Capital Gains Tax Calculator

Calculate the tax on capital gains from selling stocks, ETFs and other securities in France.

Parameters

Purchase price (€)

Selling price (€)

Account type

Year of purchase (years)

Tax regime

Gross capital gain

8 000 €

Net capital gain

5 600 €

Tax breakdown

Gross capital gain8 000 €

Income tax- 1 024 €

Social levies- 1 376 €

Total tax2 400 €

Effective tax rate30.0 %

Capital gain breakdown

How are capital gains taxed in France?

When you sell securities (stocks, bonds, ETFs, funds) at a profit in France, the capital gain is subject to taxation. Since 2018, the default regime is the 30% flat tax (PFU: 12.8% income tax + 17.2% social levies). You can alternatively opt for the progressive income tax rate, which may include duration allowances for shares acquired before 2018.

Flat Tax (PFU)

The default regime: a flat 30% rate on the gross capital gain with no allowances. Simple and often favorable for investors in the 30%+ tax brackets.

Progressive Rate

Optional: capital gains are added to your taxable income at your marginal rate, plus 17.2% social levies. Duration allowances may apply for pre-2018 shares.

PEA Advantage

Gains within a PEA held over 5 years are exempt from income tax: only 17.2% social levies apply. Before 5 years, the flat tax applies in full.

Duration allowances (pre-2018 shares)

For shares acquired before January 1, 2018, if you opt for the progressive rate, you can benefit from duration allowances: 50% reduction after 2 years, 65% after 8 years. Enhanced allowances exist for certain SME shares. These allowances do not apply under the flat tax regime.

PEA and brokerage account differences

In a standard brokerage account (CTO), every sale triggers a taxable event. In a PEA, gains accumulate tax-free as long as no withdrawal is made. After 5 years, PEA withdrawals benefit from income tax exemption (only social levies apply). Before 5 years, the full flat tax applies and the PEA is closed.

Frequently asked questions

Can I offset losses against gains?▼

Yes, capital losses can be offset against capital gains of the same type in the same year and carried forward for 10 years. This applies to both brokerage accounts and PEA (upon closure).

Which regime is better: flat tax or progressive?▼

If your marginal tax rate is 11% or less, the progressive rate is usually better (11% + 17.2% = 28.2% vs 30%). At 30% or above, the flat tax is typically more favorable. Duration allowances for pre-2018 shares can shift this calculation.

How are foreign stocks taxed?▼

Capital gains on foreign stocks held in a French brokerage account follow the same French tax rules. However, dividends may be subject to foreign withholding tax, with a tax credit mechanism to avoid double taxation.

When do I declare capital gains?▼

Capital gains are declared annually in your income tax return (typically in May-June). Your broker provides a tax statement (IFU) with all transactions. You must report the net gain or loss for the year.