Information about the pay-as-you-earn withholding tax system on your November 2018 payslip

Following a decision by the French government, a pay-as-you-earn income tax withholding system will be introduced in France in January 2019.

To help you prepare for this change, you will notice a personalized message about how the new system will apply to you on your November 2018 payslip.
Your November payslip will indicate the following information:

• the withholding income tax rate that will be applied to you from January 2019,

• a simulated estimate of how much income tax will be withheld,

• a simulated estimate of your net salary before the income tax is withheld,

• a simulated estimate of your net salary after the income tax is withheld.

The withholding tax rate indicated on your payslip is the rate that has been calculated by the tax authorities and notified to the Institut Pasteur Payroll Department; this rate takes account of any preferences that you may have indicated to the tax authorities.

This rate is either:

• your personalized rate (the rate for your household),

• your individual rate: this is the rate applied if you are married or in a civil partnership and have informed the tax authorities that you wish to apply an individual withholding rate for each partner's respective income,

• a non-personalized (standard) rate: this applies if you have informed the tax authorities that you do not wish your employer to be notified of your personal rate.

If you would like to update your tax withholding rate, you can do so online in your personal space at impots.gouv.fr, in the section "Gérer mon prélèvement à la source" (Manage my withholding tax).

Please note: No tax will be withheld from your salaries before January 2019.

We would also remind you that the Institut Pasteur has nothing to do with managing withholding tax rates itself; it merely applies the information it receives from the tax authorities.

If you have any questions about the tax withholding system, you should contact the tax authorities.