France Tax Guide
Figures on this page were last verified against the cited sources in June 2026. Always check official sources before making a relocation or incorporation decision.
Best for
- Zero capital gains
No CGT on investment, property, or crypto disposals (subject to "investor" classification).
- Special regime available
Impôt sur la Fortune Immobilière (IFI) — Wealth tax on real estate only
Personal Income Tax
Tax Residency
Income Tax Rates
Foreign Income Treatment
Investment Income
Flat 30% PFU or progressive rates plus social charges; real estate 34.5%
Wealth & Inheritance
Special Regimes
Practical Notes
High tax burden. Social charges (17.2%) apply to investment income. Wealth tax on real estate.
Business & Corporate Tax
Corporate Income Tax
Withholding Taxes
VAT / GST
Compliance & Substance
Notable Regimes
- SME reduced rate
- Research tax credit (CIR)
OECD Pillar Two (15% global minimum tax)
French Finance Law 2024 transposed EU Directive. QDMTT, IIR, UTPR all in force.
See full implementation trackerTax Treaty Network
US-France treaty has notable carveouts for French pensions and savings instruments. Totalization in force.
See full treaty matrixData Sources
Last verified: June 2026. Always check official sources before making a decision.
FAQ
What is the personal income tax rate in France?
France has a top personal income tax rate of 45%. The tax structure is: Progressive 0-45%. See the detailed breakdown above and verify with official sources.
Do I need to pay tax on foreign income in France?
France uses a worldwide system for foreign income. French residents taxed on worldwide income; foreign tax credits available
What are the residency requirements for France?
Tax residency in France generally requires 183 days of physical presence. 183 days or principal home in France or center of economic interests. Always verify current rules with official sources.
Is there a wealth tax in France?
Yes, France does have a wealth tax. IFI wealth tax on real estate assets >€1.3M (0.5-1.5%)
What is the corporate tax rate in France?
The corporate tax rate in France is 36.13%. 25% standard rate + 10.7% social contribution = 36.13% for large companies; 15% SME rate on first €42,500
US citizen moving to France? Read this first.
France's top personal rate of 45% means the Foreign Tax Credit (FTC) usually wins over FEIE for US citizens.
- •FTC (Form 1116) credits France tax against US tax dollar-for-dollar. Because France tax exceeds US tax on the same income, you typically owe zero US tax and accumulate carryforward credits (10-year carry).
- •Self-employment tax is normally exempted via the US-France totalization agreement — pay into one social security system, exempt from the other.
- •For earned income near the FEIE cap (~$130k), FEIE is sometimes simpler administratively. Above the cap, FTC strategy almost always wins given France's rates.
- •France residency days threshold: 183. Treaty tie-breaker rules (where applicable) help with double-tax avoidance.
Need someone to actually plan France for you?
TaxAtlas covers the rates and rules. For the personal side — exit planning, residency strategy, business structure, or filings — request a response and we'll point you to relevant research or a specialist who handles France cases.
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