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TAXES

Reader question: How do I convert income into euros for my French tax declaration?

If you're a foreigner in France, you may be declaring income from another country - here's how to do your currency conversions.

Published: 22 May 2023 12:40 CEST
Reader question: How do I convert income into euros for my French tax declaration?
Photo by ISABEL INFANTES / AFP

Question: On the French tax declaration I’m required to declare my non-French income, which is mostly in dollars – what method should I use for converting the amounts into euro?

If you’re living in France you will almost certainly have to complete the annual income tax declaration, even if you have no income in France – eg retirees living on a UK or US pension.

READ ALSO What you need to know about the 2023 French tax declaration

You are also required to declare all your worldwide income – if you have already paid tax on it in another country you probably won’t have to pay more tax in France, if your country has a tax treaty with France, but you have to declare it all the same.

All of which means that foreigners living in France are likely to be declaring at least some income – earnings, pensions, rental income or share dividends – that is not in euros.

So how do you do the conversion?

The first thing to note is that all income on the French tax form must be declared in euros, there is no facility to declare in another currency, which means that you need to convert your income into euros before you start.

In terms of how you do the conversion, there is no fixed formula, and most people use online currency converters such as XE or Google for the sake of simplicity, but you can also look up the exchange rate and do your own calculations. 

It is advised that you take a note of which method you used, and the date you did the conversion, just in case any of your working is challenged by the tax office.

Accountants report that it is very rare that the French tax office would challenge your return based on how you convert foreign currency into euros, but it is wise to keep a note of your method just in case.

Chartered accountant Faten Amamou, who specialises in international clients, told The Local: “Before you start to fill out your tax declaration, if you have any income that isn’t in euros, you’ll need to convert it to euros. There is no set method for doing this, but keep a note of the method, logic and currency conversion you have used in case you are questioned about it.”

READ ALSO Ask the expert: How to fill out your 2023 tax declaration

You can find more details about the 2023 tax declaration, tax deadlines and the property tax declaration in our tax section HERE.

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PROPERTY

What you need to know about France’s 2024 property tax declaration

If you own property in France, you may need to complete a property tax declaration - here's who needs to do it, how to complete the forms and the 2024 deadlines.

Published: 18 April 2024 14:58 CEST
What you need to know about France's 2024 property tax declaration

Who

The déclaration d’occupation (property tax declaration) is for everyone who owns property in France, even if you live in another country. It includes people who use their property as their main home, those who use it as a second home and those who rent it out.

It applies to both French people and foreigners.

However, it is not an annual task – if you completed the declaration last year, and if nothing has changed since then, then you have nothing to do this year.

The form concerns property that you owed on January 1st 2024, if you have bought a property since then, you do not need to do the form until next year.

When

The property tax declaration must be completed by 11.59pm on June 30th if you are filing online.

If you are using the paper form, it must arrive at the tax office by July 1st, which means it must be posted no later than June 30th if you are sending it from France, or earlier if you are posting it from overseas. It is advised to send the form by registered mail (lettre recommandé) in order to have proof of when it was sent.

Failure to complete the declaration by the deadline can lead to a fine of €150 per property (although last year several extensions were given to people having trouble with the process).

How

There are two ways to complete the declaration – online or on paper.

For most people, the online option will be easier. 

To do this, you first need to request a numéro fiscal (tax number) if you do not already have one, and then use this number to create an account on the tax website impots.gouv.fr – you can find full instructions on how to do that HERE.

If you file an annual income tax declaration in France and already have an account on impots.gouv.fr then you can use the same login for the property tax declaration.

On paper – The property tax declaration was introduced in 2023 and was initially described as an ‘online only’ task – however this year the tax office has made available a paper option for people who either do not have internet access or who are not confident with online procedures.

You can download a copy of the form HERE, or go to your local tax office and ask for one in person. Once completed, the form is returned by mail, or in person to your local tax office.

You will need a numéro fiscal (tax number) even if you are declaring on paper. If you have previously received property tax bills, the number will be on the bill. If you do have a number you will need to request one – this can either be done in person at your local tax office or online – full details HERE.

The form 

The déclaration d’occupation itself is one of the shorter and simpler pieces of administration in France.

Online – If you are filing online, go to impots.gouv.fr, click Votre espace particulier in the top right hand corner and then login to your account.

Across the top of the screen will be an option ‘Mes biens immobiliers‘ – click that.

You should then see a list of the properties that you own in France – if you have a house that has outbuildings or a swimming pool, you will notice that the outbuildings and pool are listed separately. This is normal.

Click on the listing for your property which should take you directly to the form. Some details will be pre-filled so you just need to check that they are correct. The form will ask for your personal details and also details of the property such as its size and number of rooms.

These details are used to calculate your tax bill – if there is only a minor anomaly that probably won’t make much difference but there is a significant difference (eg the tax office thinks you have 25 rooms but you actually only have 6) then you should correct this as it can affect your bill.

If you have recently purchased your property you should check that the previous owner registered the details correctly, including a swimming pool if you have one. You can be fined for having an undeclared pool.

Finally the form will ask you what the property is used for – a main residence, a second home or rented out and will also ask for the name of the occupier/s.

If the house is a second home, you list yourself as the occupier, and in the bit that says ‘occupied since’ you put the date when you bought it.

If you rent it out on a long-term lease you will be asked for the names of the tenants who were resident on January 1st or to indicate if the property is empty. 

Paper – if you are filing on paper you will not get any pre-filled details and will have to answer all sections yourself. The sections of the form are as described above.

Troubleshooting 

If you own the property jointly with another person or persons, then only one of you needs to complete the property tax declaration. 

If you own your property through an SCI you may not see it listed on your tax account – full details HERE.

The property tax website generally works well, although it does sometimes crash close to deadlines when it is very busy – if you are having trouble with the site first turn off any adblockers, and then turn off automated translation tools (the site allows you to copy and paste chunks of text into a translation tool in a separate window if you’re struggling with some of the French vocabulary). 

READ ALSO French property tax declaration – your questions answered

If you’re having difficulties, you can visit your local tax office – Google Centre des finances publiques plus the name of your commune to find your local office. You do not need an appointment and can visit on a walk-in basis, but take careful note of the opening hours as not all offices are open five days a week.

Some tax offices in smaller towns cannot deal with property tax queries, but if this is the case they will be able to direct you to the tax office in the your area that can answer your query.

You can also call the tax helpline on 0 809 401 401, or book a telephone appointment by heading to the ‘Contact et redenez-vous’ section on the tax website.

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