Publication in France of works by foreign writers

Income tax and withheld tax due in France

Revenues subject to income tax in France, declaration to be filed by the artist

Revenues from French sources paid to persons who are not fiscal residents of France are subject to income tax in France.

Regarding income tax, authors come under the same provisions which apply to liberal professionals.

Revenues coming from the exercise in France of independent professions are thus considered to be from French sources : this is the case for sums received as compensation for activities performed in France even if the person concerned is not professionally based in France.

Also, revenues from author’s royalties are in all cases considered to be revenues from French sources when they are paid by organizations based in France.

Indeed, sums received as royalties are considered to be revenues from French sources when the payer (the organization paying compensation) is based in France.

Nb > The general tax code (article 92-2) only specifies royalties received by writers and composers in the non-commercial category but legal precedents have considered that this list is not limitative.

Thus, royalties paid by French organizations must be declared in France by the author.

For persons who are not residents of France, the tax declaration must be filed at the tax center for non-residents (see Useful links in French) by the following dates :

• April 30 for Europe and countries on the Mediterranean coast ;
• May 15 for North America and Africa (except countries on the Mediterranean coast) ;
• May 31 for Central and South America ;
• June 30 for all other nations.

Tax to be withheld by the french organization

As noted above, authors come under the provisions relating to liberal professions.
Compensation paid to these authors must be subject to withheld tax, but in this case it is the withheld tax which is applicable to certain non-salary revenues or similar revenues such as royalties.

This withholding must be carried out by the organization based in France when compensation is paid to authors who are not fiscal residents of France.
The withholding rate is 33.33 % and applies to the gross total of pre-tax amounts paid on sales.

When revenues from author’s royalties are not paid directly to the author by the distributor but are paid to author’s rights organizations, then it is the author’s rights organization which must pay this tax withheld at source.

The French structure must pay this withheld tax to its tax center no later than the 15th of the month following payment of the compensation. Payment must be accompanied by Cerfa declaration n° 2494 in duplicate.

Nb > When it is practiced, this withheld tax paid by the French organization is deducted from the income tax owed by the artist-author on his or her revenues from French sources (see above Revenues subject to income tax in France, declaration to be filed by the artist )

 

Last Updated ( Tuesday, 12 December 2006 )