Air passenger and freight transport services in Guadeloupe and Martinique will now benefit from the zero rate of value added tax, matching the treatment long given to maritime transport in the two French overseas departments.
France has extended its 0% value added tax (VAT) rate to air transport services carried out in Guadeloupe and Martinique, effective from 21 February 2026, according to an update (ACTU-2026-00140) published by the French tax administration on 2 September 2026.
The change was introduced under Article 100 of Finance Law No. 2026-103 of 19 February 2026, which widens the scope of Article 295(1)(1°) of the General Tax Code (Code général des impôts). The 0% VAT rate under this article had previously applied only to maritime passenger and freight transport services carried out in Guadeloupe and Martinique.
With the extension, air carriers and other businesses supplying qualifying domestic transport services within these two overseas departments must apply the 0% VAT treatment to transactions falling within the scope of the provision.
