{"id":1748,"date":"2026-04-21T09:37:37","date_gmt":"2026-04-21T07:37:37","guid":{"rendered":"https:\/\/balmontconseil.com\/?p=1748"},"modified":"2026-10-18T21:06:47","modified_gmt":"2026-10-18T19:06:47","slug":"scpi-et-assurance-vie-luxembourgeoise","status":"publish","type":"post","link":"https:\/\/balmontconseil.com\/en\/blog\/scpi-et-assurance-vie-luxembourgeoise\/","title":{"rendered":"SCPIs in a Luxembourg assurance-vie contract: tax, access and protection"},"content":{"rendered":"<div class=\"bluf-box\">\n<h2>In summary\u2026<\/h2>\n<p>Holding French SCPI units (French real estate investment companies) in a Luxembourg assurance-vie contract is possible, but the arrangement carries a cost that a French contract does not: the Luxembourg insurer is taxed in France, at 25%, on its share of the SCPIs&#039; profits. The 33.33% rate often quoted is the former corporate income tax rate. Access to SCPIs also depends on your investor category and on the insurer.<\/p>\n<\/div>\n<h2 class=\"wp-block-heading\"><strong>1. What the insurer pays in France<\/strong><\/h2>\n<p class=\"wp-block-paragraph\">An SCPI is tax-transparent: each unitholder is taxed on its share of the profits. When the unitholder is a Luxembourg insurer, a non-resident legal entity, it is liable to French corporate income tax on its share of the profits of French SCPIs (BOI-IS-CHAMP-60-10-30). The France-Luxembourg tax treaty of 20 March 2018 leaves the taxation of property income to the State where the property is located.<\/p>\n<ul class=\"wp-block-list\">\n<li><strong>On rental income:<\/strong>\u00a0corporate income tax at the standard rate of 25% since 2022, calculated on taxable profit, not on the amounts distributed.<\/li>\n<li><strong>On the sale of units:<\/strong>\u00a025% on the capital gain (Article 244 bis A of the French Tax Code, CGI).<\/li>\n<\/ul>\n<p class=\"wp-block-paragraph\">The 33.33% figure still quoted is the standard corporate income tax rate before it was gradually reduced to 25%. How the insurer passes this cost on to the value of the unit-linked fund varies from one insurer to another: ask for the fund&#039;s tax note in writing.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083.webp\" alt=\"Village perch\u00e9 sur une falaise dans la verdure\" width=\"1600\" height=\"905\" class=\"wp-image-5396\" srcset=\"https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083.webp 1600w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-300x170.webp 300w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-1024x579.webp 1024w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-768x434.webp 768w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-1536x869.webp 1536w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-18x10.webp 18w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-133x75.webp 133w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-083-480x272.webp 480w\" sizes=\"(max-width:767px) 480px, (max-width:1600px) 100vw, 1600px\" \/><\/figure>\n<h2 class=\"wp-block-heading\"><strong>2. Who can access them<\/strong><\/h2>\n<p class=\"wp-block-paragraph\">Since 1 February 2026, circular letter 26\/1 of the Commissariat aux Assurances, the Luxembourg insurance regulator, has replaced circular letter 15\/3 for new contracts. It classifies policyholders by amount invested and by securities wealth:<\/p>\n<figure class=\"wp-block-table\">\n<table>\n<thead>\n<tr>\n<th>Category<\/th>\n<th>Minimum investment<\/th>\n<th>Securities wealth<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>A<\/td>\n<td>\u20ac125,000<\/td>\n<td>\u20ac250,000 or more<\/td>\n<\/tr>\n<tr>\n<td>B<\/td>\n<td>\u20ac250,000<\/td>\n<td>\u20ac500,000 or more<\/td>\n<\/tr>\n<tr>\n<td>C<\/td>\n<td>\u20ac250,000<\/td>\n<td>\u20ac1,250,000 or more<\/td>\n<\/tr>\n<tr>\n<td>D<\/td>\n<td>\u20ac1,000,000<\/td>\n<td>\u20ac2,500,000 or more<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<ul class=\"wp-block-list\">\n<li><strong>Dedicated internal fund:<\/strong>\u00a0a regulatory minimum premium of \u20ac125,000; insurers often set a higher amount.<\/li>\n<li><strong>Specialised insurance fund:<\/strong>\u00a0no regulatory premium or wealth requirement.<\/li>\n<li><strong>Standard unit-linked funds:<\/strong>\u00a0an SCPI is admitted only in a small proportion and if the insurer guarantees its liquidity; whether it is offered depends on each insurer.<\/li>\n<\/ul>\n<h2 class=\"wp-block-heading\"><strong>3. For you, as a French tax resident<\/strong><\/h2>\n<p class=\"wp-block-paragraph\">The Luxembourg contract is taxed like a French contract: annual allowance of \u20ac4,600 or \u20ac9,200 on gains after eight years, 7.5% or 12.8% levy, 17.2% social charges in 2026, and estate transfer under Articles 990 I and 757 B. It must be reported every year on form 3916-3916 bis, failing which a fine of \u20ac1,500 per undeclared contract applies.<\/p>\n<h2 class=\"wp-block-heading\"><strong>4. Protection of assets: what it covers<\/strong><\/h2>\n<p class=\"wp-block-paragraph\">The assets backing the contracts are held by a custodian bank under an agreement approved by the Commissariat aux Assurances. They form a separate pool reserved by priority right for policyholders (Article 118 of the Law of 7 December 2015). This mechanism protects the ranking of your claim if the insurer fails, not the value of the funds.<\/p>\n<p class=\"wp-block-paragraph\">The liquidation of FWU Life Insurance Lux, ordered on 31 January 2025, showed its limits: contracts frozen, assets sold by the liquidator, unit-linked claims calculated on the number of units held. Luxembourg has no guarantee fund for assurance-vie.<\/p>\n<p class=\"wp-block-paragraph\">In France, the assurance-vie guarantee fund (FGAP) covers up to \u20ac70,000 per policyholder and per insurer, for French insurers. The power of the High Council for Financial Stability to restrict surrenders (Sapin 2 law) applies to insurers supervised in France; Luxembourg insurers answer to their own regulator, which also has blocking powers, and a European directive will harmonise these powers from 2027.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084.webp\" alt=\"Gratte-ciel de verre vus d'en bas\" width=\"1344\" height=\"768\" class=\"wp-image-5397\" srcset=\"https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084.webp 1344w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084-300x171.webp 300w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084-1024x585.webp 1024w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084-768x439.webp 768w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084-18x10.webp 18w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084-131x75.webp 131w, https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/balmont-article-1748-084-480x274.webp 480w\" sizes=\"(max-width:767px) 480px, (max-width:1344px) 100vw, 1344px\" \/><\/figure>\n<h2 class=\"wp-block-heading\"><strong>5. Worked example<\/strong><\/h2>\n<p class=\"wp-block-paragraph\"><strong>Situation.<\/strong> A French resident is considering investing \u20ac300,000 in French SCPIs through a Luxembourg contract.<\/p>\n<p class=\"wp-block-paragraph\"><strong>Issue.<\/strong> For every \u20ac100 of SCPI taxable profit, the insurer owes \u20ac25 of corporate income tax in France. This drag does not exist in a French contract.<\/p>\n<p class=\"wp-block-paragraph\"><strong>Strategy.<\/strong> Compare, fund by fund, the return after this cost with the same fund in a French contract, and keep the Luxembourg contract for the reasons that justify it: international mobility, dedicated funds, spreading risk across insurers.<\/p>\n<p class=\"wp-block-paragraph\"><strong>Result.<\/strong> The choice is made on the insurer&#039;s written figures, not on reputation.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Frequently asked questions<\/strong><\/h2>\n<h3 class=\"wp-block-heading\"><strong>Is the 33.33% rate still current?<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">No. It is the former standard corporate income tax rate. A non-resident insurer has been taxed at 25% since 2022.<\/p>\n<h3 class=\"wp-block-heading\"><strong>Does the Luxembourg priority right guarantee my capital?<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">No. It gives policyholders priority over the contracts&#039; assets if the insurer fails. The value of the funds remains exposed to the markets.<\/p>\n<h3 class=\"wp-block-heading\"><strong>Does a Luxembourg contract have to be declared?<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">Yes, every year, on form 3916-3916 bis filed with the income tax return.<\/p>\n<p class=\"wp-block-paragraph\"><strong>Considering a Luxembourg contract? <a href=\"\/en\/contact\/\">Book an appointment<\/a>\u00a0\u2014 we compare the funds, with the insurer&#039;s figures in writing. See also <a href=\"\/en\/nos-solutions\/assurance-vie-luxembourgeoise\/\">Luxembourg assurance-vie<\/a>.<\/strong><\/p>","protected":false},"excerpt":{"rendered":"<p>En r\u00e9sum\u00e9&#8230; Loger des parts de SCPI fran\u00e7aises dans un contrat d&rsquo;assurance-vie luxembourgeois est possible, mais le montage a un co\u00fbt que le contrat fran\u00e7ais n&rsquo;a pas\u00a0: l&rsquo;assureur luxembourgeois est impos\u00e9 en<span class=\"excerpt-hellip\"> [\u2026]<\/span><\/p>\n","protected":false},"author":5,"featured_media":5663,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[9],"tags":[],"class_list":["post-1748","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-patrimoine"],"acf":[],"jetpack_featured_media_url":"https:\/\/balmontconseil.com\/wp-content\/uploads\/2026\/10\/hd-coupe-verte-chateau.webp","_links":{"self":[{"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/posts\/1748","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/comments?post=1748"}],"version-history":[{"count":5,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/posts\/1748\/revisions"}],"predecessor-version":[{"id":5426,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/posts\/1748\/revisions\/5426"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/media\/5663"}],"wp:attachment":[{"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/media?parent=1748"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/categories?post=1748"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/balmontconseil.com\/en\/wp-json\/wp\/v2\/tags?post=1748"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}