English
FrançaisHello,
I intend to buy a new leaseback property. I need advice about French income tax, or even UK an US too, as I'm not sure whether my UK/US tax situation is affected. Can anyone recommend a good source to advice? I am a UK citizen working for a US company.
I intend to put down a deposit and pay a French mortgage. I will fund the mortgage, and over-pay it (to finish it early) with income from rent, possibly transferring cash from the UK, and selling shares I have in the US transfering the funds directly to France (not via the UK) assuming this makes sense and is legal.
Understanding UK tax is bad enough, but I need to factor in French and possibly US.
Any ideas?
I know I will need an accountant in France. Can an accountant give financial advice along the lines I need?
Any help or ideas gratefully appreciated.
I would strongly recomend that you don't buy a leaseback. It is a scam and you will never get a proper income from it. It is all wonderful at the beginning and in a couple of years or less your management company will be telling you that they are having the rent they pay you. Even if you go with a so-called 'reputab;e' company they will hit you with refurbishment costs that will eat up 2 years of rent. Seriously...forget about it or you will live to regret it.
That should read 'halving the rent they pay you'
Not with a very large 40 foot barge pole would or should anyone else touch one of these things. Even the most basic research should tell you that.
Have you read any of the discussion on this forum? If you have even read a fraction of it you wouldn't even contemplate it for a second.
@paulcuenta
Really?
Why on earth would you want to buy one of these ?
It will drop in value as soon as you buy it - there's no resale value.
What makes you think you will get rent?
Why would you get a French mortgage and then pay it off with cash when you will pay early repayment charges?
Where are you tax resident?
If you are resident in the UK I expect you will be liable for tax on sale of US shares in the UK (you would be in Ireland).
The situation for someone resident in Ireland is that they are liable for tax in France on rental income in France (and must file returns) and there is a taxation agreement between Ireland and France so that if you have paid tax in France then you do not have to pay it twice, but would still have to pay in Ireland if the amount you are liable for is higher in Ireland.
I've never made enough out of it to pay any tax anywhere !