France is located in Western Europe and has a territory to 544,000 square kilometers, as well as 3,805 kilometers of the coastline. France borders Andorra, Belgium, Germany, Italy, Luxembourg, Monaco, Spain and Switzerland. France has access to the North Sea, to the Mediterranean Sea and to the Atlantic Ocean. France has a population of 67 million people.
Corporate taxation, VAT taxation, Personal taxation
- Corporate income tax - a tax rate of 26.5% applies if annual turnover is below EUR 250 million. A tax rate of 27.5% applies if annual turnover equals or exceeds EUR 250 million. Tax returns are filed on an annual basis. Advance income tax payments are made on a quarterly basis
- Dividend withholding tax - 0%, if dividends are distributed to a parent EU company, otherwise the standard tax rate is 26.5%
- Interest withholding tax - Standard tax rate 0%
- Royalties withholding tax - 0%, if dividends are distributed to a parent EU company,
- otherwise the standard tax rate is 26.5%
- Capital gains tax - Standard tax rate 26.5%
- VAT - Standard tax rate 20% or reduced rates from 2.1% up to 10% or tax exempt. Tax returns are filed on a monthly, quarterly or an annual basis
- Personal income tax - from 0% up to 45%.
The following are the most common types of companies to incorporate a company in France as:
- Limited liability company (Société à Responsabilité Limitée - S.a.r.l.)
- Public limited company (Société Anonyme - SA)
- General partnership (Société en Nom Collectif - SNC)
- Limited partnership (Société en Commandite Simple - SCS)
- Partnership limited by shares (Société en Commandite par Actions - SCA)
- European company (Societas Europaea)
- Branch office (Succursale).
Official currency of France is euro (EUR).
In recent years French GDP amounted to EUR 2 trillion, export exceeded EUR 430 billion, import exceeded EUR 450 billion. Foreign direct investment amounted to around EUR 600 billion.
There are more than 25,000 subsidiaries of foreign legal entities.
Economy of France is based on a well-developed private sector and on national economy. Since late 1980s government policy was focused on massive privatization and decreasing of state regulation.
France has substantial agricultural resources, large industrial base and highly quialified workforce in many fields. Service sector has been responsible for the increase of economic activity and the creation of jobs in recent years.