Do I have to declare income and pay taxes in France if I am a non-resident?

As a non-resident, you are taxed on your income from French sources subject to the provisions of the tax treaty between France and your country of residence.

Income from French sources is, inter alia, property income, income from salaried or non-salaried professional activities carried on in France, capital gains and pensions when the pension fund is based in France.

This income may be subject to withholding at source for non-residents which is deducted directly by your employer (for salaried employees) or pension fund. However, the income must still be reported each year on your tax return.

When you file your income tax return, you can choose to have your tax calculated using the average rate. Otherwise, your income will be taxed at a minimum rate of 20% up to €28,797 for income received in 2023 and 30% for income above this threshold. It is in your interest to opt for average rate arrangements as they only apply if they are more advantageous for you.

Nevertheless, even if your income is taxed in France, you must contact the tax authorities in your country of residence for information on your filing obligations. This is because your country of residence may require filing of an annual return for all your income from both French and foreign sources. In this case, your country of residence will be responsible for eliminating any double taxation pursuant to the tax treaty it has executed with France.