Determine if you have to pay property tax in France in 2022.

The property tax is levied on households that own real estate valued at more than 1.3 million euros as of January 1 of that year. The property tax (IFI) applies to households that own real estate worth more than 1.3 million euros as of January 1 of that year. The property tax (IFI) is applicable to built structures and undeveloped land, including plots, as well as certain investments where property ownership is a key factor, such as shares in SCI. The property tax is calculated based on the value of the property as of January 1 of each year. The primary residence of an individual is reduced by 30% of its value.

There are also certain reductions and exceptions; for example, real estate used for primary activities does not count, including stores or offices, for instance. Professionally furnished rentals are also considered property necessary for conducting business. In addition to this, exceptions apply to land used for forestry or farming.

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Savings accounts, life insurance schemes, furniture, cars, jewelry, works of art, and other movable items are not subject to taxation; only real estate in the sense of land or bricks is.

However, IFI can also relate to "rights" to real estate, such as a lifetime right to use land, and certain shares if they pertain to investments in real estate or in mixed cases, proportionally to investments in real estate. If you are a resident of France, you are assessed for IFI on your worldwide assets. For non-residents, it mainly concerns real estate and property rights in France and companies established to own real estate there.

The amount to be paid is calculated based on the circumstances of the tax household. A single person living alone is considered a single tax household, just like a married couple or cohabiting partners. Tax authorities take into account all property owned by the tax household as a whole, rather than by individuals within it.

When the net worth exceeds €1.3 million, IFI is charged on a progressive scale of six bands from 0 to 1.5%. Although your estate is assessed for IFI on estates above €1.3 million, in practice this will only apply to the proportion of your estate that exceeds €800,000, as the zero rate applies to this amount.