french tax system


Pensions, retirements and life annuities

1. Pensions, retirements and life annuities Pensions, retirements and life annuities free of charge benefit from a reduction of 10% with a minimum and a maximum fixed each year. If part of the pension is paid in kind (housing, electricity, etc.), its amount must be estimated according to the Social […]

J2M, Paris Law Firm

J2M, Paris Law Firm

TAX SCHEMES FOR RENTAL OF FURNISHED PREMISES

Income resulting from the rental of furnished premises which you own, as well as those from the subletting of furnished premises which you rent, are subject to income tax in the category of industrial and commercial profits (BIC). Furnished rental is the provision of living quarters furnished with furniture when […]


French Income tax – The Gist of it

French Income tax is calculated on the basis of an overall income defined as the accumulation of categorical income net of deductions and fees: professional income (salaries, BIC, BNC, BA, etc.) , pensions, retirement and annuities and income from assets: income from movable property, property income gains es on transferable […]

J2M, Paris Law Firm

J2M, Paris Law Firm

French income tax scale

The Tax Bracket For the taxation of income received during the previous calendar year, the finance law provides for a revaluation of the brackets of the income tax scale. The brackets limits take into account the increase in prices excluding tobacco. Income received in 2020 Rate Income received in 2021 […]


Income tax household

Income tax is an annual tax which affects all the income received by the members of the income tax household.  The income tax household, which makes it possible in particular to determine the number of shares used to calculate income tax, is composed, in addition to the taxpayer and his […]

J2M, Paris Law Firm

FRANCE CAN BE A TAX HEAVEN FOR EXPATS

Pursuant to Article 155 B of the French Tax Code, employees and company executives coming to France as expats to take up employment in a company based in France, are elligible to a specific Tax Exemption that amounts to that offered in Tax Heavens. On the double condition of not having been fiscally […]


Residence test for tax purposes and remittance basis principle

The French High Tax Court (Concil of State) ruled on the impact of the regime of the ‘remittance basis’ on the quality of resident within the meaning of the Franco-British convention. CE 27 juillet 2012 n° 337656 et 337810, 9e et 10e s.-s., min. c/ R. Tax treaties, when they […]

J2M, Paris Law Firm

J2M, Paris Law Firm

French tax credit relating to foreign source income

Two recent decisions of the State Council shall specify the method of calculating the tax credit equal to the French tax attributable to income of German and American.  Since the late 1980s, the tax treaties signed by France based, for the elimination of double taxation of income previously subject to […]


A range of fiscal measures to stabilize public finances of France

On 24 August, François Fillon announced a range of fiscal measures to stabilize public finances of France. Some of these provisions have now been made official by publication in the Official Gazette of the second supplementary budget in 2011, others should follow. Changing the taxation of real estate gains, rising […]

J2M, Paris Law Firm

J2M, Paris Law Firm

How to devise new tax planning strategies

Modification of the ISF, abandonment of the tax shield, tightening on gifts and estates, tax increases on important life insurance contracts, setting up an Exit Tax : before leaving for recess , deputies and senators adopted the bill amending the taxation of wealth. While some cogitate on new tax planning strategies that will […]