Where your rent goes: cash flow and profit — map — T2 in Melun — SCI à l’IS · ID 01SCI IS
Year 1's rent: the costs, the loan interest and the tax are money lost; what is left is your profit — part of it as cash (the cash flow after tax), part of it as loan capital repaid (more of the property is yours).
- Rent
- Costs
- Loan
- Tax
- the result
Year 1: rent €10,155 − costs €4,571 − loan payments €6,163 = €579.57 short before tax; − tax €0 = €579.57 short of cash after tax; + €3,533 of capital repaid = €2,953 of profit after tax (29.08% of the rent).
What this calculation leaves out
- The capital repaid is counted twice on purpose: it leaves with the loan payments (cash) and comes back in the profit (it becomes a share of the property). The loan interest does not come back.
- The account interest (earned or paid) and the interest on the shareholder current account (compte courant) are not on this chart; the tax shown is the year’s tax (for an SCI it includes the corporate tax on the account interest): see “Your wealth over time”.
Each amount in the worked lines is rounded to the cent, so a line can differ by €0.01.