For 2026, France plans to extend the temporary corporate income surtax at reduced rates for large companies, accelerate the phased elimination of the CVAE business tax, and update global minimum tax rules. 

France’s parliament has released the draft Finance Bill for 2026, which was submitted on 14 October 2025.

The main tax measures include:

Temporary corporate income tax surtax extended with reduced rates

The temporary surtax on corporate income tax for large companies with an annual turnover of at least EUR 1 billion will be extended for another year. For 2026, the surtax rates will be reduced by half, with companies generating turnover between EUR 1 billion and EUR 3 billion seeing the rate drop to 10.3% from 20.6%, while those with turnover above EUR 3 billion will face a reduced rate of 20.6%, down from 41.2%.

This follows after the government reportedly planned to retain several elements from the initial 2025 Finance Bill, albeit with some modifications. Previously, the French Parliament passed the Special Finance Bill for 2025 on 18 December 2024, following the government’s approval on 11 December 2024.

A notable adjustment in the revised proposal is the introduction of a temporary surtax on corporate income tax. This measure targets large companies with annual revenues of at least EUR 1 billion and will be in effect for two fiscal years ending on or after 31 December 2024.

Accelerated reduction of the CVAE business tax

The phased elimination of the business value-added contribution (CVAE) will be expedited:

  • The top effective CVAE rate will drop to 0.19% in 2026 (previously scheduled for 2028).
  • It will further reduce to 0.09% in 2027 (instead of 2029).
  • The tax will be abolished by 2028.
  •  Adjustments will also be made to the cap for the territorial economic contribution (CET).

Updates to global minimum tax rules

The Pillar 2 global minimum tax rules will be revised to incorporate OECD administrative guidance issued in June 2024. This includes updates on deferred tax liabilities and other technical matters. Additionally, the EU’s DAC9 directive (Council Directive 2025/872) will be transposed to facilitate the exchange of information on Top-up tax returns.

The tax measures are set to take effect from 1 January 2026, upon approval.