Taxes for freelancers and self-employed workers in France in 2026

One of the key elements of running your own business in France is understanding how the tax system applies to you and getting your head around the allowances you can claim. French taxes can be complicated, with self-employed workers able to choose between tax regimes.

For international freelancers, managing finances across borders might be an additional challenge. Multi currency accounts like Wise Business can simplify receiving payments from global clients and managing money in multiple currencies. More on that later.

Read on to explore the following topics:

The self-employed tax system in France

According to 2024 data from France’s national statistics institute, Insee, 13.3% of people in employment in France worked as independents, including conventional self-employed workers, micro-entrepreneurs, and salaried company heads.

Freelance workers in France typically have to pay tax on their earnings and make social security contributions. There is a range of structures available to self-employed workers and business owners in France. The type of business you operate will dictate the taxes you’ll need to pay on your income.

Self-employed income tax in France

Tax for self-employed sole traders and freelancers in France

If you set up as a sole trader (entreprise individuelle or EI) in France, you and your business will generally be considered one entity for income tax purposes. This means you’ll pay tax under the general income tax system (Impôt sur le revenu), using the same progressive rates as other individual taxpayers. The 2026 income tax bands below apply to income earned in 2025 and declared in 2026:

Income tax rates for 2025

Income tax bracket	Tax rate
Up to €11,497	0%
€11,498–29,315	11%
€29,316–83,823	30%
€83,824–180,294	41%
€180,295 and above	45%

Income tax rates for 2026

Income tax bracket	Tax rate
Up to €11,600	0%
€11,601–29,579	11%
€29,580–84,577	30%
€84,578–181,917	41%
€181,918 and above	45%

Self-employed workers can choose between paying tax under the standard system or the micro-entreprise regime (régime micro-entreprise). Under the standard system, you’ll declare your profits minus any allowable deductions and pay tax on that amount.

Under the micro-entreprise regime, you declare your gross turnover or receipts rather than deducting your actual business expenses. The tax authorities then apply a fixed expense allowance to calculate your taxable income. Which regime works better for you will depend on your income, expenses, and the type of activity you carry out.

Micro-entreprise tax regime

The eligibility rules and flat-rate tax allowances for the micro-entreprise regime vary depending on the nature of your company.

Some types of self-employed workers aren’t eligible for the regime, so you should seek advice from the tax office before proceeding.

For income earned in 2026, 2027, and 2028, the main micro-entreprise thresholds and allowances are:

• Commercial sales (micro-BIC): annual turnover must generally not exceed €203,100. A flat-rate allowance of 71% applies, meaning 29% of turnover is normally included in the taxable base.
• Commercial or craft services (micro-BIC): annual turnover must generally not exceed €83,600. A flat-rate allowance of 50% applies.
• Professional/liberal activities (micro-BNC): annual receipts must generally not exceed €83,600. A flat-rate allowance of 34% applies, meaning 66% of receipts is normally included in the taxable base.

For example, let’s say you’re running a commercial business under the micro-entreprise regime. If you make €50,000 in a year, you’ll be able to offset the allowance of 71% against this. You’ll then pay income tax on the remaining 29% of your total revenue (€14,500).

Micro-entrepreneurs are generally within the scope of business property tax (cotisation foncière des entreprises, or CFE). However, businesses are exempt from CFE in their year of creation, and businesses with annual turnover or receipts of no more than €5,000 are also exempt. CFE is normally calculated using the rental value of business premises; businesses with no premises or a very low rental value may instead be taxed using a minimum base set by the local authority. You can find out more in the French government’s guide.

Tax for partnerships in France

A SARL is normally subject to French corporate tax. However, eligible SARLs can opt temporarily for income tax if they meet the relevant conditions, including requirements relating to their activity, age, workforce, turnover or balance-sheet total, listing status, and ownership. The temporary income-tax option can apply for up to five financial years.

Tax on limited companies in France

Limited companies such as SARLs and SASs are generally subject to French corporate tax, although specific income-tax options may be available in some circumstances. It has not been possible to create a new EIRL since 15 May 2022, although EIRLs established before that date can continue. The current sole-trader structure is the entreprise individuelle (EI), which is generally subject to income tax but can opt for corporate-tax treatment in certain circumstances.

Registering for freelance tax in France

Since 1 January 2023, business creation, modification, and closure formalities in France must be completed online through the official guichet unique des formalités des entreprises. The system covers sole traders, micro-entrepreneurs, and companies and has replaced the former Centres de Formalités des Entreprises (CFE).

When establishing yourself as a freelancer in France, setting up the right banking infrastructure is just as important as registering with tax authorities. For those working with international clients, a Wise Business account can be particularly valuable, offering local account details in multiple currencies including major currencies like EUR, USD and GBP, that allow you to receive payments easily while avoiding excessive currency conversion fees.

Self-employed and freelance tax deductions and credits in France

If you register for tax under the micro-entreprise regime, you cannot claim any deductions against your tax bill, as you already benefit from the credits above.

If you register under the standard regime, there is a range of expenses you can deduct from your profits to work out your taxable income. These include overheads such as the cost of office space and equipment required to operate your company.

Most reasonable business outgoings are possible. The French tax agency sets the following rules on deductions:

• Deductions must be incurred in the direct interest of your company’s operation and relate to normal business management.
• Deductions must be recognized as an expense during the correct financial year and invoices must be provided as supporting evidence.
• Outgoings for working from home can be deducted as long as they are fairly distributed (e.g., how much you deduct from the cost of your electricity bill must be in line with how much of your time at home is spent working).

Corporate tax in France

Corporate tax rates in France have been falling in recent years. In 2021, most companies paid a standard rate of 26.5%, while companies with profits of more than €500,000 paid a higher rate of 27.5%.

Since 2022, the standard corporate tax rate has been 25%. Eligible smaller companies can pay a reduced rate of 15% on the first €42,500 of taxable profit if their annual turnover is below €10 million and their fully paid-up capital is at least 75% owned by individuals or qualifying companies. Profits above €42,500 are taxed at the normal 25% rate.

Companies may be able to benefit from tax credits and incentives, including the research tax credit (CIR) and certain schemes for new or innovative businesses. The CICE is no longer available for current payroll costs: it was abolished from 2019 and replaced by reductions in employer social security contributions.

How to file freelance tax in France

If you are operating as an individual, your annual income tax return is generally filed online. For the 2026 tax campaign covering income earned in 2025, the online deadlines were 21 May 2026 for départements 01–19 and non-residents, 28 May for départements 20–54, and 4 June for départements 55–974 and 976. Taxpayers unable to file online had until 19 May 2026 to submit a paper return.

Self-employed people subject to French income tax generally report their professional income on their annual income tax return using forms 2042 and 2042-C-PRO. Businesses taxed under a real BIC regime must also file form 2031 and the relevant supporting schedules, while BNC professionals under the controlled-declaration regime must additionally file form 2035 and its schedules. Micro-entrepreneurs also declare their turnover to Urssaf each month or quarter, depending on the reporting frequency chosen.

Companies liable for corporate income tax must file an online tax return within three months of the end of their financial year, or by the second working day after 1 May if their year ends on 31 December. Corporate tax is normally paid in four quarterly instalments, but new companies and those whose corporate tax liability was €3,000 or less in the previous year are exempt from instalments and instead pay the tax in a single balance payment.

For international freelancers earning income in multiple currencies, paying taxes in France may require currency conversion. Banks might charge high incoming international transfer fees and use unfavorable exchange rates for these transactions, potentially adding significant costs to your tax bill. 

Business multi-currency accounts like Wise offer mid-market exchange rates with a small transparent conversion fee, can help you save on financial costs when converting foreign earnings to euros.

VAT in France for self-employed people

VAT in France is called taxe sur la valeur ajoutée, or TVA. In metropolitan France, the standard rate is 20%, with reduced or special rates of 10%, 5.5%, and 2.1% applying to certain goods and services. Different rates apply in Guadeloupe, Martinique, and Réunion, while TVA is currently not applicable in Guyane and Mayotte.

Small businesses may qualify for France’s VAT exemption regime (franchise en base de TVA). For most sales and accommodation activities, the previous-year turnover threshold is €85,000, with a current-year upper threshold of €93,500. For most other services, the corresponding thresholds are €37,500 and €41,250. If the higher current-year threshold is exceeded, VAT becomes applicable from the date the threshold is exceeded.

The micro-entreprise tax regime and the VAT exemption are separate rules, so a micro-entrepreneur can become liable for VAT while remaining under the micro-entreprise regime. A proposed reform of the VAT exemption thresholds in 2025 was ultimately repealed by legislation promulgated on 3 November 2025, leaving the thresholds above in place.

Social security for self-employed workers in France

Self-employed workers in France must make social security contributions on a monthly or quarterly basis. How much you’ll need to pay will vary depending on the structure of your company.

If you are a sole trader outside the micro-social regime, your social contributions are calculated from your professional social-contribution base. A reform implemented in 2026 for the regularization of 2025 contributions introduced a single social base based on gross social income after a 26% flat-rate deduction. You no longer submit a separate Déclaration sociale des indépendants (DSI): the relevant social information is included in your annual income tax declaration and transmitted to Urssaf.

Micro-entrepreneurs pay social contributions as a percentage of turnover or receipts. From 1 January 2026, the main rates are 12.3% for sales activities, 21.2% for commercial and craft services, 25.6% for other BNC service activities, and 23.2% for regulated liberal professions affiliated with Cipav. Other specific activities can have different rates.

Eligible micro-entrepreneurs may also qualify for ACRE, which temporarily reduces social contributions at the start of the business. For businesses created on or after 1 July 2026, the ACRE reduction is 25% of the normal contribution rate rather than 50%, meaning beneficiaries pay 75% of the standard rate during the relief period. Micro-entrepreneurs must apply to Urssaf to benefit from ACRE.

Tax fines if you freelance in France

If you file your income tax return late, the tax due is generally increased by 10%. The surcharge rises to 20% if the return is submitted within 30 days of a formal notice from the tax authorities, and to 40% if it is still not submitted within that period. An 80% surcharge can apply where an undisclosed activity is discovered. Late-payment interest of 0.20% per month can also apply.

If you submit your corporate tax return late, you’ll be charged interest at 0.2% per month plus a penalty of at least 10% of the tax due. For late payments, the penalty starts at 5% of the tax due. Much larger fines of up to 80% can be imposed if you’re found to have committed tax fraud.

Associations for entrepreneurs in France

Organizations for entrepreneurs can be a useful source of networking and support in France. One example is:

• Citizen Entrepreneurs: an association that supports French entrepreneurs in France and internationally.

How to find an accountant or financial adviser in France

If you’re not sure how the tax rules apply to you, it’s worth getting professional advice from an expert. Companies such as Elitax and French Tax Online offer specialized services for newcomers to the country.

There are lots of English-speaking advisers dotted around France. As a starting point, check out our directory of French accountants and tax experts.

Pairing professional tax advice with the right financial tools can create a powerful combination for freelancers operating internationally.

While an accountant helps optimize your tax situation and ensures compliance, providers like Wise can complement this by streamlining your international money management, making it easier to track income, manage business expenses, and maintain clear records for tax purposes, all while minimizing currency conversion costs.

Useful resources

• Service-Public – the French civil service website
• French tax authority (impots.gouv.fr)
• French online tax payment service