17.2%
Full prélèvements sociaux rate — applies to non-EU/EEA landlords including UK post-Brexit
7.5%
Solidarity levy rate for EU/EEA residents — the reduced rate following de Ruyter
€23,000
Annual receipts threshold above which LMP SSI contributions replace prélèvements sociaux
2021
Year UK residents lost EU/EEA social levy treatment post-Brexit

Two Social Charge Regimes for Meublé Landlords

All meublé rental income in France is subject to social charges, but the applicable regime and rate depend on whether the landlord is LMNP or LMP, and on whether they are resident in the EU/EEA. These social charges are independent of income tax: they apply even when the landlord pays no income tax — for example, because amortissement has reduced taxable income to zero. For non-resident landlords, understanding the social charge regime is therefore as important as understanding the income tax position.

Prélèvements Sociaux: The LMNP Default

LMNP landlords pay prélèvements sociaux (social levies) on their net meublé income at the applicable rate. The prélèvements sociaux comprise three elements: CSG at 9.2%, CRDS at 0.5%, and solidarity levy at 7.5% — a total of 17.2%. These levies are assessed on the same taxable base as income tax (net BIC income after allowances or actual charges, depending on the regime).

The prélèvements sociaux are not social security contributions — they do not create entitlements to French healthcare, pension, or family benefits. They are a form of earmarked tax that funds the French social security system. This distinction is critical for non-EU/EEA residents who cannot benefit from the de Ruyter reduced rate and cannot offset prélèvements sociaux against tax in their home country under a double-tax treaty.

EU/EEA Residents: The De Ruyter Reduced Rate

Following the de Ruyter ruling of the Court of Justice of the European Union (CJEU C-623/13, 26 February 2015) and its French implementation, EU and EEA residents who are affiliated to a social security system in another EU/EEA member state cannot be subject to the full French prélèvements sociaux on income from their French property. Instead, they pay only the solidarity levy of 7.5% — a reduction of 9.7 percentage points.

This applies to: EU nationals resident in an EU member state, EEA nationals resident in Iceland, Liechtenstein, or Norway, and Swiss nationals following the French-Swiss agreement. The reduced rate applies to both rental income and capital gains. To benefit, the landlord must be affiliated to a social security system in another EU/EEA state — typically demonstrated by national health insurance membership (an S1 form or equivalent certificate of coverage attached to the French tax declaration).

🇬🇧
UK Residents Post-Brexit: Full 17.2% Applies

Since 1 January 2021, UK residents are no longer EU/EEA residents for French social levy purposes. They are subject to the full 17.2% prélèvements sociaux on French meublé income and capital gains. The France-UK double-tax treaty continues to apply for income tax purposes, but it has no impact on social levies — these are not covered by the treaty. This is a significant cost increase for UK-based landlords of French furnished property compared to their position before Brexit, representing an additional 9.7% on the social levy base.

LMP Landlords: SSI Social Contributions

LMP landlords pay social contributions under the regime of independent workers (sécurité sociale des indépendants — SSI) rather than prélèvements sociaux. Unlike prélèvements sociaux, SSI contributions create genuine social security entitlements — healthcare rights, pension credits, family benefits.

Contribution type Approximate rate Basis Creates entitlements?
Maladie-maternité~6.5%Net profitYes — healthcare
Allocations familiales~3.1% or 0%Net profitYes — family benefits
Assurance vieillesse de base~17.75%Net profit (capped)Yes — basic pension
Assurance vieillesse complémentaire~7%Net profitYes — supplementary pension
CSG-CRDS (SSI component)~9.7%Net profitNo — earmarked tax
Total indicative (SSI)~40–45%On net profitPartially

The SSI rate on meublé income is typically higher than the 17.2% prélèvements sociaux for LMNP landlords, but the comparison is not straightforward because SSI creates pension and healthcare rights. For a non-resident landlord who is already covered by their home country's social security system, SSI contributions are an additional cost with limited practical benefit. For a landlord with no other social security coverage, SSI affiliation may be genuinely valuable — particularly the pension credits.

Non-Resident Social Levies in Practice

Non-resident landlords — whether EU/EEA or not — must pay French social levies on French meublé income. The levies are assessed and collected by the DGFiP as part of the annual income tax declaration, not separately. For EU/EEA non-residents, the reduced 7.5% rate is claimed by attaching documentation confirming social security affiliation in another EU/EEA state. Without this documentation, the full 17.2% rate applies automatically.

Prélèvements sociaux are not covered by double-tax treaties. Unlike income tax — where the treaty typically provides a credit in the home country for French tax paid — social levies cannot be offset against home-country tax. This means the 17.2% (or 7.5%) social levy is a full additional cost on top of any home-country tax on the same income, with no treaty relief.

💡
Capital Gains: Social Levies Apply on Exit Too

Social levies apply not only to annual rental income but also to capital gains when a furnished property is sold. For LMNP landlords, social levies are assessed on the full taxable gain after taper relief. For EU/EEA residents, the 7.5% rate applies; for others, 17.2% (CSS Art. L 136-6). From 2025, the amortissement recapture (CGI Art. 150 VC amended) increases the social levy base as well as the income tax base — a double hit. Non-resident sellers must factor social levies into their capital gains planning alongside the 19% income tax rate.

Social Levies on French Meublé Rental: The Essentials
  • LMNP prélèvements sociaux (CSS Art. L 136-6): 17.2% on net meublé income and capital gains — comprising CSG 9.2% + CRDS 0.5% + solidarity levy 7.5%. Not social security contributions and do not create entitlements. Assessed by DGFiP as part of the income tax declaration. Applies even when income tax = zero (e.g. amortissement reduces BIC income to zero).
  • EU/EEA reduced rate — de Ruyter ruling (CJEU C-623/13): EU and EEA residents affiliated to a social security system in another member state pay only the solidarity levy at 7.5% — a saving of 9.7 percentage points. Claim by attaching proof of social security affiliation (S1 form or certificate of coverage) to the French tax declaration. Without documentation, the full 17.2% applies.
  • UK residents post-Brexit: subject to the full 17.2% from 1 January 2021. The France-UK double-tax treaty does not cover social levies. UK landlords face an additional 9.7% cost compared to EU/EEA counterparts on the same French property income.
  • LMP SSI contributions (CSS Art. L 622-1): ~40–45% of net profit, covering maladie-maternité, allocations familiales, assurance vieillesse (base and complémentaire), and CSG-CRDS. SSI creates genuine social security entitlements (healthcare, pension). For non-residents already covered by home-country social security, SSI contributions are an additional cost with limited practical benefit.
  • No treaty relief for social levies: double-tax treaties cover income tax but not prélèvements sociaux. Social levies cannot be offset against home-country tax. The 17.2% (or 7.5%) is a full additional cost. Social levies also apply to capital gains on exit — the 2025 amortissement recapture increases the social levy base as well as the income tax base.
Questions About Your French Social Levy Position?

Our English-speaking French lawyers advise non-resident landlords on social levy planning, EU/EEA reduced rate qualification, and the interaction between social levies and double-tax treaties.

Speak to a French Tax Lawyer

This article is for general information and educational purposes only. It does not constitute legal advice and does not create a lawyer-client relationship. Tax rates and rules are subject to change — always seek qualified French legal and tax advice.