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Tax-free Car Lease Solutions

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FAQ about French tax-free car leases

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pictured is the Renault Kangoo

who qualifies?

Persons who can claim residence outside the European Union, who are 18 years of age or older, and have had a valid drivers license for at least one year qualify for a tax-free short-term auto lease, which France designates with a "TT" (Transit Temporaire) registration. No maximum age limit applies. Tourists qualify for up to 170 days. Students and educators typically qualify for up to 355 days, as do certain employees undertaking a limited engagement in Europe. (Click here to learn more about this longer-duration, so-called "TT Special" registration.) Simply put, the lease plan is designed for visitors.

The pick-up date for one of these French "TT" (Transit Temporaire) tax-free short-term auto leases should be such that no one-year time-window involving that date — whether terminally, initially or otherwise — also contains more than 185 days during which the client (i.e. you, the customer) was/is/will be in the European Union — the notable exception being TT Special registration, in which case the one year duration involving the pick-up date as its initial day may contain up to 365 days (366 if a leap day is involved) that the client expects to spend in the European Union. … In terms of the lease booking process the 185-day constraint is effectively an “on your honor” thing unless there is an ineluctable record — i.e. another such lease or leases in the client's own full name (in contrast to, say, the client's spouse's name) and effective within the one year duration immediately prior to the pick-up date — which particular record would during said process seem to contradict a client’s statement in this respect. A client’s passport will of course bear a unique stamp for each day s/he enters or exits the European Union, but the inner pages on which these stamps are placed are not viewed as part of the lease booking process. Only French Customs officials in France might view those pages with regard to the lease. Such officials are no longer typically stationed at major or minor roadway entry/exit points to/from France. They are mostly stationed at airports and seaports, although to some small degree they do patrol the roads of France. If French Customs actually encounters in France a TT- or TT Special-registered vehicle and discovers that it is being leased by a client who does not qualify for such registration, French Customs (alone) is empowered to confiscate the vehicle for this reason, in which case no refund would be given to the client.

By the way, a client may not have two or more TT or TT Special leases in his or her own name the durations of which leases overlap.

who can drive the vehicle?

Many people wonder if their partner or partners can drive the vehicle. Strictly speaking, French tax-free vehicle registration entails the following constraint (embellished with bracketed comments by IdeaMerge): "Apart from the holder of the vehicle registration document [i.e. you the person in whose name the vehicle is registered], only the spouse, the co-habitee (with documentary proof of living together, or an affidavit [i.e. to that effect, signed by a notary public]), and direct ascendants [i.e. parents] and descendants [i.e. children] if they satisfy the necessary conditions to benefit from the same TT regime [i.e., basically, reside outside the European Union, are 18 years old and have held a valid, non-provisional driver license for at least a year; and relative to registration that is TT special, if they too would qualify for such registration] may pick-up the vehicle." [The term "pick-up" implies that such persons are generally qualified to drive such vehicle without being accompanied by other such persons. However, please note that a "proxy" form must be submitted to specifically qualify someone other than you, the person in whose name the vehicle is registered, to pick-up the vehicle in your absence.] Apart from the pick-up occasion, this limitation is enforceable in France only and by French Customs officials only (not by regular French police nor other police nor by customs officials of other countries). In spirit this constraint is meant to withhold from persons whose main residence is in Europe the benefits of tax-free vehicle registration. Almost only with respect to that spirit might the constraint be enforced by French Customs. The insurance is a separate issue: the insurance is effective no matter who is driving, provided the vehicle is being driven within the geographic domain of the insurance. If a friend, say, were to grab your keys, jump in your vehicle, and drive it into a flying buttress of Germany's Cologne cathedral, the insurance would be effective relative to this incident. Similarly, if while on a particular driving excursion in France one or more of the aforementioned qualified drivers happened to become incapacitated (e.g. by illness) yet remained in the vehicle, another companion (e.g. friend) could drive the vehicle in their stead without violating the terms of the vehicle's registration and insurance.

european union

Member states of the European Union are the following: Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, United Kingdom.

what are the leadtimes?

The following are the leadtimes typically required to arrange such lease, per pick-up location. IdeaMerge may be able to arrange more urgent pick-ups, however.

Paris city and Paris airports: 21 calendar days
the rest of France: 22 calendar days
Brussels or Frankfurt: 23 calendar days
other pick-up locations: 30 calendar days

can you decline the insurance?

As you likely know, credit card companies typically cover the cost of damage to a rental vehicle if you use their card to pay for the rental. However, this coverage &mdash which, by the way, is usually limited to a duration of 30 days for rentals abroad — does not apply to auto leases, including these tax-free short-term leases. To save you the hassle of buying your own insurance for the leased vehicle, and to largely avoid the hassle of insurance disputes, extremely good zero-deductible insurance coverage has been woven in to the price of these leases. There is no option to decline any aspect of this insurance. Of the thousands of lease clients IdeaMerge has served over the years, not one has reported a problem with respect to this insurance.

why are these leases tax free?

The answer is very interesting. The manufacturer does make some small profit in selling one of these leases to you, but their major profit comes after you return the vehicle, when they in turn sell the vehicle to a rental company or to a private buyer on the open market. You see, there is a law in France that applies a considerably lower sales tax to vehicles which have (on paper at least) been owned for a minimum of 17 days. Renault, for one, enforces a slightly longer, 21-day minimum (again, on paper at least) for its leases.

The short-term auto lease program allows the likes of Renault to put many thousands of such vehicles on the market, thus lowering the effective cost of their vehicles compared to the international competition, and hence increasing sales. Of course the French government likes to see its major manufacturers selling literally lots of vehicles, and it likes to encourage tourists to visit France, so it extends a separate law to make these leases tax-free on the condition that only non-full-time-residents (in contrast to citizens) of France may purchase such lease.

what are the max durations?

pick-up location	typical (tourist) tt registration	tt special registration
france (except brest and rennes), brussels and frankfurt	170 days	355 days
brest and rennes	165 days	350 days
munich and london	155 days	340 days
other depots	165 days	350 days
Our online software checks these maximums against the pick-up location and the pick-up and drop-off dates you enter.

what is TT Special registration?

If you are going to Europe not as a tourist but rather on paid assignment or paid sabbatical or to study at an accredited institution, you likely do qualify for a tax-free short-term French auto lease — but you must apply for TT "Special" registration by way of three additional, one-page forms which will be provided by IdeaMerge. See, for instance, Renault's IMD2, IMD3 (or IMD4 for students) and IMD8 forms at bottom of the Resources page. Such registration, however, entitles you to a longer duration lease, as described below.

The process of completion and approval of said three additional forms may add a week or so onto the aforementioned leadtime associated with the lease arrangement. On two of those forms, you will need to get company or university officials to attest that the anticipated duration of your stay in Europe does not exceed one year. Moreover, in regard to a paid assignment or a paid sabbatical, that pay should essentially be from the non-European-based business unit or institution.

TT Special registration qualifies you for a short-term lease duration according to the maximums listed above.

what is the minimum duration?

You can reserve a tax-free short-term leased vehicle for less than a minimum number of days, but you have to pay for the minimum. The minimum for a Renault short-term lease is 21 days.

what are the rates?

The price of such short-term lease is weighted on the aforementioned initial block of 21 or 17 days, a single total rate applying to that initial block. Another rate applies to each day beyond that block, this "additional-day" rate being much less than the per-day average cost of the initial block. Hence the longer the lease the better the deal is for you.

Naturally each vehicle has its own rate. The extremely specialized IdeaMerge software applies these rates automatically and presents you with a detailed cost breakdown before you submit an order.

The rates per se are not dependent on location and not dependent on season. Rather, the rates are set by the manufacturer near the beginning of the year and typically stay the same throughout that year. However, the rates effective for the market in your country of permanent residence are set relative to that market and the value of the Euro versus the currency of that market. Hence the rates may change considerably from year to year and occasionally within a year. Of course such rate changes are not retroactive to bookings already made.

Note that there are also pick-up and/or drop-off charges that apply to locations outside France. (The Geneva location is considered inside France.) Our online software automatically adds those charges into the total, all-inclusive price and of course includes them in the detailed cost breakdown it presents to you.

why choose IdeaMerge?

For starters, the IdeaMerge rates are identical to or less than our vendors' rates. No padding of rates here. The contrary is true. Nevertheless we fully and profoundly embrace our role as broker, treating our clients and our vendors equally with great respect. It's a winning formula. In choosing IdeaMerge you gain the leverage that only such a fair, successful and expert go-between can offer. We're your advocate if something goes wrong. Our Website attests to our work ethic, our consequent expertise and our thoughtful nature. As you can discern, we are the industry leader when it comes to representing tax-free short-term European car leases and worldwide motorhome rentals. What's more, you'll be pleased to discover that our remarkably responsive and personable e-mail and phone support keep pace with — and perhaps even outdistance — our other proficiencies.

But don't just take our word for it. Please peruse (and eventually add to) our French car leasing customer reviews. Note that clients post the reviews directly to those pages. That's how much confidence we have in what we represent and how we represent it.

At IdeaMerge, customer service is more than a concept — it's an ethic.

why so many diesel vehicles?

These days over 60 percent of the new cars sold in Europe are diesels. This percentage continues to climb. Why? For one thing, diesel fuel in Europe costs about 20 percent less than gasoline. (Visit Ireland's Automobile Association (AA) Website for an up-to-date listing of fuel prices.) What's more, a diesel engine runs about 30 percent more efficiently (and lasts longer, for it has far fewer parts) than its gasoline-powered counterpart. Hence you save close to 40 percent fuel-wise by going with a diesel.

And IdeaMerge can guarantee you a diesel vehicle if you select one for your short-term lease.

In a diesel engine, the fuel — which inheres more free energy than gasoline — is pressurized in a "common rail," an intake pipe leading to all cylinders. Electronically controlled injectors allow a precise amount of vaporized fuel to squirt into the cylinders. Consequently diesel engines offer great work capacity — which is of course good for larger vehicles, heavy loads and mountain driving — and they consume less fuel while in like measure producing less exhaust.

Admittedly, diesel exhaust long ago gained a reputation for being sooty and smelly. (As if gasoline doesn't smell too!) Yet certain other important pollutants — especially sulfates — have always been considerably less present in diesel exhaust than in gasoline exhaust. And technological improvements in diesel-engine efficiency and especially in the filtering of diesel exhaust have rendered the diesel engines of today considerably more eco-friendly than gasoline engines. Gone is the remarkable sootiness. Gone, too, is the darned glow plug (in contrast to spark plug); now you can start a diesel as quickly as a gasoline engine. Moreover, all these Renault diesels are turbo charged such that their acceleration approximates that of gasoline-powered vehicles.

Given the native demand for diesel engines in Europe, diesel fuel is available there wherever gasoline is available, and the diesel fuel is of a higher grade than that sold in the United States. Likewise, fuel stations in Europe provide diesel pumps on the same service islands as the gasoline pumps. The pumps are color-coded and the nozzles unique, so it is virtually impossible for someone to mistakenly put gasoline in a diesel vehicle, or vice versa. Plastic gloves are even provided so you need not dirty your hands!

In step with the increasing popularity of hybrid vehicles, diesels are becoming more popular and more available in North America. In particular there's quite a buzz about biodiesel fuel. You might do well to consider your lease of a Renault (or Nissan) diesel vehicle a nice, long test drive of a modern diesel passenger vehicle.

By the way, have you heard about the alliance between Renault and Nissan?

what are the fuel costs and issues?

In most European countries the price of diesel is about 20 percent less than that of gasoline. In the UK and Spain, however, diesel costs virtually the same as gasoline; in Ireland it costs about 15 percent less. In Switzerland and Slovenia, diesel is more expensive than gasoline.... As noted above, diesel engines are about 30 percent more efficient than gasoline engines. Therefore in most countries you end up saving about 40 percent on your fuel costs if you drive a diesel rather than a gasoline-powered vehicle.

Please visit Ireland's Automobile Association (AA) Website for an up-to-date listing of fuel prices. (Remember, 1 US Gallon = 3.79 Liters.)

Note how cheap fuel typically is in Andorra and Luxembourg relative to surrounding countries; how it's much cheaper in Spain than in France; how it's more expensive in Switzerland; how it's much cheaper in Ireland than in the UK; and how it gets progressively more expensive from Germany to Denmark to Sweden to Norway.

Fuel is much more expensive at stations along the expressways. Supermarkets along main roads at the edges of towns sell the cheapest fuel in France, Belgium, Germany and the Netherlands. In France the main supermarket chains are Mammoth and Intermarche; in Germany the main chain is Spar; in the Netherlands it's Mamoet. The governments of Italy and Spain and Eastern Europe regulate fuel prices; all stations have the same price, so don't waste your time shopping for fuel in these countries.

Pump your own fuel, or make it a habit to check that the attendant doesn't cheat you. (Check that he zeroes the pump before he pumps your fuel.) If you pay with a credit card, be sure the receipt is accurate. Some stations require that you pay not inside at a counter but outside at a booth upon driving out of the station area. (Although increasingly you can pay by inserting a credit card in a machine near the pumps.) If this is the case and a line of vehicles forms at the pay booth, you may have to wait to pump your fuel until the person who preceded you at the pump pays for theirs. Especially when dealing with such setups, note the total fuel charge on the pump so the attendant at the booth can't overcharge you; sometimes the attendants depend on your honesty and let you quote the total to them at the booth. In hot weather, fill up early in the morning or late in the evening when the air is cooler: the fuel will be more dense then, and thus you'll get more fuel for your Euro (or whatever). If a pump's nozzle won't fit in your tank, you're mistakenly trying to put leaded gas into a vehicle that requires unleaded. A green pump holds unleaded fuel, a blue leaded. LPG pumps always occupy their own island.

You might make it a practice to fill up when the fuel level dips to a quarter of a tank, but fuel stations are so plentiful that the chances of unexpectedly finding yourself low on fuel and far from a station are very low. If, however, you're careless enough to come close to running out of fuel, try the following technique: accelerate very slowly to 33 km/h, turn off the ignition and move the gear to neutral, let the vehicle slow to 8 km/h, start the engine, repeat. This trick can double or even triple fuel efficiency, but it's a trick that won't work if your steering wheel locks when the ignition is off — and it can be dangerous and illegal.

can you buy the vehicle?

pictured is the Renault Mégane coupé/convertible

If you like, you can purchase your vehicle at the end of your lease. All you have to do is contact Paris at the relevant phone number listed in the Traveling Instructions booklet (provided in the vehicle) at least 8 days prior to the termination of your lease. The manufucturer will arrange for 2 weeks worth of temporary registration and insurance (appending to the end of your lease duration) while further assisting you in regard to financing.

The vehicle will be a European-spec model, so you shouldn't plan to export it to, say, North America. However, the full cost of your lease (not including any pick-up and/or drop-off charges that might apply) will be subtracted from the sticker price of the car (more precisely, the portion of that price not including the French 18.6 percent value-added tax, VAT), and that remaining amount would be the amount you would owe (plus VAT on only that reduced amount). The standard, EUR sticker price (including VAT) for a particular version of a particular model can be gleaned from www.renault.fr. If you do buy the vehicle outright, you will have to pay relative to the sticker price of the particular vehicle you receive. That vehicle may happen to come with certain bells and whistles which are not guaranteed features of the model in terms of the short-term leasing contract. Of course extras of this sort add no cost to the lease, but if you choose to purchase the vehicle outright you will be charged for them.

Now, when you figure that (a) the insurance for the duration of such lease is included in the lease cost (a good value in Europe, where the cost of insurance is typically twice what it is in, say, the United States of America), and (b) that the cost of the lease would be subtracted from the pre-tax price of the car, and (c) that the lease duration would effectively be a nice long test drive, and (d) that you can return the lease early if you like, perhaps eventually receiving a refund for unused days, then this option becomes pretty attractive if you plan to keep a vehicle in Europe.

renault–nissan?

The recent history of Renault can be fairly described as consisting of three acts: restructuring (1981–1995), privatization (1996–1999), and the Renault–Nissan alliance (2000–present). Actually signed on 27 March 1999, the alliance is largely defined in terms of cross-shareholding, with Renault owning a 44.4 percent stake in Nissan, and Nissan a 15 percent stake in Renault. The Renault–Nissan alliance commands about 9.6 percent of the relevant global market share — fourth largest, behind GM, Toyota and Ford. In 2006 Renault–Nissan and GM nearly agreed to form a similar alliance. For the time being that deal has fallen through. Nevertheless many automobile industry observers think that Renault hopes to re-enter the US market in terms of such alliance, perhaps now with Ford instead.

Renault in and of itself commands the largest share of the European passenger car and light commerical vehicle market: about 10.8 percent. And Renault leads the way saftey-wise, with the most models — 8 — honored with the coveted 5-star safety rating from Euro NCAP.

In this light, by choosing to travel Europe in a brand-new Renault you're choosing to sample a big part of the global future.

We might even have a few Nissan models for lease.

europe wide?

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Renault Clio: Car of the Year 2006

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The availability of mechanical service is a prime concern for anyone endeavoring to drive abroad.

Renault literally seems to be everywhere in Europe — especially in terms of their famed Renault minute garages.

Renault garages are present every ten or twenty miles from Portugal to Italy to Germany to Norway to Britain, and, of course, in France. The presence of the competition is nowhere near as obvious.

In fact Renault has almost twice as many service stations than does their closest competitor.

Thanks to this ubiquity, a 24-hour hotline, and guaranteed 24-hour service, you would experience minimal trouble in the unlikely event you must get a Renault vehicle to a qualified service station.

"Renault Assistance TT" is the name of Renault Eurodrive's assistance program. Renault agents will help you arrange for towing and repair (or replacement) of your car and will assist you with and compensate you for car rental and/or hotel reservations as appropriate, provided you are within the geographic domain of the included Renault insurance and assistance.

If you want to drive in Albania, Balearic Islands, Belarus, Iran, Israel, Moldova or Ukraine, please click here to ask IdeaMerge for a special solution.

how about pick-up and return?

Pick-up and drop-off proceed almost identically to that of a car rental. In fact, many clients report that the process is even easier because all the paperwork is already taken care of and there tends to be no line of customers waiting at the desk. At the airport locations, courtesy phones and/or reception desks are in place to connect you with a shuttle that will take you to your vehicle nearby, where an associate will introduce you to your vehicle and send you on your way. Long before you arrive you will be provided with detailed directions and contact information regarding your pick-up and drop-off locations. Sorry, but it is not allowed to pick-up or return vehicles offsite or at cities or airports not listed on this page.

All the vehicles in the tax-free short-term leasing program originate at factories in France. They are delivered piggy-back on a truck, just like a brand-new vehicle is delivered to a dealership. Indeed the vehicles are brand new. Such delivery preserves for you that new-car feel and smell. A deeper reason for such delivery is a French law that makes it illegal for a European Union resident to drive one of these tax-free-registered vehicles. (This is why special deliveries to locations other than the specific offices/garages at the cities and airports indicated on this page are not allowed.) The cost of such delivery and the return, a cost which also involves certain importation fees if the vehicle is delivered outside France, is passed on to the customer in terms of certain pick-up/drop-off charges associated with only the locations outside France. Our online reservation software carefully works these fees in to the total prices it quotes to you.

The Renault pick-up/drop-off charges are listed below. Such fees are additive. For example, if you pick-up in Rome and return to Frankfurt, you must pay a total of US$425 in terms of such charges. If you pick-up and return in Rome, say, you must pay US$550.

All pick-up/drop-off locations in France — free of such charges

Amsterdam Schipol (AMS) airport — US$150 each way

Avignon central train station — free

Barcelona Prat (BCN) airport — US$150 each way

Biarritz airport — free

Bordeaux (BOD) airport — free

Brest (BES) airport — free

Brussels Zaventem (BRU) airport — US$150 each way

Calais ferry port — free

Frankfurt international (FRA) airport — US$150 each way

Geneva Cointrin (GVA) airport — free

Lisbon Portela de Sacavem (LIS) airport — US$275 each way

London Heathrow (LON) airport — US$275 each way

Lyon (LYS) airport — free

Madrid Barajas (MAD) airport — US$200 each way

Marseille (MRS) airport — free

Milan Malpensa (MXP) airport — US$200 each way

Montpellier (MPL) airport — free

Munich FJ Strauss (MUC) airport — US$200 each way

Nantes (NTE) airport or train station — free

Nice (NCE) airport — free

Paris city — free

Paris Orly (ORY) airport — free

Paris Roissy (Charles de Gaulle - CDG) airport — free

Pau city — free

Perpignan city — free

Porto (OPO) airport — US$275 each way

Rennes city — free

Rome Fiumicino (FCO) airport (alias da Vinci) — US$275 each way

Saint-Louis - Basel/Mulhouse (MLH) airport — free

Santiago de Compostela (SCQ) airport — US$275 each way

Strasbourg (SXB) airport — free

Toulouse (TLS) airport — free

Vigo — US$275 each way

Zurich Kloten (ZRH) airport — US$200 each way

If you want to pick-up or return at Antibes city, Bordeaux city, Brest city, Cherbourg city, Clermont-Ferrand airport, Dijon city, Henday city, Geneva city, Lille airport, Lille TGV train station, Nancy city, Nimes city, Pau airport, Peripignan airport, Rennes airport, Rennes TGV train station, London Gatwick airport, or Milan Linate airport, please ask IdeaMerge for a special solution.

insurance, warranty and assistance

The insurance, warranty and assistance — which are described further on our Insurance, etc page accessible via the left navigation bar — are all included in the price of a lease as quoted by the IdeaMerge software.

The insurance — consisting of civil liability and zero-deductible (alias zero-excess) collision, theft, vandalism, fire, and act-of-God coverage — and the factory warranty are essentially air tight. The "big things" are completely covered, but so are the little things such as scratches and dings. Likewise the assistance program is remarkably comprehensive and very well structured. Again, all these coverages are included in the one set price.

Many people wonder if their partner or partners can drive the vehicle. Strictly speaking, the French tax-free vehicle registration entails the following constraint (embellished with bracketed comments by IdeaMerge): "Apart from the holder of the vehicle registration document [i.e. you the person in whose name the vehicle is registered], only the spouse, the co-habitee (with documentary proof of living together, or an affidavit [i.e. to that effect, signed by a notary public]), and direct ascendants [i.e. parents] and descendants [i.e. children] if they satisfy the necessary conditions to benefit from the same TT regime [i.e., basically, reside outside the European Union and are 18 years old; and relative to registration that is TT special, if they too would qualify for such registration] may pick-up the vehicle." [The term "pick-up" implies that such persons are generally qualified to drive such vehicle without being accompanied by other such persons. However, please note that a "proxy" form must be submitted to specifically qualify someone other than you, the person in whose name the vehicle is registered, to pick-up the vehicle in your absence.] Apart from the pick-up occasion, this limitation is enforceable in France only and by French Customs officials only (not by regular French police nor other police nor by customs officials of other countries). In spirit this constraint is meant to withhold from persons whose main residence is in Europe the benefits of tax-free vehicle registration. Almost only with respect to that spirit might the constraint be enforced by French Customs. The insurance is a separate issue: the insurance is effective no matter who is driving, provided the vehicle is being driven within the geographic domain of the insurance. (That domain is represented on this Webpage in terms of a list of some 30 countries.) If a friend, say, were to grab your keys, jump in your vehicle, and drive it into a flying buttress of Germany's Cologne cathedral, the insurance would be effective relative to this incident. Similarly, if while on a particular driving excursion in France one or more of the aforementioned qualified drivers happened to become incapacitated (e.g. by illness) yet remained in the vehicle, another companion (e.g. friend) could drive the vehicle in their stead without violating the terms of the vehicle's registration and insurance.

The Renault Eurodrive insurance now covers certain kinds of personal belongings, to a degree. Further such personal-items insurance is available from companies specializing in travel insurance, several of which companies are linked to on our Resources page.

For details see Renault Eurodrive's exact insurance terms.

The insurance does not cover the tires. If your vehicle has a flat tire (not caused by vandalism), you are responsible for solving the problem. Usually the solution involves changing the tire to the spare tire (jack, wrench and spare included) and driving to a tire shop for repair or replacement of the tire. Most flats can be repaired quickly and inexpensively using a sealant. If the tire must be replaced, however, the total cost may approximate EUR200. This cost is born by you the client. In extreme cases, however, the manufacturer and IdeaMerge will consider offering assistance and/or compensation in this respect. The assistance program typically stops short of dispatching a service person to assist in the case of a flat. If you are a member of your national automobile club (e.g. the AAA), you have reciprocal membership in an automobile club of each European country and therefore those clubs will be another source of assistance to you.

what is the domain of coverage?

The Renault insurance and assistance are effective in the following countries:

Andorra, Austria, Belgium, Bosnia-Herzegovina, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Gibraltar, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Lithuania, Liechtenstein, Luxembourg, Macedonia, Malta, Monaco, Morocco, Netherlands (Holland), Norway, Poland, Portugal, Romania, San Marino, Serbia & Montenegro, Slovakia, Slovenia, Spain, Sweden, Switzerland, Tunisia, Turkey, United Kingdom.

If you want to drive in Albania, Balaeric Islands, Belarus, Iran, Israel, Moldova or Ukraine, please click here to ask IdeaMerge for a special solution.

can I see an example contract?

Here's an example of a Renault contract:

Click here for pdf version.

Renault will send such form to you for full completion and signature. You are not obligated to complete the field pertaining to employment. In the above example, the client, Mr. Joseph Traveler, will pay to Renault US$3191.00 well before picking up the vehicle. Provided Mr. Traveler returns the vehicle as agreed, he will not owe Renault (nor IdeaMerge nor any other entity) any more money at any point with respect to this lease.

Regarding the "negotiable promissory note" at bottom of the contract:

Renault, in facilitating a client's tax-free short-term lease of a brand new Renault automobile, is charging the client a small fraction of the value of the vehicle. As such Renault is at risk, for it is not sure that the client will indeed return the vehicle nor that the client will do so in a reasonably timely manner. To protect itself relative to this risk, Renault in terms of said promissory note attaches a certain total value to the vehicle and asks the client to sign that note before commencement of the lease. In theory Renault could eventually present this note in a court of law to recoup from a client the value of such leased vehicle which the client has not yet returned to Renault or which the client has held for an unusually long duration (on the order of several weeks or months) beyond the official termination of said lease. This is the only meaning of said promissory note. Said promisorry note is not officially binding until 5 days after the agreed due date (which statement happened to be cut off at bottom when we scanned this image, for the contract is drafted on the relatively long, European standard paper size; but this statement will appear on your actual contract). Of course, you may extend your contract prior to (or even after) its official termination date, by following the simple instructions noted on our "Changes/Refunds" page (at left) and included in the booklet Renault provides in its vehicles.

what is the small print on a renault contract?

We don't think you'll find any nasty suprises here, for we've communicated the information precisely and with careful redundancy throughout this Website. The example of the contractual text pertains to persons whose chief residence is in the United States of America. Such Renault short-term lease contracts pertaining to other persons might be slightly different.

specific vehicle

One of the prime benefits of a French tax-free short-term auto lease in contrast to an auto rental is the precision such lease arrangement affords to you in procuring a vehicle. Which is to say, such lease contract stipulates a particular vehicle in terms of make, model and certain features (as presented on this Website) and effectively ensures that said particular vehicle will indeed be delivered to you unless the naturally ineluctable force of circumstances causes such vehicle to be actually unavailable for delivery to you on your contracted pick-up date, in which case another new vehicle reasonably considered equivalent (but not identical) to the stipulated vehicle will instead be delivered to you for your use until the contracted drop-off date. The very close temporal connection between the manufacture and delivery of these lease vehicles is what makes the aforementioned, remarkable precision of selection possible, but it likewise makes the delivery of such vehicles sensitive to circumstances such as labor strikes, vehicle recalls and natural disasters, i.e. to the veritable force of circumstances. Truly rare are the circumstances which make said replacement necessary, but they are a natural element of the industry.

general vehicle features

Sorry, but you cannot choose the COLOR of a tax-free, short-term lease vehicle.

All the French tax-free, short-term lease vehicles feature power steering, airbags, ABS brakes, stereo CD/radio, engine immobilizer system (i.e. anti-theft system), remote central locking, and electric windows.

As of 1 July 2008, All drivers in France and Spain must carry in their vehicle a reflective jacket and warning triangle. The fine for not carrying these is about EUR 150. Renault Eurodrive customers can purchase a kit including reflective safety jacket and warning triangle when they collect their car from the Renault agent at all airport locations in France including Geneva, as well as from Avignon Rail station or Calais Ferry, at a cost of about EUR 15, or from a Renault dealer at a cost of about EUR 15. Alternatively the safety kits may be purchased from most service stations and supermarkets at an approximate cost of EUR 10. We apologise to customers of Renault Eurodrive for any inconvenience this may cause.

The vehicle is supplied with 10–15 liters of fuel, depending on the vehicle model. This is enough fuel to drive about 80 kilometers (50 miles). An empty tank upon return entails no charge to the client. Hence the fuel originally provided is essentially free of charge.

drivers license

In France, your domestic driving license will suffice, provided you are at least 18 years of age (there is no age maximum) and have held such valid license for at least one year prior to the pick-up date. Technically speaking, however, several European countries require of drivers who are not European residents an International Driving Permit (IDP) as well. (See below. IDPs are sold for a nominal price by your national automobile club; you don't have to be a member to buy one.) Regardless of pick-up location/country, you do not need to present an IDP upon the pick-up occasion; your domestic license and your passport suffice in this respect.

international driving permit

First, let us reiterate that the minimum age limit for the French auto lease program is only 18 years, and there is no maximum age limit. The only other requirement in this regard is that you've held a valid domestic drivers license for at least a year. In France your domestic drivers license suffices for operation of the vehicle.

Indeed many European countries require of you, the foreign driver, no license apart from your domestic drivers license. However, Austria, Belgium, Bosnia-Herzegovina, Bulgaria, Greece, Hungary, Italy, Poland, Portugal, Romania, Spain, Ukraine, and Vatican City do, by law at least, require non-Europeans to carry an International Driving Permit (IDP) along with their domestic license. (See the country listings posted on the New Zealand Automobile Association's Website. EU residents should reference the relevant page on Britain's Automobile Association Website.) Basically an IDP is a means by which police in a foreign country can know — in terms of translations in nearly a dozen different languages — that your domestic driver's license is indeed recognized as being valid by the proper authorities in your country. (See the excellent article at Drivers.com.)

The local office of your auto club (AAA, CAA, etc.) sells IDPs for about US$10. If you need an IDP, take your license, two passport-sized photos and the requisite cash to the club office. (Though for about US$6 the club may snap Polaroid photos for you.) Ten minutes later you'll be able to legally drive on any European road—assuming you're at least 18 years of age. If you plan to operate a motorcycle in Europe, be sure to have the auto club certify your qualification to do so. The USA's AAA now has a Webpage whereby drivers licensed in the USA can obtain an IDP: AAA's application for IDP. Web searches will bring up a host of Websites selling documents that conform to the model delineated in annex 10 of the United Nations Convention on Road Traffic (1949); but according to Article 24 of that convention, a truly valid IDP is one which is "issued .. by the competent authority of another Contracting State or subdivision thereof, or by an association duly empowered by such authority ...." The US State Department says it has empowered only the American Automobile Association (AAA) and the American Automobile Touring Alliance (AATA) to issue IDPs. (The AATA offers IDPs through the National Automobile Club.)

child safety seats

Although you could bring to and employ in Europe the child seats your children use at home, certain child seats are available for pre-purchase and pick-up with the tax-free short-term lease vehicle.

A careful address of these safety devices touches not only on various domains and the laws thereof but on at least one or another more overarching and conservative (i.e. child-conserving) consensus about child safety. Nevertheless please note that IdeaMerge is neither obligated nor qualified to present to clients nor to the general public the full set of relative laws nor the letter of those individual laws; the comments below, whether about law or consensus are merely intended to indicate the nature of the general issue of child motor vehicle safety. In many cases (such as Canada and the United States) the law applies based on the state, province or territory in which the vehicle is registered or in which a particular rental commences. In Canada such law is strictest in Quebec and in Ontario. Which is to say, these are the only provincial units in Canada that require booster seats. The general North American consensus considers booster seats necessary for children weighing 18–36 kg (40–80 lbs), forward-facing safety seats necessary for children weighing 9–18 kg (20–40 lbs), and rear-facing infant seats necessary for children weighing up to 9 kg (20 lbs). Age-wise these ranges correspond to 4.5 years through 7 years, 1 year up to 4.5 years, and 0 years up to 1 year. In Germany, however, the high-end figure is more conservative, in the sense noted above. German law puts this figure at up to 12 years or up to 1.5 m tall (4 ft. 11 in.); moreover, children under age of 10 may not travel in the front passenger seat of a car, the exceptions being: (a) a child younger than 1 year old seated in a rear-facing safety seat, (b) a vehicle with no rear seats or seats that temporarily cannot be used, and (c) a situation in which all rear seats are already occupied by children under 10 years old. French law puts said high-end figure at up to 10 years. In Ontario a child need not use a safety seat if (a) his/her weight is over 36 kg (40 lbs) or (b) his/her age is over 8 years (i.e. he/she has turned 8 years old) or (c) his/her height is over 1.45 m (4 ft. 9 in.).… Generally a rear-facing safety seat should not be used in a seat equipped with a functional frontal airbag. Also generally speaking, children under 12 years old should sit in a rear seat.… In the context of the whole IdeaMerge Website it is appropriate to address a few more specific cases. The state of Washington in the USA is relatively strict: children up to 1 year old or less than 20 lbs must be seated in a rear-facing infant seat; children from 1 year old through 3 years old or 20–40 lbs must be seated in a forward-facing child seat; and children from 4 years old through 5 years old or 40–60 lbs must be seated in a booster seat (in the rear if the front passenger seat is equipped with an airbag). In the state of Oregon children from 0 through 3 years old or less than 40 lbs must be seated in a child seat, and children 4 years old through 5 years old or 40–60 lbs must be seated in a booster seat. In the state of California, children from 0 through 5 years old or less than 60 lbs must be seated in an appropriate child seat, perhaps a booster seat. In the state of Nevada children from 0 through 3 years old or weighing less than 40 lbs must be seated in a child seat. In the state of Colorado, children from 0 up to 1 year old or weighing less than 20 lbs must be seated in a rear-facing child seat; children from 1 year through 3 years old or 20–40 lbs must be seated in a front-facing child seat; and children from 4 through 5 years or less than 55 in. tall must be seated in a booster seat. In the state of New Jersey, a child 0 through 17 months old must be seated in a child seat; a child 18 months through 4 years old must be seated in a child seat if riding in front; and a child less than 8 years old or less than 80 lbs should sit in the rear, if rear seating is available.… In Australia a child from 0 up to 1 year old must be seated in a child seat, and this seat must be fitted with a top tether that is in turn attached to a suitable mounting point on the vehicle; other constraints apply per territory, but the general rules noted above should nevertheless be applied and are typically indicated by vehicle rental vendors. In New Zealand a child from 0 through 4 years old must be seated in an appropriate safety seat; a child from 5 through 7 years old must if seated in front be seated in a booster seat or, we are told, secured with an adult safety belt (although this latter option seems too lax); and again the general rules noted above should neverthless be applied and are typically indicated by vehicle rental vendors.

warning

Although motor travel in Europe is not generally considered prohibitively dangerous, there are, of course, associated risks — including death. For quantitative measures of these risks, please see the Association for Safe International Road Travel (ASIRT) http://www.asirt.org.