CLOSE X

Register - if you don't have an account

Yes! Sign me up for Global Property Guide's fortnightly email newsletter.


Login - for registered users

Forgot Password?
Explore destinations
continent map couldn't be loaded Pacific Europe & Russia North America Latin America Asia Africa Middle East Caribbean

 


Financial Overview

Directory

Property Search

Global Statistics

Regional Statistics






Jan 19, 2015

Tax Example: Rent


 
Non-resident couple΄s joint monthly rental income1 €1,500 €6,000 €12,000
Annual Rental Income 18,000 72,000 144,000
Less: Costs (9,000)2 (10,260)3 (16,020)3
Less: Depreciation4   (32,400) (64,800)
= Taxable Income 9,000 29,340 63,180
Income Tax Rates
Tax Rate of 20% 4 1,800 5,868 12,636
Annual Income Tax Due €1,800 €5,868 €12,636
Tax Due as % of Gross Income 10.00% 8.15% 8.78%
Thanks to:
Anthony & Cie

Notes


1 The property is jointly owned by husband and wife. The property is assumed to be unfurnished for tax purposes (furnished properties are subject to a different taxation scheme).

2 The micro-BIC assessment can be utilized if the rental income does not exceed €32,000. This also allows offsetting 50% of the gross income as expenses and depreciation. This assessment is applied in the first case.

3 In this case, the micro-BIC assessment does not apply because the rental income exceeds €32,000. Therefore, the costs are estimated values.

4 Depreciation expenses are deductible when calculating taxable income. Estimated values.

5 The minimum income tax rate for non-residents is 20%.

     





Comments


Be the first to comment on this article!



Login or Register to submit a comment!

In order to promote open and spam-free conversations, Global Property Guide moderates commetns on all articles. You can expect that your comment will be published within 24 hours.



Baltics Real Estate Market Overview 2016 - Colliers InternationalPoland Residential Market Q2 2016 REASPoland Residential Market Q3 2016 REASPoland Residential Market Q4 2016 REAS
Compare Countries



Free Newsletter

Fortnightly updates from the global property arena directly to your inbox.


Email Address:





Connect to professional advice in France





PROPERTY RECOMMENDATIONS

 
Download free property reports from international research houses

Our Newsletter

 
Fortnightly updates from the global property arena directly to your inbox.

Manage subscriptions