There’s a great article in the Sunday Times today (March 16, 2014), all about the perils of British expat’s in EU countries. If ever we needed proof that governments are thrashing around, frantic to tax everything in sight, then this is it.

In France you have to declare bank accounts held in other countries you are fined €1500 per account per year; this includes PayPal. One expat has been fined a total of €25,000 because he had totally forgotten about a dormant account.

Of course the real target is property. Renting out a second home in France now incurs a 15.5% ‘social charge’ on top of a %20 tax, and this cannot be offset against British Income tax. Selling a second home incurs a 19% capital gains tax, and a 15.5% ‘social charge’ if the property was owned for less than 22 years.