Form 2042 C PRO LMNP: How to Declare Your Furnished Rental Income in France

Where should you declare your furnished rental income? What should you do with the tax return package provided by your accountant? As soon as you rent out a furnished property, you must register your activity to obtain a SIRET number and declare your income to the French tax authorities. Whether you choose the micro-BIC regime or the real profit regime, your income must be reported on your income tax return using Form 2042 C PRO LMNP.

Key Dates for the 2025 Tax Declaration

• April 2025: Online declaration service opens for 2024 income.

• May 22, 2025: Online deadline for departments 01 (Ain) to 19 (Corrèze) and non-residents.

• May 28, 2025: Online deadline for departments 20 (Corsica) to 49 (Maine-et-Loire).

• June 5, 2025: Online deadline for departments 50 (Manche) to 976 (Mayotte).

• Before May 20, 2025: Paper declaration deadline for 2024 income.

Remember to update “My Real Estate Assets” on impots.gouv.fr: whenever you invest in a property for rental purposes, you must declare it (requirement introduced in 2023). Updates are only needed if you’ve made changes to your assets since last year. You must also include your SIREN number. If you don’t have one yet, ESCEC International can help you regularize your situation quickly.

• End of July 2025: Receive your tax notice indicating whether an additional balance is due in September.

Don’t Have a SIRET Number Yet?

If you realize you don’t have a SIRET when declaring your income, you must register your activity via the INPI Unified Portal. ESCEC International can guide you step by step to obtain your SIRET promptly.

How to Declare Rental Income with Form 2042 C PRO LMNP

The boxes to fill are on the 2042 C PRO LMNP form of your income tax return. This form is selected at the beginning of the declaration process.

• LMNP (Non-Professional Furnished Rental Owner): check “Non-professional furnished rental income”and declare either under micro-BIC or real profit regime.

• LMP (Professional Furnished Rental Owner): check “Professional industrial and commercial income” and declare under micro-BIC or real regime. LMP owners must also declare social contributions paid to URSSAFduring the year.

For seasonal rentals, if revenue exceeds €23,000, LMNP status remains (unless it represents your main income), but social contributions must be paid.

Paper vs. Online Declaration

• Paper: include your name, address, and SIRET on the cover page of the 2042 C PRO LMNP.

• Online: these details are pre-filled in your impots.gouv.fr account.

All rental income is classified as BIC (Industrial and Commercial Profits).

Step 1: Declare Taxable Income in Form 2042 C PRO LMNP

1. Micro-BIC Regime

The micro-BIC regime applies if revenue is:

• < €77,700 for furnished rentals

• < €188,700 for guest rooms and classified tourist rentals

Updated thresholds since January 1, 2024, for seasonal rentals:

*21% if combined: property outside high-demand area + revenue < €15,000

• Declare gross rental income including charges; the tax authorities apply the deduction automatically.

• Note: micro-BIC seems simple but real regime is often more advantageous, allowing full deduction of expenses and amortization, potentially reducing taxable income to zero.

LMNP Boxes (Micro-BIC):

• Standard furnished rental: 5ND, 5OD, 5PD

• Guest rooms/tourist rentals without social contributions: 5NG, 5OG, 5PG

• Tourist rentals with social contributions (>23,000 €): 5NW, 5OW, 5PW

• Guest rooms with social contributions (>23,000 €): 5NJ, 5OJ, 5PJ

LMP Boxes (Micro-BIC): 5KN, 5LN, 5MN

2. Real Profit Regime

For the real regime, a full tax return package (liasse fiscale) must be prepared:

• Complete accounting of the rental activity, including amortizations

• Transmission by a specialized accountant to the tax office

• Reporting the resulting taxable profit on the 2042 C PRO LMNP

LMNP:

• Profit: 5NA, 5OA, 5PA

• Loss: 5NY, 5OY, 5PY

LMP:

• Profit: 5KC, 5LC, 5MC

• Loss: 5KF, 5LF, 5MF

Deficit Rules:

• LMP: deductible from total income without limit, excess deductible for 6 years

• LMNP: deductible only on BIC income of the same type, for 10 years

The real regime allows deduction of all expenses (works, loan interest, amortization) to optimize rental income. ESCEC International can advise on your best options.

Step 2: Declare Social Contributions (LMP)

LMP owners must declare URSSAF contributions, shown in the liasse fiscale under “Provisions – Exceptional amortizations – Deficit 2033 D”.

LMNP seasonal rentals > €23,000: must also register with a social insurance fund and declare contributions in the online account (DSCA/DSCB) after confirming affiliation (DSAE).

Attention to Pre-Filled Amounts

Since 2022, profit or loss is pre-filled by the tax authorities when your accountant submits the liasse fiscale.

• Airbnb income is often pre-filled in micro-BIC boxes

• For first-year real regime, replace pre-filled micro-BIC with actual results

Tip: If unsure, submit a partial declaration and modify later. Corrections can be made up to mid-July. ESCEC International can also correct declarations up to 3 years retroactively.

Additional Obligations for Furnished Rental Owners

Beyond income declaration, you must declare the start of your activity via the INPI Unified Portal since January 1, 2023.

If you are unsure about tax options or filling the 2042 C PRO LMNP, ESCEC International offers a free consultationto review your situation and advise on necessary steps.