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France Hospitality and Tourism Tax Guide

French tax rules for the hospitality and tourism sector. The guide covers: the TVA rates for hospitality — restaurants (the food and drink served on the premises) are subject to TVA at 10%; the takeaway food (vente à emporter) is also at 10%; the alcohol (boissons alcoolisées) is at 20%; the hotel accommodation is subject to TVA at 10% (the "taux intermédiaire"); the breakfast included in the hotel room is also at 10%; the taxe de séjour (tourist tax) — a tax paid by tourists staying in hotels, holiday rentals, and other accommodation; the tax is collected by the accommodation provider and paid to the commune (municipality); the rate is set by the commune, typically €0.50–€5.00 per person per night; the tax is calculated based on the number of nights and the category of the accommodation; the CVAE (Cotisation sur la Valeur Ajoutée des Entreprises) — a local tax on the value-added of companies with turnover above €500,000; the CVAE rate is 1.50% of the value-added (the "valeur ajoutée" — calculated as the difference between the turnover and the purchases); the CVAE is payable by all businesses (including hotels and restaurants) and is deductible from the corporate tax; the seasonal employment — the hotel and restaurant sector employs many seasonal workers (the "travailleurs saisonniers"); the employer contributions are approximately the same as for permanent workers, but the "réduction générale" (Fillon) applies to low-wage seasonal workers; the employer can use the "contrat de travail temporaire" (CDD saisonnier) for a fixed term (up to 18 months, renewable).

The French hospitality sector benefits from reduced TVA rates but faces high social charges. All amounts in Euros (EUR). For related reading, see our VAT Guide → and Hiring Employees Guide →.

TVA in Hospitality

• 10% for food and accommodation: (a) Food served in restaurants (the "nourriture servie à table") — 10% TVA, (b) takeaway food — 10% TVA, (c) hotel accommodation — 10% TVA, (d) camping and holiday villages — 10% TVA. Alcoholic beverages served in restaurants — 20% TVA. Soft drinks (boissons non alcoolisées) — 10% TVA.

Taxe de Séjour

• Tourist tax rates: The taxe de séjour is set by each commune. The rates vary by accommodation category: (a) unclassified hotels: 1% of the cost per night (capped at €3.30), (b) 1-star hotels: 1% (capped at €3.30), (c) 2-star hotels: 1% (capped at €4.90), (d) 3-star hotels: 1% (capped at €5.90), (e) 4-star and 5-star hotels: 1% (capped at €8.30). The tax is collected by the accommodation provider and paid to the commune by the 15th of the following month (or the 15th of the following quarter for small businesses).

For the CVAE calculation and the local tax obligations, see our Corporate Tax Guide →. For the seasonal employment rules, see our Hiring Employees Guide →.