte. The firm has more than 10 years of cumulative experience in accountancy, audit and advisory, follows about a hundred files a year, and works in French and English. This page is informational and does not replace advice tailored to your situation.