Three cheers for the French charging NIC on rents and gains – now let’s do the same here

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There are news reports today that the French are going to impose new taxes on the rental incomes and capital gains declared by UK resident owners of French properties.

Right now UK residents who own and maybe rent such properties get favourable treatment to the French. Whilst these UK resident people are subject to tax on their capital gains and rental income arising in France at present they are not, unlike their French counterparts, at present charged to social insurance charges (the equivalent of national insurance charges in the UK) on that income.

The new move is to charge those UK residents to the same national insurance charges that their French counterparts pay. As this change eliminates a ring fence in favour of non-residents it has to be welcomed by all committed to tax justice.

But there's another much more important aspect to this and that's if the French have the sense to charge national insurance on rents and capiotal gains why the heck aren't we? The avoidance of national insurance is a major activity in the UK, aided and abetted by the numerous loop holes the law provides. It is time we shut them, as it looks like the French are.