France Corporate Tax Calculator (Impôt sur les Sociétés 2026)

France charges impôt sur les sociétés at 25%, with a reduced rate of 15% on the first €42,500 of profit for companies that meet three conditions at once:

• turnover below €10 million
• capital fully paid up
• at least 75% held by natural persons

All three must hold. Two of them cannot be inferred from a profit figure, which is why this calculator asks you to confirm eligibility rather than guessing from the numbers.

The relief is a fixed-size benefit. Because it applies to a capped band at a ten-point discount, it is worth €42,500 × 10% = €4,250 and no more. That is substantial for a company earning €100,000 and immaterial for one earning €5 million.

where the 15% band applies only if all three eligibility conditions are met. Where they are not, the whole profit is charged at 25%.

The effective rate therefore starts at 15% for a profit entirely within the band and rises asymptotically toward 25% as profit grows, without ever reaching it for an eligible company.

The impot sur les societes is a two-band calculation for an eligible company and a flat one otherwise, so it is worth seeing both bands fill up and then seeing what happens once the reduced band is exhausted.

Step 1: The reduced band ceiling. €42,500 of taxable profit, available only where turnover is under €10m, capital is fully paid up, and at least 75% is held by natural persons

Step 2: A company with taxable profit of exactly €42,500, all three conditions met. Profit at 15%: €42,500.00, tax €6,375.00 Profit at 25%: €0.00, tax €0.00 Total: €6,375.00, an effective rate of 15.00%

Step 3: The same profit without eligibility. €42,500.00 x 25% = €10,625.00, an effective rate of 25.00% The reduced band is therefore worth €4,250.00, being €42,500 x the ten point rate difference

Step 4: One euro more of profit, €42,501, still eligible. Profit at 15%: €42,500.00, tax €6,375.00 Profit at 25%: €1.00, tax €0.25 Total: €6,375.25

Step 4 confirms the band is a threshold on the profit, not a cliff on the company. The euro above the ceiling is taxed at 25%; the €42,500 beneath it stays at 15%.

Step 5: Profit of €100,000, eligible. Profit at 15%: €42,500.00, tax €6,375.00 Profit at 25%: €100,000 - €42,500 = €57,500.00, tax €14,375.00 Total: €6,375.00 + €14,375.00 = €20,750.00 Effective rate: 20.75%

Step 6: Profit after tax at €100,000. €100,000.00 - €20,750.00 = €79,250.00

Step 7: The same €100,000 without eligibility. €100,000.00 x 25% = €25,000.00, leaving €75,000.00 Saving from the reduced rate: €4,250.00, exactly as in step 3

Step 8: Profit of €500,000, eligible. Profit at 15%: €42,500.00, tax €6,375.00 Profit at 25%: €457,500.00, tax €114,375.00 Total: €120,750.00, effective rate 24.15% Saving: still €4,250.00

The saving in steps 3, 7 and 8 is identical because the reduced band is capped in euros rather than expressed as a share of profit. It is worth a full ten points at €42,500 of profit, four and a quarter points at €100,000, and less than a point at €500,000. The effective rate accordingly climbs from 15.00% toward 25% and never reaches it. Two of the three eligibility conditions cannot be inferred from the profit figure, which is why the calculator asks you to confirm them rather than guessing.

• Verifying eligibility. Turnover, paid-up capital and the 75% natural-person shareholding test are taken as confirmed by you. Only the first is even loosely related to profit.
• The group turnover test. For companies belonging to a group, the €10 million threshold is assessed on a basis that the reduced rate guidance has revised, so a small subsidiary of a large group may not qualify.
• Determining taxable profit. Amortisation, provisions, non-deductible charges and interest deductibility limits all sit upstream of the figure entered here.
• The contribution sociale sur les bénéfices, an additional charge on larger companies.
• CVAE and other production taxes, which are separate from IS.
• Crédit d'impôt recherche (CIR) and other credits, which reduce the final liability substantially for companies that qualify.
• Intégration fiscale, under which a group is taxed on a consolidated result.
• Report en avant and report en arrière of losses, including the carry-back mechanism.
• Acomptes, the quarterly instalments paid during the year.
• Pillar Two top-up tax for very large groups.

• Assuming eligibility follows from small profits. It follows from turnover, capital and shareholding. A company with a tiny profit but €20 million of turnover pays 25% on everything.
• Overstating what the reduced rate is worth. It is capped at €4,250. Business plans that model 15% across a whole profit substantially understate the tax.
• Missing the 75% natural-person test. A company owned through another company can fail this even if it is small by every other measure, and the shareholding is the condition most often overlooked.
• Forgetting the group turnover rule. Belonging to a group changes how the €10 million threshold is measured.
• Treating IS as the whole corporate burden. The contribution sociale sur les bénéfices and production taxes sit outside it.
• Ignoring the CIR. For research-intensive companies the research credit can dwarf the reduced-rate band.

• impots.gouv.fr: "Taux réduit d'impôt sur les sociétés (IS) : le critère du chiffre d'affaires revu pour les entreprises appartenant à des groupes" (14 April 2026). impots.gouv.fr/actualite/taux-reduit-dimpot-sur-les-societes-le-critere-du-chiffre-daffaires-revu-pour-les

All figures verified on 30 August 2026

Also consulted: economie.gouv.fr: "L'impôt sur les sociétés, comment ça marche?", standard rate 25%, reduced rate 15% on the first €42,500, and the three eligibility conditions.