You are a tax resident of Canada — Toronto, Montreal, Vancouver, or elsewhere — and you are selling a property in France? Like any non-EEA resident, you must appoint an accredited tax representative, and your capital gain is taxed at 36.2% before allowances (19% income tax + 17.2% social levies). On the Canadian side, the tax treaty provides a federal tax credit to avoid double taxation. This page details the steps to follow.

Since Canada is not a member of the EEA, any Canadian tax resident selling a property in France for more than €150,000 (or held for less than thirty years) must appoint a tax representative accredited by the French tax authority. The notary cannot finalise the signature without this appointment.

Standard method: difference between the sale price and the increased acquisition price (7.5% flat-rate acquisition costs, 15% flat-rate works after 5 years of ownership), then application of holding period allowances (full income tax exemption at 22 years, full social levies exemption at 30 years), then taxation at 19% + 17.2% and possible progressive surcharge above €50,000 of taxable capital gain.

Since Canada is not in the EEA, Canadian residents do not benefit from the 7.5% reduced solidarity levy rate reserved for EEA/Switzerland affiliates.

The France-Canada tax treaty, signed on 2 May 1975 and revised several times, grants France the right to tax capital gains on property located in France. Canada taxes its residents on their worldwide income but grants a foreign tax credit (federal foreign tax credit) to avoid economic double taxation, capped at the Canadian tax due on the same capital gain.

In Canada, half the capital gain (50% of the gain) is taxable at the federal and provincial marginal tax rate. The French tax credit is only usable up to this Canadian tax due — there may therefore be a non-recoverable surplus depending on the case. A preliminary simulation with your Canadian accountant (CPA) is recommended.

A Montreal resident sells in 2026 a Bordeaux apartment bought for €320,000 in 2012. Sale price: €510,000. Holding period: 14 years. Flat-rate acquisition costs (+7.5%): €24,000. Flat-rate works (+15%): €48,000. Gross gain: €118,000. Income tax allowance (14 years, 10 × 6%): 60%. Social levies allowance (14 years, 10 × 1.65%): 16.5%. Income tax: €118,000 × 40% × 19% = €8,968. Social levies: €118,000 × 83.5% × 17.2% = €16,940. Total French tax: approximately €25,908. Federal Canadian tax credit to be activated via CPA, capped at Canadian tax due on 50% of the gain at the marginal rate.

Our value for a Canada file is twofold. First, competitive tendering among accredited tax representatives, which reduces representation fees by 20 to 40% on average. Second, coordination with your Canadian accountant to align the timing between the French signature and the Canadian tax return — particularly useful when the EUR/CAD exchange rate moves or when the signature falls at year-end.

ACCREDITAX finds you the right accredited tax representative at the best rate. Free and no-obligation quote.