Europe

France: tax at a glance

A high-tax residence system with progressive income tax and surtaxes on high incomes. There is also a real-estate-only wealth tax, known as IFI, and steep inheritance tax.

Worldwide (residence-based) Last verified July 2026

The taxes

Personal income (top)
45%
Corporate income
25%
Capital gains
A flat 30% rate, made up of the PFU: 12.8% income tax plus 17.2% social levies. Interest and gains will climb toward ~31.4% in 2026 as social levies rise.
VAT / TVA
20%
Dividends (WHT)
25%
Interest (WHT)
0%, though 75% applies to payments made to non-cooperative jurisdictions.
Royalties (WHT)
25%
Social security (employee)
~20-23%
Social security (employer)
~40-45%
Wealth tax
IFI at 0.5-1.5% on net real-estate wealth above EUR 1.3m.
Inheritance / estate
Up to 45% in the direct line, rising to as much as 60% between unrelated persons.
Property tax
Taxe fonciere applies to owners. Taxe d'habitation has been abolished on primary residences.
Other
A high-income surtax, CEHR, of 3-4%, plus CSG/CRDS social levies on income.

How the system works

Tax system
Worldwide (residence-based)
Foreign income
Taxed (worldwide)
Taxes by citizenship
No
Exit tax
Yes, leaving has a cost
CFC rules
Yes
CRS
Participating
Special regime
The impatriate regime, known as regime des impatries.

The rates below are indicative headline figures (top marginal, standard, and headline rates), reviewed 2026-07. Brackets, surcharges, and state, provincial or cantonal taxes vary. Treat this as a reference map, not advice.

Frequently asked

What is the income tax rate in France?

The top marginal personal income tax rate in France is 45%. Progressive, rising to 45% above ~EUR 180k per part. On top of that sits the exceptional high-income contribution, CEHR, at 3-4%, and a 2025-2026 minimum tax, CDHR, designed to keep the effective rate near 20% on very high incomes.

What is the corporate tax rate in France?

The headline corporate income tax rate is 25%.

Does France tax capital gains?

Capital gains for individuals: A flat 30% rate, made up of the PFU: 12.8% income tax plus 17.2% social levies. Interest and gains will climb toward ~31.4% in 2026 as social levies rise..