Tax efficient way to setup a gite and protect against capital gains tax?
We moved to France in October 2012 and have been busy renovating a barn to become a gite business - the first of three. We also have a portfolio of eight buy-to-let properties in the UK and own half an apartment in the French Alps, which is rented out under a leaseback agreement.
Ideally I would like to use the substantial renovation costs (and mortgage interest costs on the ski apartment) to declare a loss to carry forward into future years. Also to try to be protected from capital gains tax as much as possible in the future. I took some advice before leaving the UK and it seems that the auto-entrepreneur scheme is not suitable for this. It was suggested that being in the main RRS tax scheme, registered as a professional landlord might be appropriate.
What is the best approach re tax in France? I assume we continue to pay UK tax on the UK buy-to-let profits? What is the deadline for returning a 2012 tax return in France? When and how should we register as a business in France to ensure the costs are recognised as losses? Can we protect ourselves from capital gains tax by registering as a professional landlord?