TLDR: New residents in France and foreigners must be aware of specific tax rules, including property taxation for the first 5 years, tax reductions for dependents, and fees for residence permits. It is important to declare a change of address online and take advantage of social security contribution benefits.
Tax residency and taxation
French citizens domiciled in Monaco are subject to income tax in France unless they can prove 5 years of habitual residence in Monaco as of October 13, 1962, or fall under specific exceptions. New residents in France who have not been tax-domiciled in the country for the 5 years prior to their move are taxable only on real estate assets located in France for the Impôt sur la Fortune Immobilière (IFI).
Tax reductions for dependents
Foreigners residing in France are entitled to tax reductions for dependents only if their country of origin applies reciprocal treatment to French citizens. This reciprocity is presumed unless proven otherwise, but it does not apply to non-resident foreigners, except in specific cases such as students with French scholarships.
Fees for residence permits
Foreigners applying for a first residence permit in France must pay a fee ranging from €200 to €340. For students with temporary "étudiant" residence cards, the fee is reduced to €55–70. This fee does not apply to asylum seekers, refugees, or permits issued for humanitarian reasons.
Change of address
A change of address in France can be declared online in a single operation for multiple administrations, including impôt.gouv.fr, CPAM, EDF, France Travail, CAF, and other public services. This service is accessible via "Mon compte" on service-public.fr and requires authentication with a digital identity.
Benefits for new residents
New residents declaring income in France for the first time may benefit from a specific deduction limit for retirement savings contributions (cotisations d’épargne retraite), calculated on professional income for the year of relocation. This benefit applies only for the year of installation.
Tax treaties
Tax treaties between France and certain countries may exclude assets located outside France from the Impôt de Solidarité sur la Fortune (ISF)/IFI for the first 5 years of residency. However, this measure applies only to citizens of countries with specific agreements and not to French citizens, even if residing abroad.
French citizens born in France
French citizens born in France who spent only the neonatal period in Monaco are not considered French tax residents, even if their parents reside in Monaco. This exception does not apply if the individual later acquires residency in France for other reasons.