The results provided by this calculator are for information purposes only and do not constitute legal or financial advice.
The real-estate capital gain is the difference between the adjusted sale price and the adjusted purchase price of a property. When selling a property other than the main residence, this gain may be taxed as income tax at a rate of 19% and to social levies at a combined rate of 17.2%.
The sale of a main residence is in principle fully exempt from capital-gains tax.
The longer the property is held, the larger the allowance applied to the gross gain. For income tax, the allowance is 6% per year from the 6th to the 21st year, then 4% for the 22nd year: the exemption is full beyond 22 years. For social levies, the allowance is 1.65% per year from the 6th to the 21st year, 1.60% for the 22nd year, then 9% per year from the 23rd to the 30th year: the exemption is full beyond 30 years.
The purchase price can be increased by acquisition costs, taken either at their actual amount or at a flat rate of 7.5% of the purchase price. Works can also be added, at their actual amount or at a flat rate of 15% of the purchase price, this flat rate being allowed only if the property has been held for more than 5 years.
Gross gain = (sale price − selling costs) − (purchase price + acquisition costs + works)
Income tax equals the gross gain reduced by its allowance, multiplied by 19%. Social levies follow the same principle with their own allowance and the 17.2% rate.
For a rental property bought for €200,000 in 2010 and resold for €300,000 in 2024, i.e. 14 years of holding:
Acquisition costs at the flat rate: 200,000 × 7.5% = €15,000. Works at the flat rate: 200,000 × 15% = €30,000. The adjusted purchase price is therefore €245,000 and the gross gain is 300,000 − 245,000 = €55,000.
After 14 years, the income-tax allowance is 9 × 6% = 54%: the taxable base is 55,000 × 46% = €25,300, giving income tax of 25,300 × 19% = €4,807. The social-levies allowance is 9 × 1.65% = 14.85%: the base is €46,832.50, giving social levies of €8,055.19. Total taxation reaches €12,862.19 and the net gain after tax €42,137.81.
When the taxable gain exceeds €50,000, an additional tax may apply on a progressive scale. This calculator flags that case without quantifying the amount.
