Capital gain taxes

New rules on capital gain taxes from the 1st of February 2012:

When investing in a leaseback, you enter the general frame of capital gain taxes, which is a tax on the whole capital gain (the difference between the purchase price, fees included, and the net sales price) during the first 5 years, and then you get a certain rebate according to the period of time you keep the property:

- 2% rebate per year of ownership between year 5 and year 17
- 4% rebate per year of ownership between year 17 and year 24
- 8% rebate per year of ownership between year 24 and year 30

This way, there will be no capital gain taxes to pay after 30 years.

Capital gain in France is taxed at a level of 19% + CSG (13.5%). It is the Notary who is in charge of calculating and paying the tax to the French tax center on the day of the sale.