Club Clé France: Buying or Selling a second home property in France
We are proud to work in partnership with Ashton KCJ - Legal services. If we think our clients need further legal advice or have a specific legal question that needs solicitor involvement when buying or selling a property in France we can recommend...
Matthew Cameron and his team for expert advice.
Article supplied by Ashton KCJ - Legal Services.
Whether your second property is at home or abroad, careful planning will usually save tax of one sort or another. If you are selling a property which is not your main home (Principal Private Residence) then your key issue is likely to be Capital Gains Tax (CGT). If you are buying another property, reviewing your Will and checking your Inheritance Tax (IHT) position are likely to be key. The most important thing is to look at your overall position and all the tax implications together and then plan accordingly. This is where we can help.
Capital Gains Tax Issues:
When you sell a property which is not your main home, you may be liable to pay CGT at 18% or 28% on the gains. How much you have to pay will depend on various factors, including:
• If and when you have lived in the property.
• Whether you have made gains on other taxable investments in the same financial year that the house is being sold.
• Whether you are a higher or basic rate taxpayer.
If you are buying a second property:
By taking advice now you may be able to plan your ownership in a way that will mean you pay little or no tax if you later decide to sell.
Principal Private Residence (PPR) relief means that no CGT is payable on any gains arising when someone sells the home in which they live. If you have more than one property you can elect which property is your main residence if you have occupied both at some time. The election should be made within two years of having bought the second property.
The relief generally applies to the period during which you have occupied the property as your main residence, but the tax rules state that the last three years of ownership count as a period of residence even though the owner may not have been living there. So you can rent out one of your properties for up to three years before selling it without losing this valuable relief.
If you are selling:
Your options for saving CGT will depend on the timescales involved. If you already have a buyer lined up but have never lived in the property then it may be too late for tax planning.
You usually have to be able to demonstrate that you have lived in the property, and it has been your PPR, for at least six months but preferably a year before you are able to sell without incurring any CGT at all.
If you are not sure of your position, you will need someone to advise you on what your liability will be and help you to ensure that you don’t pay more tax than is strictly necessary. We can do this.
If you are buying or selling overseas the CGT issues may be different; our French Legal Services team offer this planning service for anyone with a property in France.
Other tax issues:
Buying an investment property, or buying a new home and renting out your old one, are circumstances which often require an individual to complete a personal tax return for the first time. Equally, dealing with property rentals will make an existing straightforward return for a taxpayer more complicated. Again, we can help.
We prepare UK personal tax returns and basic accounts for a wide range of individuals who do not need an accountant for other purposes. These include people who need to complete a return for the first time following a divorce settlement, a substantial compensation claim payment, or having inherited assets under a Will.
Second home abroad?
If you own a second home outside the UK, you need to find out about that country’s tax, property and succession regimes. You may need to make a new Will here in the UK and/or make an additional Will in the country where your property is situated. It is important to be aware that succession rules in some foreign countries can override the provisions you have made in your UK Will, and would therefore dictate who receives the property following your death and in what shares.
If you own a second home in France, our specialist French Legal Services team would be happy to advise you on French Wills, IHT and estate planning matters. Whilst an English Will is normally valid in France, it is usually preferable to prepare a separate French Will dealing with the succession of a French property.
French law:
French law imposes strict rules of succession, determining who is entitled to inherit. Children have fixed rights in the estates of their parents, but problems are often caused by the fact that step-children are not recognised in the same way as natural children. Whilst living in England it may be possible for you to anticipate everything going from husband to wife and then back to the husband's children from a previous relationship on the wife’s death, this would cause various problems under
French IHT:
Not least of these is the issue of French IHT, where the rules are very different from those in the UK. Without careful planning, it is quite possible for 60% IHT to be imposed on French assets, or the same assets can end up being taxed in both jurisdictions without any relief against double taxation. It is also the beneficiaries rather than the estate who will be taxed on what they receive and each will have an IHT ‘allowance’ depending on their relationship to the deceased rather than the standard UK ‘Nil Rate Band’ arrangements.
Do I need a French Will?
If you do not make a separate French Will, the other complication which can arise in addition to the IHT position is that France does not recognise the role of executors. In an English estate, the executors or administrators will be responsible for the deceased’s assets until they can be distributed. In France the assets become the property of the beneficiaries from the time of death. The requirement that an executor hold everything while the succession is sorted out is likely to cause delays.
If your English Will is constructed in a way which uses Trusts in any form, then a separate French Will becomes even more relevant. Historically, French law has not generally recognised trusts and so the mechanics of an English Will may cause complications for French lawyers dealing with the French element of an estate. More recently, a new tax regime on Trusts has been introduced in France imposing a tax on assets held in Trust so English trustees could find themselves having to liaise with the French tax authorities to avoid penalties.
Comprehensive Planning:
It is important when preparing Wills in more than one country to make sure the documents work together to achieve your goals and that one does not accidentally revoke the other. We can help you to prepare English and French Wills to achieve this, or to prepare a French Will taking into account any clauses in your existing English Will. If you have overseas property which is not in France, we are members of an international association of lawyers called 'Eurojuris' and can put you in touch with someone in the country of your choice who can assist.
Want to contact Ashton KCJ ? - then simply complete the Enquiry form below:
The information that you give and that we obtain through you using this website may be used by this Company and by our partner companies only for purposes in connection with your use of this website and for marketing activities of this Company and partner companies. By using this site you confirm your consent to this. If you do not want to receive any marketing information from this Company and/or our partner companies then please notify us.
Ashton KCJ is authorised and regulated by the Solicitors Regulation Authority (Recognised Body number 45826). The information contained in this guide is of a general nature and specific advice should be sought for specific situations. We believe the information to be correct as at the time of publication, February 2013. While all possible care is taken in the preparation of this leaflet, no responsibility for loss occasioned by any person acting or refraining from acting as a result of the material contained herein can be accepted by the firm or the authors.
For everything you need to know about French property for sale visit www.clefrance.co.uk
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Club Clé France: Business Insurance
Fab French Insurance is a French registered company, specialising in property, car and health insurance for English speaking residents of France, as well as those visiting from the UK on short term visits.
Public liability / Business insurance:
Cover More, Worry Less!
You will need this cover if you are running Guest Gites or any business avtivity invovling the general population.
Struggling to find the right cover? Fab French Insurance offers comprehensive public liability and business insurance to safeguard your operations. Secure your peace of mind today.
Partnering with top insurers, offering premier public liability and business insurance in France. Secure your business's future with us.
Insuring every business, from yoga to consulting. Affordable, compliant coverage for startups to seasoned enterprises. Your business is safe with us.
With years of experience, we've insured hundreds of businesses, from public liability to fleets and gites. Expert in small to mid-size business coverage, we assure you: if we can't find a solution, we'll guide you on the next steps.
Your business is safe with us.
You will find it Fabulously Easy!
Please complete our Enquiry Form Below for more information.
100% French
You didn’t come to France to be advised by people who don’t even live here! We are a small team based in the South West of France, all our staff are French and therefore we know all the tricky bits of the French system; we can make your life as hassle free as Frenchly possible.
Why choose us?
Human, not robots: We prioritise personal connections by providing dedicated English-speaking advisors. Our focus is on delivering human interaction and feedback, ensuring that our clients receive attentive and personalised service at every step.
We’ve been delivering fabulous service since 2015! Years of dedicated support to our valued clients—and we’re just getting started. Here’s to many more!
We understand the unique cultural backgrounds and needs of expats. By partnering with a wide range of insurers and numerous providers worldwide, we are able to find affordable, tailored solutions for every individual situation.
For everything you need to know about French property visit www.clefrance.co.uk
Club Clé France: CamiHomme Removals
We are proud to work in partnership with CamiHomme who specialise in whole and part load removals throughout Europe and the UK.
Their friendly approach and trusted attention to detail means 5 out of 6 requests in the Aude & Herault choose Camihomme for their next move. Having mastered the change in regulation between the UK-EU from January 1st 2021 they continue delivering amazing results without hindrance.
The right mover, with the right knowledge & support will make it infinitely easier for your French dream to become reality.
To receive an online quote, please fill in your details in the contact form below:
It would help if you would please provide the following information :
1. A list of items
2. Collection and delivery post-codes
3. Preferred date
So... you have searched all the property for sale in France, or at least that is what it felt like! You have found your perfect French Property and Cle France have helped you through the buying process, all you need do now is figure out the best way to get you and your furniture to your new house in France! it's easy....
Clé France and CamiHomme
CamiHomme are a family run company specialising in full & part load removals out of the UK to Europe and back again.
As the only Gold Star transporter in the Aude region of France we never use un-trained, sub-contracted drivers. The personal that load your belongings will be the same movers to make the drive and unload.
With an over 90% referral rate from customers who refer us to friends and family, our reputation in the region means 5 out of 6 requests in the Aude/Herault choose Camihomme for their next move.
Specialising in whole and part load removals throughout Europe and the UK we offer trained, dedicated personnel and all our vans come with protective blankets, secure straps, insurance and a great VIP attitude. We also provide packaging as well as a packing service up to a full export wrap depending on every need of our clients, insurance and a great VIP attitude included.
The right mover, with the right knowledge & support will make it infinitely easier for your French dream to become reality.
The information that you give and that we obtain through you using this website may be used by this Company and by our partner companies only for purposes in connection with your use of this website and for marketing activities of this Company and partner companies. By using this site you confirm your consent to this. If you do not want to receive any marketing information from this Company and/or our partner companies then please notify us.
For everything you need to know about French property for sale visit www.clefrance.co.uk
Club Clé France: Car Insurance
Fab French Insurance is a French registered company, specialising in property, car and health insurance for English speaking residents of France, as well as those visiting from the UK on short term visits.
Expat Car Insurance in France:
Fair prices. English speaking agents. Foreign insurance history conversion.
Compare cheap car insurance quotes:
Car insurance for expats in France: We do the hard work for you, comparing rates from the biggest providers so you can get the best vehicle coverage at the most competitive premium. Whether you need comprehensive protection or basic coverage, we ensure you have the right policy for your needs.
Plus, we guide you through the registration process, avoiding the hassle and extra costs that come with choosing an insurance agent who doesn’t understand your situation!"
You will find it Fabulously Easy!
Please complete our Enquiry Form Below for more information.
Types of Car Insurance Policies Available
Finding the right auto insurance policy can be challenging, but as an independent insurance broker, we simplify the process by comparing offers from multiple providers to find the best coverage at the most competitive rates. In France, all drivers must have at least third-party liability insurance, which is required for vehicle registration and covers damages caused to others. For more extensive protection, comprehensive insurance includes coverage for theft, vandalism, and personal damages. Additional options, such as roadside assistance or legal protection, can further tailor a policy to your needs.
By working with leading insurers, we ensure you receive the most suitable premium and vehicle coverage for your situation.
Contact us to find the best solution at the right price!
Why compare car insurance quotes with Fab French Insurance ?
Finding the right car insurance for expats in France can be overwhelming, but at Fab French Insurance, we make it effortless. Our mission is to provide you with tailored vehicle coverage that meets both French legal requirements and your personal needs, whether you're looking for third-party liability or a fully comprehensive Premium policy. We understand the challenges of navigating French bureaucracy, which is why we simplify the process, offering clear guidance and competitive quotes. With us, you can hit the road with confidence, knowing that your car is protected by an insurance provider that truly understands expat life in France. You can get off to a flying start on French roads!
As fast as Frenchly possible:
Just pop in some details about yourself, your car and the cover you need
The cheapest policies:
We'll do the legwork to find the cheapest car insurance that offers the cover you need and can accept the specifics of drivers with foreign origin
France made simple:
There are many traps when insuring a vehicle in France but you won't have to worry, we'll help you get the best offer that matches your exact situation
What do you need to get a quote ?
Details of the car:
The vehicle's registration number if you know it. If not, the make and model is fine. We'll also need the car's age and any specifics you may want us to be aware of.
Your details and your licence:
Including your job, age and your address - the same for any additional drivers you may have. We'll also need to know what type of license you have, how long you've had it, your claims and driving history.
What you'll use the car for:
Social, commuting or business, and how many miles/kilometers you'll do in a year. You'll also need to say where you'll park the car at night for security.
Insurance history discount:
Details of your insurance history (like the no-claims discount in the UK for example) to help lower the prices you get.
Please complete our Enquiry Form Below for more information.
Our expert says:
It's tempting to insure a vehicle with your bank or through the dealership but doing so could mean you end up paying more for your car insurance as they may not have converted your foreign insurance history into the maximum equivalent you could have had in France. Make sure to compare car insurance options with specialised english speaking brokers to save both time and efforts. Don't forget, choosing fully comprehensive cover and paying annually can bring costs down as well.
Fabien Pelissier, Head of Fab French Insurance
We're 100% independent, working only for our customers:
Unlike some of our competitors, Fab French Insurance is not owned by an insurance company (not even fractionally).
We combine independence, so we can negotiate the best prices, with excellent customer service, to find the best value products and services.
Understanding Car Insurance Requirements in France:
In France, having auto insurance is a legal obligation for all registered vehicles. At a minimum, drivers must have vehicle coverage for third-party liability, which protects against damages caused to others. For greater protection, many opt for comprehensive insurance, which includes coverage for theft, vandalism, and accidents. Insurance rates vary based on factors such as driving history, vehicle type, and selected coverage options. Failing to maintain valid insurance can lead to fines and complications with your registration. At Fab French Insurance, we offer tailored policies with competitive premiums to ensure you stay compliant while enjoying optimal protection on the road.
Please complete our Enquiry Form Below for more information.
100% French
You didn’t come to France to be advised by people who don’t even live here! We are a small team based in the South West of France, all our staff are French and therefore we know all the tricky bits of the French system; we can make your life as hassle free as Frenchly possible.
Why choose us?
Human, not robots: We prioritise personal connections by providing dedicated English-speaking advisors. Our focus is on delivering human interaction and feedback, ensuring that our clients receive attentive and personalised service at every step.
We’ve been delivering fabulous service since 2015! Years of dedicated support to our valued clients—and we’re just getting started. Here’s to many more!
We understand the unique cultural backgrounds and needs of expats. By partnering with a wide range of insurers and numerous providers worldwide, we are able to find affordable, tailored solutions for every individual situation.
For everything you need to know about French property visit www.clefrance.co.uk
