LMNP Furnished Rental Tax 2026: Micro-BIC vs Régime Réel Explained

A furnished let is treated as a commercial activity, so the income falls under BIC (bénéfices industriels et commerciaux), declared in the LMNP regime when you are a non-professional landlord. This is a different world from unfurnished rent (revenus fonciers): different forms, different allowances, and — the headline LMNP advantage — the ability to depreciate the asset.

To qualify as a genuine furnished let, the property must come with the legally required furniture and equipment (bed, cooking facilities, fridge, table, etc.) so the tenant can move in and live with just their suitcase. Get the furnishing wrong and the tax office can requalify the let as unfurnished.

Under micro-BIC you declare gross receipts and the tax office applies a flat allowance — no accounting required:

• Standard long-term furnished: 50% allowance, available up to €77,700 of gross annual receipts.
• Classified tourist accommodation (meublé de tourisme classé): 50% allowance (reduced from the old 71%), with its own threshold.
• Unclassified tourist accommodation: 30% allowance, with a low €15,000 threshold since the 2024 reform.

Micro-BIC is effortless and works well when your real expenses are low. But it caps your deduction at the flat percentage — you cannot deduct interest, works, or depreciation on top.

If you let short-term, the Rent — Lease & Short-Term app (and its web companion) surfaces each property's micro-BIC classification — 50% for a classified meublé de tourisme, 30% non-classified — next to its stays and taxe de séjour, and flags the 120-night primary-residence cap before you cross it, so you can see which allowance applies before you declare. It surfaces the figures; it does not file your return or replace an accountant.

The régime réel is where LMNP becomes powerful. You deduct your actual expenses — loan interest, works, management and accountancy fees, insurance, the taxe foncière, co-ownership charges — and you depreciate the property (excluding land) and the furniture over their useful lives.

That depreciation is a non-cash deduction: it reduces taxable profit without costing you anything in the year. In practice, many réel-regime LMNP landlords report little or no taxable income for years, even while collecting rent. The trade-off is that the réel requires proper accounts — most landlords use an accountant — and is declared on the professional forms (2031 + 2042-C-PRO). Above €77,700 of receipts, the réel is mandatory anyway.

You remain LMNP (non-professional) as long as your annual furnished receipts stay under €23,000 or under the total of your household's other earned income. Cross both lines and you become LMP (professional), with different social-contribution and capital-gains rules.

The big recent change: under the 2025 reform (loi Le Meur), the depreciation you deducted under the réel is now reintegrated into the capital gain when you sell — increasing the taxable gain compared with the old, more generous treatment. It does not remove the year-to-year benefit of depreciation, but it changes the long-term maths, so the réel's advantage now depends partly on how long you hold and your exit plan. This is exactly the kind of trade-off worth modelling with an adviser before choosing.

As a rule of thumb: if you have a mortgage, did works, or bought recently, the régime réel usually wins thanks to interest and depreciation; if your costs are minimal and you value simplicity, micro-BIC may be enough. Run both numbers before committing — the réel election binds you for a period.

Whichever you pick, furnished letting still needs the underlying rental paperwork done right: a compliant furnished lease, an inventory of the furniture (inventaire du mobilier), the entry/exit état des lieux, and rent receipts. Keeping those generated and stored cleanly is what makes either tax regime — and any future check — straightforward.

The Rent — Lease & Short-Term app and its web companion generate the furnished lease, the inventaire du mobilier, the entry/exit état des lieux and rent receipts, and run a free per-property compliance check — DPE letting-ban status, mandatory diagnostics, SIRET/LMNP, short-term registration and taxe de séjour — so the paperwork and obligation side stays covered while you and your adviser settle the tax side. The first property is free (10 documents included).