Every year French residents are duty bound to declare their income to the French government taxation service – les impôts. This applies even if your income for the year is zero. Also if you are not resident in France but earn income in France e.g. holiday rental income then you must declare this in France.
If you haven’t previously made a déclaration des revenues – income tax return you will need to set up a numéro fiscal – tax number and an online account OR submit a paper return.
Revenue is declared for the previous year, so in 2021 we declare all revenue from 1st Jan 2020 to 31st Dec 2020. For those who arrived to become resident in France in 2020 they will declare the amount of revenue gained from the date they became resident.
Different types of income are treated differently and some need supplementary forms to be completed e.g. self employed income and UK rental income.
You must also declare international bank accounts held outside of France, not the amounts you hold in those accounts but the account details.
After making your Déclaration des Revenus – either online or by paper you will receive, during the summer online or via post, your Avis d’Impôts – a document which will show the calculations involved in deciding whether or not you are eligible to pay tax. The Avis d’ Impôts is an important document in France, one to keep safely, as it is used to calculate your eligibility for other taxes, benefits or grants.
Final dates for submission are as follows:
Zone 1 – Depts. 1 to 19 and non residents – Wednesday 26th May 2021
Zone 2 – Depts. 20-54 – Tuesday 1st June 2021
Zone 3 – Depts. 55 to 976 – Tuesday 8th JuneContact us for assistance submitting your French Tax return in 2021
The percentage of tax due on your income depends on the level of your earnings:
| Fraction du revenu imposable (pour une part) | Taux d’imposition à appliquer sur la tranche correspondante |
| Jusqu’à 10 084 € | 0 % |
| De 10 085 € à 25 710 € | 11 % |
| De 25 711 € à 73 516 € | 30 % |
| De 73 517 € à 158 122 € | 41 % |
| À partir de 158 123 € | 45 % |
The calculation for how much tax each individual or household must pay is unique depending on a variety of factors. How many people live in your household and the type of income received.
Effectively:
1. The NET income is divided by the number of “parts” (shares/ people) in the household. The number of parts for a household depends on whether the people who live there are adults or children, married, pacsé, divorced, separated, widowed or single.
2. The above tax brackets are then applied to this income.
3. The result is then multiplied by the number of parts in a household.
Example: A married or pacsé couple with two young children and a combined total net revenue of 55 950 € have 3 “parts” 2 for the couple and 0.5 each for each child
55 950 € is divided by 3 = 18 650 €.
Le barème est ensuite appliqué aux 18 650 € :
- Their revenue upto 10 084 € is taxed at 0 % = 0
- Their revenue between 10 085 € à 25 710 € is taxed at 11 % : 8 565 € x 11 % = 942,15 €
The total is 0 + 942,15 = 942,15 €.
As this family has 3 “parts” 942,15 € is multiplied by 3 = 2826,45 € rounded down to 2826 €.
So on income of 55 950euros this family will pay 2 826 € income tax.
If you need help or guidance regarding setting up your online tax account in France or would like help submitting your tax return don’t hesitate to contact us: Bonjour@Frenchify.Life