France Sees 7.1% Rise in Fiscal Revenues in 2025 Amid New 2026 Income Tax Declaration Campaign

France experienced a notable increase in fiscal revenues in 2025, with collections rising by 7.1% compared to the previous year, according to data released by the Direction générale des finances publiques (DGFiP) on March 10. This surge brought total fiscal revenue to 610 billion euros, marking a significant recovery after two years of stagnation and decline. The growth in fiscal revenue outpaced the country’s GDP growth, which was recorded at 2.0% for the same period.

The 2025 public deficit showed improvement, decreasing to 5.4% of GDP from 5.8% in 2024. The revenue distribution included 57% allocated to the state, 26% to local authorities, and 17% to social security administrations. Key contributors to revenue growth were income taxes, energy consumption taxes, and an 8.4 billion euro contribution from exceptional taxes targeting large corporate profits and high-income earners. Overall, total public sector revenues amounted to 51.9% of GDP, placing France among the wealthiest economies, just behind Finland and on par with Austria.

Separately, the DGFiP announced that the 2026 income tax declaration campaign, which covers 2025 income, will begin on April 9. Since 2019, all French taxpayers must declare their income online, though paper declarations remain available for those without internet access. Deadlines for submissions will vary by department and filing method, ranging from late May to early June.

Importantly, the 2026 tax brackets have been indexed to a 0.9% inflation rate reflective of 2025’s economic conditions, reversing an earlier proposal to freeze the brackets. The updated tax rates for 2026 are progressive: 0% for income up to €11,600, 11% for €11,600–€29,579, 30% for €29,579–€84,577, 41% for €84,577–€181,917, and 45% for income above €181,917. This adjustment aims to maintain taxpayers’ real purchasing power amid inflation.

These fiscal developments indicate a rebound in public finances and provide practical guidance for taxpayers preparing for the upcoming declaration season.