French General Tax Code
In forceI. With the exception of salaries falling within the scope of article 182 A bis, French-source salaries, wages, pensions and life annuities paid to persons who are not domiciled in France for tax purposes give rise to the application of a withholding tax.
II. The basis for this withholding is the net amount of the sums paid, determined in accordance with the rules applicable to income tax, excluding those which provide for the deduction of actual professional expenses.
III.-The withholding is calculated, according to a rate corresponding to a period of one year, by applying to the fraction of the sums subject to withholding which exceeds €16,050 the rate of:
a) 12% for the portion in excess of €16,050 and up to €46,557;
>> b) 20% for the portion in excess of €16,050 and up to €46,557; and
b) 20% for the portion in excess of €46,557;
The rates of 12% and 20% mentioned in a and b of this III are reduced to 8% and 14.4% respectively in the overseas departments.
When the sums subject to deduction are paid on a quarterly, monthly, weekly or daily basis, the limits of the brackets of the annual tariff provided for in this III are divided by 4, 12, 52 or 312 respectively.
IV.-Each of the limits of the brackets of the tariff provided for in III is revised each year in the same proportion as the upper limit of the first bracket of the income tax scale. The amounts obtained are rounded to the nearest euro; the fraction of a euro equal to 0.5 is counted as 1.
V. The withholding is deducted from the amount of income tax established under the conditions provided for in Article 197 A.
