France Green Industry Tax Credit (C3IV) 2026: eligible sectors, rates, calculation and DGFiP approval procedure
C3IV in 2026 after LF 2026 extension to 31 December 2028: 4 eligible sectors (batteries, solar, wind, heat pumps), 15-55% rates, €150M to €350M cap per project, DGFiP/ADEME approval procedure.
Expert note: This article was written by our chartered accountancy firm. Information is current as of 2026. For a personalised review of your situation, contact us.
Updated on 19 September 2025. Reflects the extension to 31 December 2028 enacted by Finance Act 2026 (Law no. 2026-103 of 19 February 2026).
Created by the 2024 Finance Act (Article 35 of Law no. 2023-1322 of 29 December 2023) and codified in Article 244 quater I of the French Tax Code (CGI), the Green Industry Investment Tax Credit (C3IV) has become a major fiscal lever for France's decarbonised reindustrialisation. The 2026 Finance Act (Law no. 2026-103 of 19 February 2026) just extended the regime to 31 December 2028, consolidating its place in the industrial tax toolkit.
This operational guide details the 4 precisely eligible sectors, the rates (15% up to 55% with bonuses), the €150M cap per project (€200M or €350M in regional aid zones), the DGFiP/ADEME approval procedure (mailbox c3iv@dgfip.finances.gouv.fr) and the classic pitfalls.
- Framework: CGI Article 244 quater I, created by LF 2024 (Art. 35 Law no. 2023-1322), extended to 31/12/2028 by LF 2026 (Law no. 2026-103).
- Eligible sectors: 4 chains — batteries, solar panels, wind turbines, heat pumps (+ upstream critical raw materials).
- Base rate: 15%, raised to 20% in AFR c zones and 35% in AFR a zones.
- Bonuses: +10 pts for medium-sized enterprises, +20 pts for small enterprises (maximum rate 55%).
- Cap: €150M per project (€200M in AFR c zones, €350M in AFR a zones).
- Procedure: prior DGFiP approval + ADEME conforming opinion, 3 to 6 month lead time.
C3IV fits into Law no. 2023-973 of 23 October 2023 on Green Industry and constitutes France's fiscal response to the US Inflation Reduction Act (IRA) of 2022. The objective: reindustrialise France on the critical chains of the energy transition, complementing the European TCTF (Temporary Crisis and Transition Framework) which authorises reinforced state aid in these sectors until 31 December 2025 (with partial extensions).
CGI Article 244 quater I has been commented by the DGFiP in BOFiP BOI-BIC-RICI-10-180 (public opening July 2024) and refined by several professional FAQs on impots.gouv.fr.
| Chain | Eligible scope | Upstream components also eligible |
|---|---|---|
| Batteries | Cells, modules, packs, BMS | Active materials (lithium, cobalt, nickel, manganese, graphite), electrolytes, separators, anodes/cathodes |
| Solar panels | PV cells, modules | Silicon wafers, ingots, polysilicon, glass, encapsulants, films, frames |
| Wind turbines | Blades, nacelles, towers, gearboxes, generators | Permanent magnets, rare earths, composite fibres, resins, specialised foundries |
| Heat pumps | Compressors, exchangers, complete modules | Refrigerants, specific exchangers, control electronics |
Additional condition for upstream components
For companies producing essential components or critical raw materials, eligibility for C3IV requires that at least 50% of revenue be made with companies producing the eligible equipment in the 4 chains above.
Our expert view
Frequent trap: companies in "adjacent" transition (e.g., electrical connector maker for EV charging stations) mistakenly believe they are eligible. Only components directly integrated into the 4 named chains are eligible. Is a charging station eligible? No — unless the company produces batteries for it. The scope is strict, and ADEME verifies the investment list line-by-line during instruction. To avoid late refusal, request an eligibility ruling from the DGFiP before any significant spending commitment.
Base rate by investment zone
These rates come from Article 39 of the 2026 Finance Act, in force since 27 May 2026 (Decree no. 2026-763 of 9 August 2026). They apply to approval requests filed from 1 October 2025 and not yet approved on 31 December 2025.
| Investment zone | Base C3IV rate |
|---|---|
| Outside regional aid (AFR) zones | 15% |
| AFR c zone (Article 107(3)(c) TFEU) | 20% |
| AFR a zone (Article 107(3)(a) TFEU) | 35% |
For a whole project, the rate is the one applicable in the zone where the highest eligible costs are incurred.
Size bonuses
| Bonus | Points | Conditions |
|---|---|---|
| Medium-sized enterprise | +10 pts | Within the meaning of Recommendation 2003/361/EC, assessed at the date the aid is granted |
| Small enterprise | +20 pts | Same recommendation, same assessment date |
| Maximum rate | 55% | Small enterprise in an AFR a zone |
Amount cap
- €150M per project.
- €200M per project in an AFR c zone, €350M in an AFR a zone.
- A project is a set of investment expenditures linked by a common purpose, carried out by one or more companies.
Eligible expenditure
- Tangible fixed assets (new): industrial equipment, machinery, robotics, production lines, related technical infrastructure.
- Acquired intangible fixed assets: patents, licenses, technical know-how tied to eligible chains, excluding goodwill and fonds de commerce.
- Usage rights in dedicated collective energy or logistics infrastructure.
- Direct commissioning costs (installation, engineering, initial technical training).
Excluded expenditure
- Second-hand goods or already-amortised assets from the seller.
- Non-industrial real estate (administrative offices, parking, non-productive common areas).
- Cash, working capital, BFR.
- Investments after 31 December 2028 (absent further extension).
- Investments started before approval is granted.
Profile: industrial SME with 180 employees, €35M turnover, project to extend a battery cell production line (€30M investment) in the AFR Hauts-de-France zone.
| Step | Calculation | Result |
|---|---|---|
| Eligible investment | €30,000,000 | — |
| AFR c zone rate (assumption) | 20% | — |
| Medium-sized enterprise bonus | +10 pts | 30% |
| Final applicable rate | — | 30% |
| Gross tax credit | 30% × €30M | €9,000,000 |
The credit offsets corporate income tax from the fiscal year of asset commissioning. If the credit exceeds the IS owed, the unused balance is refunded by the DGFiP. For this SME, the €9M return represents 30% of the investment — a major leverage on project profitability.
Step 1 — File preparation
- Detailed technical description of the project (capacity, location, calendar, equipment).
- Business plan and financing plan.
- Sector eligibility justification.
- For upstream components: justification of the 50% downstream revenue threshold.
Step 2 — Submission
Send the file by email to c3iv@dgfip.finances.gouv.fr (with possible copy to the DGE — Direction Générale des Entreprises).
Step 3 — Joint DGFiP + ADEME instruction
- DGFiP: tax verification (formal eligibility, amount, caps).
- ADEME: conforming opinion on technical and environmental eligibility.
Step 4 — Instruction timeline
- Officially: 3 months.
- In practice: 4 to 6 months for complex files (new chains, upstream components to justify).
Step 5 — Decision
- Reasoned approval (or refusal) notified by the DGFiP.
- Approval must be obtained before investments start — no retroactivity.
| Stack | Allowed? | Conditions |
|---|---|---|
| C3IV + CIR (CGI Art. 244 quater B) | ✅ Yes | If expenditures do not overlap: CIR = R&D, C3IV = productive investment |
| C3IV + CII (CGI Art. 244 quater B bis) | ✅ Yes | Same, with distinct expense tracking |
| C3IV + accelerated depreciation (Art. 39 decies) | ❌ No | Explicit exclusion — choose one or the other per asset |
| C3IV + public subsidy (ADEME, France 2030) | ⚠️ With cap | Total public support capped at 75% of eligible costs |
The underestimated risk
The aid cap trap: an industrial player simultaneously obtains a France 2030 subsidy, a green loan and C3IV, without checking the cumulative aid cap (75% of eligible costs). At DGFiP audit, exceeding triggers C3IV recovery with interest, while the subsidy received does not offset it. Golden rule: a single tax referee who orchestrates aid stacking upstream of the approval filing.
- Eligibility diagnosis: is my project in one of the 4 chains or upstream with 50% downstream revenue?
- Tax ruling: consider a DGFiP ruling before any significant commitment if scope is uncertain.
- Calendar: align investment start AFTER obtaining approval.
- Cumulative aid cap: map all envisaged aids (C3IV + CIR + ADEME + France 2030) and check the cap on total public support (75% of eligible costs).
- Location: if multiple sites possible, prefer an AFR zone for the higher rate (20% in an AFR c zone, 35% in an AFR a zone).
- Documentation: keep all supporting documents for 10 years.
- Extension to 31 December 2028: confirmed by LF 2026, but subject to mid-2027 evaluation.
- TCTF cap: the European temporary framework evolves. Check the version applicable at approval date.
- ADEME audit: on-site audit possible up to 5 years after commissioning; keep evidence of effective operation.
- Asset disposals: proportional partial recovery in case of disposal before 5 years after commissioning.
C3IV is today one of the most generous tax incentives in France — rates up to 55%, €150M to €350M cap per project, refund of unused balance. Its extension to end-2028 by LF 2026 confirms state commitment. But obtaining it is subject to a strict prior approval and combining it with other aids requires fine orchestration.
Our firm advises industrial SMEs and mid-caps on C3IV strategy — eligibility diagnosis, approval file setup, optimisation of CIR + public aid stacking. Contact our experts.
Frequently asked questions
Quels sont les 4 secteurs précisément éligibles au C3IV ?
Le C3IV cible 4 chaînes de production de la transition décarbonée : (1) batteries (cellules, modules, packs ; matières actives, électrolytes, séparateurs) ; (2) panneaux solaires (cellules, wafers, modules photovoltaïques) ; (3) éoliennes (pales, nacelles, mâts, génératrices) ; (4) pompes à chaleur (compresseurs, échangeurs, modules complets). Le crédit couvre AUSSI la production des composants essentiels et des matières premières critiques en amont de ces 4 chaînes (lithium, cobalt, nickel, terres rares, silicium solaire), à condition que l'entreprise justifie qu'au moins 50 % de son chiffre d'affaires soit réalisé avec des entreprises exerçant elles-mêmes ces activités éligibles.
Quels sont les taux applicables et qu'est-ce qui détermine la majoration ?
Le taux de base du C3IV est de 15 %. Il est porté à 20 % pour les investissements réalisés dans une zone d'aide à finalité régionale (AFR) relevant du c du paragraphe 3 de l'article 107 du TFUE, et à 35 % dans une zone AFR relevant du a de ce paragraphe. Ces taux sont majorés de 10 points pour les moyennes entreprises et de 20 points pour les petites entreprises, au sens de la recommandation 2003/361/CE, la majoration étant établie à la date d'octroi de l'aide : le taux maximal est donc de 55 %. Le plafond en montant est de 150 M€ par projet (200 M€ en zone AFR c, 350 M€ en zone AFR a).
Comment se déroule concrètement la procédure d'agrément DGFiP ?
L'agrément est une condition préalable obligatoire : sans agrément délivré, pas de C3IV. La procédure comprend 5 étapes : (1) constitution d'un dossier décrivant le projet d'investissement (technique, financier, calendrier) ; (2) dépôt par mail au guichet dédié c3iv@dgfip.finances.gouv.fr (copie possible à la DGE) ; (3) instruction conjointe DGFiP + ADEME (avis conforme ADEME sur l'éligibilité technique) ; (4) délai d'instruction officiel de 3 mois — en pratique 4 à 6 mois pour les dossiers complexes ; (5) décision motivée d'agrément (ou de refus) notifiée. L'agrément doit être obtenu AVANT le démarrage des investissements (aucune rétroactivité). Une fois agréé, le crédit s'impute sur l'IS dû au titre des exercices suivants, le solde non imputé donnant droit à remboursement.
Mon entreprise peut-elle cumuler C3IV avec CIR, CII ou suramortissement ?
Oui, mais avec règles précises. Cumul C3IV + CIR : possible si les dépenses ne se recoupent pas (le CIR couvre R&D, le C3IV couvre l'investissement productif). Cumul C3IV + suramortissement : interdit sur les MÊMES actifs (article 39 decies du CGI exclut le cumul). Cumul C3IV + aide d'État directe (subvention ADEME, France 2030, etc.) : possible avec plafonnement (le montant total du soutien public reçu au titre de l'investissement ne peut excéder 75 % des coûts admissibles). Pour optimiser, planifier l'ordre des dispositifs : CIR sur la phase R&D, puis C3IV sur l'investissement productif final, en respectant les plafonds de cumul.
Que se passe-t-il si mon projet est arrêté en cours ou modifié après l'agrément ?
L'agrément C3IV est délivré sur la base d'un projet précis. Toute modification substantielle (changement de site, de capacité, de calendrier > 12 mois) doit faire l'objet d'une demande de modification de l'agrément. Si le projet est totalement arrêté avant fin de réalisation, le crédit d'impôt déjà imputé est reversé majoré d'intérêts de retard (CGI art. 1727). En cas de cession des actifs financés avant 5 ans à compter de la mise en service, reversement partiel proportionnel. Une revente forcée dans le cadre d'une procédure collective peut sous conditions ne pas déclencher la reprise. L'arrêt pour cause de force majeure technique ou commerciale doit être documenté précisément.
Article written by Samuel HAYOT
Chartered Accountant, registered with the Institute of Chartered Accountants. Certified Pennylane trainer.
Regulated French accounting firm based in Paris 8, whose founder is also a statutory auditor, built to support companies across France with a digital and decision-oriented approach.
Sources
Official and operational sources cited for this page.
This topic is part of our service Tax accountant in Paris | CIT, VAT & tax audits
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