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French Tax System for Expats: What You Need to Know

Navigate the French tax system as an expatriate. Covers the family quotient, social charges, wealth tax, filing requirements, and tax-efficient strategies for expats in France.

By Taxation.ai Team | | Updated February 14, 2025

French Income Tax Overview

France uses a progressive income tax system with a unique feature: the quotient familial (family quotient). Your household's total income is divided by the number of family parts before applying tax brackets, then multiplied back.

Tax Brackets (2025)

  • Up to 11,497 EUR: 0%
  • 11,498 - 29,315 EUR: 11%
  • 29,316 - 83,823 EUR: 30%
  • 83,824 - 180,294 EUR: 41%
  • Above 180,294 EUR: 45%
  • Family Quotient Parts

  • Single: 1 part
  • Married/PACS couple: 2 parts
  • Each dependent child: 0.5 parts (first two), 1 part (third and beyond)
  • Social Charges

    In addition to income tax, France levies social charges on income:

  • CSG: 9.2% (6.8% deductible)
  • CRDS: 0.5%
  • Total: approximately 9.7% on employment income, 17.2% on investment income
  • Filing Requirements

    All French tax residents must file an annual return, typically by May-June. France uses a pre-filled declaration system. Review and correct the pre-filled information online at impots.gouv.fr.

    The Impatriate Regime

    Qualifying employees assigned to France from abroad may benefit from a partial exemption on the expatriation premium portion of their compensation for up to 8 years.

    Wealth Tax (IFI)

    The Impot sur la Fortune Immobiliere applies to real estate assets exceeding 1.3 million EUR. Rates range from 0.5% to 1.5%.

    Taxation.ai handles the complexity of the French tax system including family quotient calculations, social charge computations, and multi-country optimization for expats.

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