What euro exchange rate do I use for my French income tax declaration?

Everyone with 2023 income to declare to France must do so in April-June – and, as usual, the question as to which exchange rate to use arises for any non-euro income received.

The French tax year follows the calendar year so this spring’s declaration relates to income received last year.

All income must be declared in euros.

The deadlines for declarations, which are usually staggered by area and method, have not yet been announced.

Read more: What is the ‘RFR’ figure used by French tax authorities?

Rates for major English-speaking nations’ currencies

Declarations must include worldwide income for tax residents of France or certain income of French origin, mostly from property, of those who are not tax resident.

The vast majority of people with income to declare are asked to do so online, although paper declarations remain possible for first-time declarers and those unable to access the internet.

Strictly speaking all non-euro income should be declared at Banque de France rates on the day of banking the money.

However, where people have regular foreign currency income the tax authorities allow the use of an average rate for the year.

France’s central tax authority the DGFiP has previously detailed the following method to The Connexion, which is also listed in the Bulletin Officiel des Finances Publiques – Impôts: take an average of the year-end rate for 2022 and the year-end rate for 2023.

This gives, for major English-speaking nations’ currencies:

£1 = €1.139

$1 US = €0.921

$1 Canada = €0.688

$1 Australia = €0.626

$1 New Zealand = €0.583

For more information about income tax declarations in France, look out for our guide French Income Tax 2024, which will be available at the end of March (digital format only) for €14.50 via our website or by calling 06 40 55 71 63.

The guide details who needs to declare which kinds of income, and how. It also covers how to claim deductions and any relevant tax credits.

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