New French income tax bands released

THE TAX bandings for 2009 income have been released.

These will be the rates on which your income is taxed once you have completed and sent in tax forms (déclaration de revenus) in April and May.

Households with pension income taxable in France (ie. not UK government pensions) are given a 10% allowance, from a minimum of e368 to a maximum €3,606.

This will be applied by the tax office to the gross income you declare on your form.

If you are in a couple and one of you is older than 65 the bandings are raised by an additional €2,276 if your income is under €14,010 or e1,138 if income is between €14,010 and €22,590. Tax under €61 is not recovered by the fisc.

The average currency conversion figure for the year is €1.12297 to £1.
The official currency conversion figure for declaring wealth tax - Impôt de Solidarité sur la Fortune ISF - has yet to be released. (This figure is different to the average exchange rate, as wealth tax declarations are on capital owned on January 1.)

We will publish the official figure on our website once it is made available.
Connexion will be publishing a revised helpguide to completing French income tax forms in April.

Tax bands

€0 - 5,875 -- 0%
€5,875 - 11,720 -- 5.5%
€11,720 - 26,030 -- 14%
€26,030 - 69,783 -- 30%
€69,783 and more -- 40%

Average pound to euro conversion rate for income in 2009.
£1 = €1.12297