France vs Germany
Corporate Tax Comparison
Time of Update: France: 4/02/2026 / Germany: 4/02/2026
Compare France and Germany corporate tax rates, filing due dates, withholding tax, VAT, capital gains tax, and effective tax metrics for cross-border company planning.
France vs Germany Corporate Tax Comparison
Basic Corporate Tax Comparison
Corporate Income Tax (CIT)
France
Germany
General CIT Rate:
Standard rate: 25%; qualifying small corporations may benefit from 15% on the first EUR 42,500 of taxable profits.
General CIT Rate:
Corporate income tax is 15%, plus a 5.5% solidarity surcharge on the corporate income tax, resulting in a combined rate of 15.825%. Trade tax applies separately and generally ranges from 8.75% to 20.3% depending on the municipality. According to legislative changes adopted in 2025, the corporation tax rate is planned to decrease to 14% in 2028, 13% in 2029, 12% in 2030, 11% in 2031, and 10% from 2032 onward, with the solidarity surcharge continuing to apply.
CIT Return Due Date:
About the fiscal year ending on December 31st, until the end of May of the following year.
CIT Return Due Date:
July 31st (or extended to the end of February of the following year if the taxpayer instructs a professional tax advisor).
CIT Payment Due Date:
About the fiscal year ending on December 31 and May 15 of the following year.
CIT Payment Due Date:
As stated in the assessment notice.
CIT Estimated Payment Due Date:
By way of installment payments in four installments (i.e., for the fiscal year ending on December 31, must be submitted and paid on March 15, June 15, September 15, and December 15).
CIT Estimated Payment Due Date:
Quarterly installment payments are due on the 10th day of March, June, September, and December.
Withholding Tax (WHT)
France
Germany
Resident Withholding Tax (Dividend/Interest/Royalty):
N/A
Resident Withholding Tax (Dividend/Interest/Royalty):
25/25/0
None-Resident Withholding Tax (Dividend/Interest/Royalty):
25/0/25
None-Resident Withholding Tax (Dividend/Interest/Royalty):
25/0/15
Value-Added Tax (VAT)
Capital Gain Tax (CGT)
France
Germany
General Capital Gain Tax Rate:
Capital gains are constrained by the normal corporate income tax rate.
General Capital Gain Tax Rate:
Capital gains are subject to the normal corporate tax rate.
Effective Tax Rate (ETR)
France
Germany
Composite Effective Average Tax Rate:
23.66
Composite Effective Average Tax Rate:
26.59
Composite Effective Marginal Tax Rate:
15.38
Composite Effective Marginal Tax Rate:
11.00
