RSS Feed
July 4th, 2012 
FAKE NEWS for the Zionist agenda
The rise in tax on rental income will be retrospective, from Jan 1 this year.
The increase in capital gains tax applies from the end of this month,
meaning property owners will have little time to escape the increased tax by
selling their homes.
David Cameron infuriated the French last month by promising Britain would “roll
out the red carpet” to wealthy French citizens and companies who wanted
to emigrate and pay their taxes in Britain.
Holiday home owners already pay two other taxes to the French government: the taxe
fonciere, which is paid by the house owner and the taxe d’habitation,
which is paid by those who live in it.
The tax rises are part of a wider package of increases that are intended to
raise €7.2 billion (£5.8 billion) to meet a budget deficit target of 4.5 per
cent after the government of Nicolas Sarkozy left the French exchequer with
an expenditure black hole.
An additional €2.3 billion (£1.8 billion) will be raised from a levy on those
whose net wealth is €1.3 million (£1 million).
“If the law is introduced, the effective rate of French capital gains tax
will almost double for EU residents on their French property capital gains,”
said Graeme Perry, a partner at Sykes Anderson, which advises British
citizens on French residences. He said the move ran the risk of further
damaging the property market in France, “particularly at the higher end”.
The French finance ministry said the new rule would affect about 60,000 rental
properties in France whose owners made an average profit of £12,000.
It said this would add €50 million (£40 million) to French revenue this year
and €250 million in 2013. Jean-Claude Cassac, the secretary general of the
French estate agency federation, in the Dordogne, home to thousands of
British expatriates and holiday home owners, said the new move was a “catastrophe”.
“The plummeting pound meant that the English had almost disappeared from
the Dordogne house market. With this, it’s as if they want to totally kill
off the foreign home owner market in France.”
Last month Mr Cameron told a business summit in Mexico: “I think it’s
wrong to have a completely uncompetitive top rate of tax. If the French go
ahead with a 75 per cent top rate of tax we will roll out the red carpet and
welcome more French businesses to Britain.”
Under the double taxation system, UK residents deduct any tax paid at source
in France on French gains from the UK tax on the same gains. But if the
French tax is higher, they will receive no rebate.
Paul Smith, a partner at accountants Blick Rothenburg said: “The UK
Government is subsidising the French. It will be collecting less income tax
off taxpayers who have houses in France.”
There are an estimated total 360,000 non-resident second home owners in
France.
Posted in 
Tags: 
