Bulgarian resident: letting a flat in Nice, tax and structure

What the tax treaty says

Treaty of 14 March 1987, in force since 1988. Property income falls under article 5 (not 6) and gains under article 11: France may tax them.

How double taxation is avoided

Exemption with progression (art. 20). As Bulgaria applies a 10% flat rate, progression has no practical effect: your Nice rent is taxed only in France.

On the French side: what you will pay

• Income tax at the non-resident minimum rate: 20% up to €29,579, 30% above (2025 income), or the average rate on option.
• Social charges: 7.5% (solidarity levy only) if you are covered by this country’s social security.
• Micro-BIC 2026: 30% allowance up to €15,000 (unclassified holiday let), 50% up to €83,600 (classified or mobility lease).
• Capital gains: 19% plus social charges, holding-period allowances. See taxation.
• Receiving rent: a French account is not required, a European (SEPA) account is enough. See receiving rent from abroad.

Bulgaria-specific taxes

• Bulgarian income tax: 10% flat rate. No wealth tax.

Declaring your Nice flat at home (Bulgaria)

• Rent is reported in the annual return (“годишна данъчна декларация по чл. 50 от ЗДДФЛ”), annex “Приложение № 4” (rental income), which includes residents’ foreign-source income.
• Exemption with progression is claimed in annex “Приложение № 9”, part I; for this method the NRA does not require proof of foreign tax paid, but keep your French tax notice.
• The property itself is declared in annex “Приложение № 8”, part II, which lists real estate held abroad at 31 December.
• Deadline: 10 January to 30 April of the following year. Bulgaria adopted the euro on 1 January 2026: no conversion for 2026 income; for earlier years, conversion into leva at the BNB rate on the day of receipt.

Form names and deadlines are those published by the country’s tax authority and change every year: have them confirmed by a tax adviser in your country.

What if you buy through an SCI?

No published doctrine was found on how this country classifies a French SCI (transparent or opaque): get local advice first.

Reminder on the French side: an SCI letting furnished becomes liable to corporate tax above 10% commercial receipts, and a company whose main activity is letting property must compensate from the first flat to get a change of use in Nice.

Which structure, generally?

Personal ownership (LMNP) is simplest: tax paid in France only. A corporate-tax company would move distributions into the more complex dividend regime.

General guidance, to be confirmed with a tax adviser in your country and a French notary before buying.

Change of use, without travelling

No nationality condition: an owner living in Bulgaria applies like a French resident, usually under a power of attorney. We prepare and file your application for free, then manage the property in English, at 20% excl. VAT (24% incl. VAT) for short stays or 15% excl. VAT (18% incl. VAT) under a mobility lease.