Withholding tax: salaries and pensions of non-residents

A non-resident who receives a salary for work performed in France, or a pension paid by an organization established in France, is subject to withholding tax deducted by the employer or pension fund. This tax is calculated after a 10% allowance on the relevant income, using a three-tiered scale: 0%, 12%, and 20%. The 0% and 12% brackets are final. The 20% bracket is deductible from income tax.

This page deals with French-source salaries and pensions. It does not cover employer obligations, tax treaty rates, or income subject to other withholdings (dividends, artistic performances, employee share ownership gains). These points should be verified based on your individual circumstances.

Who is affected, and what is it about?

The withholding tax generally applies to non-resident taxpayers who receive:

• salaries for an activity carried out in France; ;
• pensions when the debtor is established in France.

According to impots.gouv.fr, a pension is considered to be of French origin "if the paying organization is established in France," even if the services were performed abroad. The salaries covered include paid leave, benefits in kind, daily sickness or maternity allowances, and unemployment benefits.

Non-residents remain subject to non-resident withholding tax when their income is of French origin and taxable in France according to the applicable tax treaty. Residents are subject to withholding tax, a separate mechanism.

The BOFiP (BOI-IR-DOMIC-10-20-20, version in force since June 13, 2023) refers to "salaries, pensions, and annuities of French origin (French General Tax Code, art. 182 A)." Paragraph 20 further indicates that withholding taxes and levies applied to certain French-source income "do not apply to income and profits received" by non-residents "deriving the majority of their income in France," and refers to another interpretation (BOI-IR-DOMIC-40). The text consulted does not specify whether this applies to withholding taxes on salaries and pensions: you should check with the tax authorities if this applies to you.

The calculation: allowance then tax brackets

The withholding tax is deducted by the employer or pension fund. According to impots.gouv.fr, a 10% allowance for professional expenses applies to salaries and wages; for pensions, the tax authorities refer to a 10% allowance applied to the relevant income. The resulting amount is then divided into tax brackets.

In the French overseas departments, the rates for 12 % and 20 % are 8 % and 14.4 %, respectively. The 2026 tax scale is detailed in BOI-BAREME-000043, which has been in effect since April 2, 2026. The government website also provides the thresholds per quarter, per month, per week, and per day. For 2024 income, the thresholds were €16,820 and €48,790.

The scale changes every year: check the year before any calculation.

Exonerating or imputable

• 0 % and 12 % These tax brackets have a "liberating character". This income is not included in the calculation of income tax.
• 20% (14.4 % in the French overseas departments): the withholding is "directly deductible from your income tax liability". Only this portion appears in the calculation of the tax due.

Multiple employers or multiple funds

Each debtor applies the tax scale without considering the others. The total withholding may therefore be too low. An adjustment of 12 % (8 % in the French overseas departments) then appears on the tax notice, pursuant to Article 197 B of the French General Tax Code.

The administration's example: two pensions of €10,000 and €14,000 after deductions. Each pension fund deducts 0.%. The total of €24,000 exceeds €17,122 by €6,878, hence an adjustment of €825.

To announce

• Salaries: sections 1AF and following of declaration 2042.
• Pensions: sections 1AL and following.
• Box 8TA (withholding tax for non-residents) is generally pre-filled. Do not confuse it with boxes 8HV, 8IV, 8JV and 8KV, which concern withholding tax for residents (administrative page updated on 07/02/2025).
• The withholding tax must be declared on form 2041-E, along with the period of activity. If no withholding tax was deducted, enter "0" in the designated column of the form: two pages from the tax authorities may not use the same column number, so refer to the instructions for form 2041-E.

This withholding tax differs from the withholding tax for non-residents. The latter applies to income not subject to withholding (property income, industrial, commercial, non-commercial or agricultural profits) and gives rise to advance payments (administrative information sheet, March 2026).

Withholding tax for non-residents: numerical example (fictitious profile)

Situation. Marc, single, lives abroad. In 2025, he receives a salary of €70,000 from his employer based in France, for work carried out in France.

Hypotheses. One single employer, outside DOM, 2025 income scale (€17,122 and €49,667), 10% % allowance applied before the scale, as in the administration's example.

Issue. What amount does the employer withhold, and what portion is final?

Strategy. No special steps are required: the employer applies the standard scale. Marc declares his wages in 1AF, checks box 8TA and declares the withholding on form 2041-E.

Result.

Of this total, €3,905.40 is tax-deductible. The €2,666.60 in the 20% tax bracket (%) is deductible from Marc's income tax. The same calculation using the tax authorities' example (€60,000) yields €4,772. This profile is fictitious and illustrates the mechanism. It does not predict your specific situation.

Withholding tax for non-residents: what changes depending on your situation

• The nature of the income : salary from an activity carried out in France, pension from an organization established in France, or other income subject to another withholding tax.
• Your tax treaty : it determines what is taxable in France.
• The number of debtors : several employers or funds can lead to a regularization.
• The year of the scale : 2025 and 2026 do not have the same thresholds.
• Your overall situation : the BOFiP (§ 20) refers to non-residents who derive the majority of their income from France; the exact scope should be verified at source.
• Other rules for taxing non-residents : see our page on the average rate.

The rule depends on your situation. No results are guaranteed.