Tax, boilers, vehicles: 9 changes in March 2025 in France

The 2025 budget comes into force later than usual

Many changes are linked to the 2025 budget
Published Modified

March is set to be a busy month full of changes in France as the 2025 budget comes into force. 

More limited in scope than many other budgets due to its late passage – it was only approved in February and not, as usually happens, by December of the year before – it still brings a number of changes. 

Read more: French budget is forced through parliament: how could it impact your finances

The Connexion has also covered a list of recent changes – that have already taken place – or those announced to be brought in at a future date, which you can read below.

Read more: Recap: Recent updates and changes in France you may have missed as of February 2025

Below, we cover the main changes coming into force during the coming month.

Airline tax increase 

Taxes on airline tickets will rise for flights scheduled on or after March 1. The taxes affect flights departing France, with different rates for domestic and European (including UK) flights and destinations further afield. 

The tax on an economy-class ticket for a domestic/European destination will increase from €2.63 to €7.40. 

In most cases, airlines will push this cost directly onto the passenger via an increase in ticket price.

Read more: Budget airline to charge French ticket tax increase on already purchased tickets

‘Malus’ on non-eco vehicle purchases 

Penalties for purchasing combustion engine vehicles will increase from March 1.

The malus will come into force for vehicles that emit 113 grams of CO² emitted per kilometre (as opposed to 118 previously), with the amount increasing the more polluting a vehicle is. 

Penalties will become stricter over the coming years, affecting more vehicle purchases.

The obsolescence coefficient (coefficient de vétusté) is also changing to better reflect vehicle depreciation. 

Read more: More drivers to pay higher pollution taxes on new car registrations in France

Income tax bands increase with inflation

Income tax bands have been scaled to French inflation in 2024, meaning they are to increase by 1.8%. 

The threshold for the first band of income tax (at 11%) has therefore increased to €11,497, up from €11,294 in 2024.

Read more: These are the new French income tax rates agreed for budget debate

Tax reduction schemes for charitable donations and landlords

A tax reduction scheme for donations to certain charities helping people in difficulty – known as the Dispositif Coluche – has been extended to 2026. 

It will now also cover donations to charities focused on helping female victims of domestic violence. 

The ‘Loc'Avantages’ scheme is also being re-introduced, and is set to run until 2027.

It provides tax advantages to landlords who offer properties to renters on modest incomes at lower than the market value.

However, certain conditions need to be met to benefit from the scheme.

Gas benchmark price to rise 

The benchmark price of gas set by the Commission de régulation de l’énergie (CRE) will increase, reaching €0.15 per Kw/h of energy consumption for hot water and cooking and €0.12 for heating.

It means bills are likely to rise.

Read more: Gas bills set to rise in France from March

Carte Grise increase 

The cost of obtaining a certificat d’immatriculation (often called a carte grise) will increase in the Hauts-de-France department, following several changes on January 1, 2025. 

It will cost €42, compared to €36.20 previously. 

VAT on boilers 

The VAT rate on gas boilers (chaudières à gaz) will increase to 20%, up from current levels of between 5.5% to 10%. 

TV channels to end broadcasting 

Two TV channels – C8 and NRJ 12 – will stop broadcasting on March 1 on free French TV (TNT) on their current numbers. A message displaying where the channels can be found will run until June 5, until the channels are taken over by LCP Public Sénat and Gulli.

Simpler declarations for some benefits 

Quarterly declarations of benefits including the revenu de solidarité active (RSA) APL, and prime d’activité will be pre-filled, making handing over the necessary information easier. 

Up to six million recipients will be affected.