TLDR: Taxpayers domiciled or established in France must declare income in foreign currency by complying with specific obligations: declaring foreign accounts, submitting accounting records in euros and in French, and using dedicated fields for currency amounts. Companies must complete form 2066-SD for foreign-source income.
Who is concerned
Natural persons, associations, and non-commercial companies domiciled or established in France are required to declare accounts opened, held, used, or closed abroad. This obligation applies when declaring income or results.
Taxpayers must also spontaneously declare tax-exempt income that affects the calculation of the effective tax rate.
Format and transmission methods
The accounting entries file can be submitted in paper or digital format, in accordance with Article A. 47 A-1 of the Livre des Procédures Fiscales (LPF). Accepted formats include flat files (text) or structured files (XML), following the technical specifications published on www.impots.gouv.fr.
Required documents and information
Accounting documents must be prepared in euros and in the French language. In the accounting entries file, the amount in foreign currency indicated on the supporting document must be entered in the "Montantdevise" field, while the "Debit" and "Credit" fields must be filled in euros. If only the amount in foreign currency is recorded in the accounting system, the "Debit" and "Credit" fields must be filled with the value zero.
Specific modules
Companies receiving foreign-source income collected in a foreign state or an overseas territory must complete the supplementary form No. 2066-SD (CERFA No. 11087).
Retention and justification obligations
Taxpayers must be able to present, upon request by the tax authorities, the supporting documents for the tax benefits they receive.
Amount conversion
For transactions in foreign currency, the conversion must be carried out using the annual average exchange rate indicated by the European Central Bank for the year in question.