Ahead of the 2025 tax declaration deadlines, covering income earned in 2024, the French government has updated income tax brackets to reflect inflation. These adjustments, which vary depending on individual situations, aim to ease the tax burden, particularly for lower-income earners, by increasing the threshold for tax-free earnings. Here’s a closer look at the new structure.
In France, income tax follows a progressive structure with five brackets, ranging from 0% to 45%. The calculation of taxable income incorporates the family quotient, a system designed to reduce the tax burden for households with dependents. This mechanism means families with more members—such as spouses and children—benefit from lower overall tax rates.
The brackets have increased by 1.8% in 2025, ensuring that individuals whose earnings have kept pace with inflation do not find themselves unexpectedly moving into a higher tax category.
While the official tax brackets start at a taxable rate of 11% for those earning €11,497 and above, the actual threshold for tax liability is higher due to a further calculation called the décote, which limits tax on lower earners.
Tax liability
For a single person without dependents, the threshold for income tax liability in 2025 is set at €17,438 in annual net taxable income. This means individuals earning below this amount will not be required to pay income tax. For a couple without children, who benefit from two tax shares, the tax-free threshold stands at €32,572. These thresholds apply to all declared income sources, including salaries, rental income and pensions.
Furthermore, any calculated tax owed below €61 is not collected by the state.
Taxpayers may also benefit from various credits and deductions that further lower their final tax bill, such as those for child support, alimony, school fees and childcare. As a result, some individuals with incomes above the official threshold may still end up owing no tax.
Since the introduction of withholding tax in January 2019, income tax is deducted directly from taxable earnings each month for much of the working population. This system ensures that tax payments are spread throughout the year rather than requiring a lump sum payment at the end of the tax season.
Overall, these updates aim to maintain fairness by preventing inflation from artificially increasing tax burdens. As always, individual tax obligations may vary depending on specific income sources, household composition and eligible deductions.
To calculate taxes owed on 2024 income in 2025, the government has created an online tool, available here.
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