Taxes in France: What Foreigners Need to Know

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Foreign nationals—whether from the EU or outside—may be required to pay taxes in France depending on their personal and financial situation. This guide outlines the main taxes that may apply to non-French residents, including income tax, local property taxes, and the real estate wealth tax.

Income Tax

What counts as French-source income?

You may be liable to pay French income tax if you earn income that originates in France. This includes:

  • Salaries from employment in France

  • Daily allowances from the French social security system (e.g., maternity or sick leave)

  • Unemployment benefits

  • Income from self-employed or freelance work in France

  • Retirement pensions or annuities paid by a French-based entity

  • Investment income (e.g. interest, dividends) paid by a French institution

  • Rental income or capital gains from property located in France

Who is taxed?

Your tax obligations depend on your tax residency status.

  • If you are considered a French tax resident, you are taxed in France on your worldwide income.

  • If you are a non-resident, only your French-source income is subject to French taxation—unless a tax treaty applies that may alter or limit France’s taxing rights.

France has bilateral tax agreements with many countries. These treaties define how different types of income are taxed and help avoid double taxation.

How is tax residency determined?

French tax authorities consider you a tax resident if any of the following apply:

  • Your main home (domicile) is in France

  • You spend more than 183 days per year in France

  • Your primary professional activity is based in France

  • Your center of economic interest (investments, business, etc.) is in France

For married or partnered couples, the residency of each spouse may be assessed separately, especially if one lives abroad.

Avoiding Double Taxation

If you’re a French tax resident but receive income from abroad, the risk of being taxed twice exists—once in France, and again in the country of origin.

To avoid this:

  • Check if France has a tax treaty with your country of origin.

  • These agreements typically assign taxing rights to one country or split them between both.

Without a treaty, all your income may be taxed in France, even if it’s already been taxed abroad.

Cross-Border Workers

If you live in a neighboring country (e.g., Germany, Italy) and work in France, you may be considered a frontier worker.

In such cases:

  • Your income is typically taxed in your country of residence, depending on the bilateral agreement France has with that country.

  • Each treaty has its own definition of the border zone, so it’s important to check the terms.

Even if you don’t pay tax in France, you should still inform the French tax authorities to clarify your situation.

Declaring Your Income in France

Your filing requirements depend on whether or not you are considered a French tax resident:

If you’re a tax resident:

  • You must declare all income, from both French and foreign sources.

  • Filing online is mandatory if you have internet access and are able to use the online system.

  • Failure to file online (when required) may result in a penalty of 0.2% of the total tax due (minimum €60).

  • You file through your personal account on impots.gouv.fr.

If you’re a non-resident:

  • You only declare French-source income.

  • You may also need to file a non-resident income tax return if applicable.

  • Again, filing can be done online or on paper, depending on access and eligibility.

Local Property Taxes

If you own property in France, even as a non-resident, you may be subject to:

  • Property tax (taxe foncière) – paid annually by the owner

  • Second home tax (taxe d’habitation sur les résidences secondaires) – applies if the property is not your primary residence

These local taxes are calculated by local authorities and are payable even if you don’t reside in France.

Real Estate Wealth Tax (IFI)

If your real estate assets in France exceed €1.3 million, you may be liable for the Impôt sur la Fortune Immobilière (IFI).

  • Applies to both residents and non-residents

  • Only the net value of real estate is considered (property minus eligible debts)

  • Filing is required alongside your annual income tax return

You can estimate your liability using the official IFI simulator available at impots.gouv.fr.

Key Dates

  • The 2025 income tax campaign (for 2024 income) is now closed.

  • The next tax season begins in April 2026 for 2025 income.