Taxation in France of interest on loans to Valvest (2025)

In France, interest earned from loans to Valvest is considered investment income and is subject to a flat tax of 30%, known as the prélèvement forfaitaire unique (PFU). This tax consists of:

• Income tax: 12.8%
• Social contributions: 17.2%

Declaring foreign interest income

As a tax resident in France, you are required to declare all your worldwide income, including interest received from foreign sources such as loans to Valvest.

📊 Example calculation

If you receive €1,000 in interest from a loan to Valvest, the taxation in France would be:

• Income tax (12.8%): €1,000 × 12.8% = €128
• Social contributions (17.2%): €1,000 × 17.2% = €172
• Total deductions: €128 + €172 = €300
• Net amount received: €1,000 - €300 = €700

✅ French tax declaration

It is essential to correctly report this foreign interest income in your French tax return. You must fill out the appropriate forms and attach any required documentation. Consulting the French tax authorities or a tax expert is recommended for precise guidance.