



{"id":12204,"date":"2025-01-15T13:13:21","date_gmt":"2025-01-15T13:13:21","guid":{"rendered":"https:\/\/staging.consultants-immobilier.com\/?page_id=12204"},"modified":"2025-01-15T13:13:21","modified_gmt":"2025-01-15T13:13:21","slug":"capital-gains-tax-on-real-estate-what-you-need-to-know","status":"publish","type":"page","link":"https:\/\/staging.consultants-immobilier.com\/en\/sellers-guides\/the-stages-of-the-sale\/capital-gains-tax-on-real-estate-what-you-need-to-know\/","title":{"rendered":"Capital Gains Tax on Real Estate: What You Need to Know"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row full_width=&#8221;stretch_row_content&#8221; content_placement=&#8221;top&#8221; css=&#8221;.vc_custom_1670852810251{background-position: center !important;background-repeat: no-repeat !important;background-size: cover !important;}&#8221; el_class=&#8221;back_div&#8221;][vc_column css=&#8221;.vc_custom_1657728499249{padding-right: 15px !important;padding-left: 15px !important;}&#8221;][vc_raw_html css=&#8221;&#8221;]JTNDZGl2JTIwY2xhc3MlM0QlMjJteV9iYWNrX2J1dHRvbiUyMiUzRSUwQSUwOSUwOSUwOSUwOSUwOSUwOSUzQ2ElMjBocmVmJTNEJTIyaHR0cHMlM0ElMkYlMkZ3d3cuY29uc3VsdGFudHMtaW1tb2JpbGllci5jb20lMkZlbiUyRnByb3BlcnR5LWd1aWRlcyUyRiUyMiUzRSUzQyUyMEJhY2slMjB0byUyMHByb3BlcnR5JTIwZ3VpZGVzJTNDJTJGYSUzRSUwQSUwOSUwOSUwOSUwOSUwOSUzQyUyRmRpdiUzRQ==[\/vc_raw_html][\/vc_column][\/vc_row][vc_row css=&#8221;.vc_custom_1736945419378{background-image: url(https:\/\/staging.consultants-immobilier.com\/wp-content\/uploads\/2025\/01\/plus_value_taxe.jpg?id=12206) !important;background-position: center !important;background-repeat: no-repeat !important;background-size: cover !important;}&#8221; el_class=&#8221;override_left&#8221;][vc_column css=&#8221;.vc_custom_1657728499249{padding-right: 15px !important;padding-left: 15px !important;}&#8221;][\/vc_column][\/vc_row][vc_row el_class=&#8221;override_pos&#8221;][vc_column][vc_row_inner css=&#8221;.vc_custom_1662026446228{background-color: #e4e4e4 !important;}&#8221;][vc_column_inner][vc_custom_heading text=&#8221;How Does Capital Gains Tax on Real Estate Work?&#8221; font_container=&#8221;tag:h1|font_size:37|text_align:center|color:%23040e31&#8243; use_theme_fonts=&#8221;yes&#8221; css=&#8221;.vc_custom_1736946244126{padding-right: 20px !important;padding-bottom: 30px !important;padding-left: 20px !important;}&#8221; el_class=&#8221;relative_pos&#8221;][\/vc_column_inner][\/vc_row_inner][vc_row_inner equal_height=&#8221;yes&#8221; el_class=&#8221;firstblock guide-wrapper-row vc_row-o-equal-height vc_row-flex&#8221; css=&#8221;.vc_custom_1765897502487{background-color: #ffffff !important;}&#8221;][vc_column_inner width=&#8221;4\/5&#8243;][vc_column_text css=&#8221;&#8221; el_class=&#8221;resume_block&#8221;][\/vc_column_text][vc_column_text css=&#8221;&#8221; el_class=&#8221;content_block&#8221;]<span style=\"font-weight: 400;\">Did you make a profit by selling a property you own? This <\/span><b>capital gain<\/b><span style=\"font-weight: 400;\"> is subject to the fixed rate <\/span><b>income tax<\/b><span style=\"font-weight: 400;\"> as well as <\/span><b>social contributions<\/b><span style=\"font-weight: 400;\">. However, exemptions and deductions are possible under certain circumstances. Here&#8217;s everything you need to know about the <\/span><b>real estate capital gains tax<\/b><span style=\"font-weight: 400;\">.<\/span><\/p>\n<h2><b>What Are the Tax Implications of a Property Sale?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">A capital gain arises when you make a profit from a <\/span><b>property sale<\/b><span style=\"font-weight: 400;\">. This gain is taxed at an <\/span><b>income tax<\/b><span style=\"font-weight: 400;\"> rate of 19% and <\/span><b>social contributions<\/b><span style=\"font-weight: 400;\"> at a rate of 17.2%. An additional surtax of 2% to 6% (calculated on the total taxable <\/span><b>capital gain<\/b><span style=\"font-weight: 400;\">) is applied for real estate gains exceeding \u20ac50,000.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Taxation applies to <\/span><a href=\"https:\/\/staging.consultants-immobilier.com\/en\/sellers-guides\/the-stages-of-the-sale\/real-estate-capital-gain\/plus-value-residence-secondaire\/\"><span style=\"font-weight: 400;\">capital gains<\/span> <b>from second homes<\/b><\/a><span style=\"font-weight: 400;\">, rental properties, commercial premises, land, and shares in property investment companies (SCPI) or real estate companies (SCI).<\/span><\/p>\n<h2><b>What Are the Possible Exemptions for Real Estate Capital Gains?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Capital gains from certain property sales are fully exempt depending on the property&#8217;s circumstances, or the buyer&#8217;s or seller&#8217;s situation.<\/span><\/p>\n<h2><b>Property Situation<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The <\/span><a href=\"https:\/\/staging.consultants-immobilier.com\/en\/sellers-guides\/the-stages-of-the-sale\/real-estate-capital-gain\/\"><span style=\"font-weight: 400;\">capital gains exemption<\/span><\/a><span style=\"font-weight: 400;\"> applies to:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The sale of a <\/span><b>primary residence<\/b><span style=\"font-weight: 400;\"> and its dependencies (yard, garage, parking space, etc.). This refers to your main and actual residence at the time of the sale.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The sale of properties other than the <\/span><b>primary residence<\/b><span style=\"font-weight: 400;\">, under two conditions: reinvesting all or part of the <\/span><b>sale price<\/b><span style=\"font-weight: 400;\"> within two years to buy or construct a <\/span><b>primary residence<\/b><span style=\"font-weight: 400;\"> and not owning a <\/span><b>primary residence<\/b><span style=\"font-weight: 400;\"> in the four years preceding the sale.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">All properties held for over 22 years: exempt from <\/span><b>income tax<\/b>.<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">All properties held for over 30 years: also exempt from <\/span><b>social contributions<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Transactions under \u20ac15,000.<\/span><\/li>\n<\/ul>\n<h2><b>Seller&#8217;s Situation<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Additionally, <\/span><a href=\"https:\/\/staging.consultants-immobilier.com\/en\/sellers-guides\/the-stages-of-the-sale\/real-estate-capital-gain\/capital-gains-exemption\/\"><span style=\"font-weight: 400;\">capital gains exemption<\/span><\/a><span style=\"font-weight: 400;\"> applies to sellers who are:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Retirees receiving a pension and residing in a care home.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Holders of a disability card or living in a care facility for disabled adults.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Non-residents of France.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Not owning a <\/span><b>primary residence<\/b><span style=\"font-weight: 400;\"> for the past four years but owning a <\/span><b>secondary residence<\/b><span style=\"font-weight: 400;\"> that qualifies for exemption.<\/span><\/li>\n<\/ul>\n<h2><b>Buyer&#8217;s Situation<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">You may benefit from a tax exemption if the buyer is:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A housing organization for social purposes or a private operator committed to building social housing.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Expropriated due to a declaration of public utility and reinvesting their compensation in property purchase or construction.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Exercising their right of abandonment and selling their property, provided their compensation is reinvested within one year.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">It is advisable to get a <\/span><a href=\"https:\/\/staging.consultants-immobilier.com\/en\/value\/\"><span style=\"font-weight: 400;\">property valuation<\/span><\/a><span style=\"font-weight: 400;\"> from a professional to determine a <\/span><b>selling price<\/b><span style=\"font-weight: 400;\"> in line with market trends.<\/span><\/p>\n<h2><b>How to Calculate the Real Estate Capital Gains Tax?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">To determine the <\/span><b>gross capital gain<\/b><span style=\"font-weight: 400;\">, calculate the <\/span><b>difference between the selling price<\/b><span style=\"font-weight: 400;\"> of the property and its purchase price. Then deduct any abatements to obtain the <\/span><b>taxable amount<\/b><span style=\"font-weight: 400;\"> of the gain, known as the <\/span><b>net capital gain<\/b><span style=\"font-weight: 400;\">. There are two types of abatements:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Abatement for <\/span><b>holding period<\/b><span style=\"font-weight: 400;\">: the rate for <\/span><b>income tax<\/b><span style=\"font-weight: 400;\"> ranges from 6% for the 6th to the 21st <\/span><b>year of ownership<\/b><span style=\"font-weight: 400;\"> to 4% for the 22nd year. For <\/span><b>social contributions<\/b><span style=\"font-weight: 400;\">, the rate ranges from 1.65% to 1.6% for the same periods. After the 22nd year, the abatement rate is 9%.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Exceptional abatement<\/b><span style=\"font-weight: 400;\">: 60% for zones A, A bis, or B1 and 70% for areas covered by urban development or national interest revitalization operations.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">For instance, if you sold a property held for 15 years and realized a capital gain of \u20ac60,000, with a 60% abatement, you receive a deduction of \u20ac36,000. The taxable amount is thus \u20ac24,000 (\u20ac60,000 &#8211; \u20ac36,000). With a<\/span><b> 19% tax rate<\/b><span style=\"font-weight: 400;\">, you would owe a tax of \u20ac4,560.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To calculate the real estate capital gains tax, simply determine the <\/span><b>actual sale price<\/b><span style=\"font-weight: 400;\"> and the <\/span><b>purchase price<\/b><span style=\"font-weight: 400;\">. To qualify for exemptions or abatements, consider the property\u2019s circumstances, <\/span><b>purchase price<\/b><span style=\"font-weight: 400;\">, expenses, the seller&#8217;s or buyer&#8217;s situation, and <\/span><b>holding period<\/b><span style=\"font-weight: 400;\">. It is recommended to consult a real estate professional or notary to secure your <\/span><b>property sale<\/b><span style=\"font-weight: 400;\">.<\/span>[\/vc_column_text][\/vc_column_inner][vc_column_inner width=&#8221;1\/5&#8243; el_id=&#8221;summary_column&#8221;][\/vc_column_inner][\/vc_row_inner][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&#8221;&#8221;]<\/p>\n<h2>See others guides<\/h2>\n<p>[\/vc_column_text][sgi_vc_agencies_index][sgi_vc_bloc_guide sgi_vc_bloc_guide_title=&#8221;Capital Gain on Second Homes: Maximize Your Profit.&#8221; sgi_vc_bloc_guide_subtitle=&#8221;Maximize the Capital Gains on Your Second Home: Understand Taxes, Exemptions, and Best Practices to Sell at the Right Time.&#8221; sgi_vc_bloc_guide_page=&#8221;url:https%3A%2F%2Fstaging.consultants-immobilier.com%2Fen%2Fsellers-guides%2Fthe-stages-of-the-sale%2Freal-estate-capital-gain%2Fplus-value-residence-secondaire%2F|title:Capital%20Gain%20on%20Second%20Homes&#8221; sgi_vc_bloc_guide_image=&#8221;11087&#8243;][sgi_vc_bloc_guide sgi_vc_bloc_guide_title=&#8221;Capital Gains Exemption: Everything You Need to Know&#8221; sgi_vc_bloc_guide_subtitle=&#8221;Learn the Conditions for Capital Gains Tax Exemption on the Sale of Your Property: Explanations and Practical Tips.&#8221; sgi_vc_bloc_guide_page=&#8221;url:https%3A%2F%2Fstaging.consultants-immobilier.com%2Fen%2Fsellers-guides%2Fthe-stages-of-the-sale%2Freal-estate-capital-gain%2Fcapital-gains-exemption%2F|title:Capital%20Gains%20Exemption&#8221; sgi_vc_bloc_guide_image=&#8221;11484&#8243;][sgi_vc_bloc_guide sgi_vc_bloc_guide_title=&#8221;What Is the Real Estate Wealth Tax?&#8221; sgi_vc_bloc_guide_subtitle=&#8221;Access All the Essential Information to Accurately Declare Your Assets.&#8221; sgi_vc_bloc_guide_page=&#8221;url:https%3A%2F%2Fstaging.consultants-immobilier.com%2Fen%2Ftax-and-wealth-guides%2Fifi%2F|title:IFI&#8221; sgi_vc_bloc_guide_image=&#8221;8522&#8243;][\/sgi_vc_agencies_index][\/vc_column][\/vc_row]<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Understanding Capital Gains Tax on Real Estate: Calculation, Exemptions, and Steps to Optimize Taxation When Selling a Property.<\/p>\n","protected":false},"author":6,"featured_media":12207,"parent":6982,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"single-guide.php","meta":{"_acf_changed":false,"footnotes":""},"class_list":["post-12204","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/pages\/12204","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/comments?post=12204"}],"version-history":[{"count":2,"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/pages\/12204\/revisions"}],"predecessor-version":[{"id":12216,"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/pages\/12204\/revisions\/12216"}],"up":[{"embeddable":true,"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/pages\/6982"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/media\/12207"}],"wp:attachment":[{"href":"https:\/\/staging.consultants-immobilier.com\/en\/wp-json\/wp\/v2\/media?parent=12204"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}