2026 Dividend Calculator
Work out a dividend from the profit of the year, from the gross amount voted at the shareholders meeting, or from the net cash you want in hand. The calculator climbs back to the profit before corporate tax, prices the corporate tax, details the 31.4% flat tax (12.8% income tax advance plus 18.6% social levies) and shows the total cost of the payout.
Start from the profit before corporate tax, the gross dividend voted or the net cash you want.
Price the corporate tax at the 15% then 25% scale, then see the flat tax breakdown.
Get the gross amount to vote in the minutes and the total cost of the payout, tax included.
Quick answer
How do I calculate my net dividends (gross to net) in France in 2026?
Net dividend = gross dividend × 0.686, because the flat tax (PFU, prélèvement forfaitaire unique) takes 31.4% of dividends paid since 1 January 2026: 12.8% income tax and 18.6% social levies (prélèvements sociaux). To go from net to gross, divide by 0.686: €10,000 net requires €14,577 gross. But the gross comes out of profit that has already borne corporate tax: in an eligible SME, €100,000 of profit before corporate tax becomes €79,250 after tax, €78,250 distributable after the legal reserve and €53,679.50 net for the shareholder.
- 2026 flat tax (PFU)
- 31.4% = 12.8% + 18.6%
- Gross to net
- Net = gross × 0.686
- Net to gross
- Gross = net ÷ 0.686
Reviewed by Samuel Hayot, chartered accountant (Ordre des experts-comptables), last updated
Gross dividend, net dividend: what each amount means
The gross dividend is the amount voted by the shareholders’ meeting and recorded in the minutes (procès-verbal), within the limit of distributable profit. The net dividend is what reaches the shareholder’s bank account after the company withholds the 31.4% flat tax. The ratio between the two is fixed: net equals 68.6% of gross, as long as the shareholder is an individual who is a French tax resident taxed under the PFU.
That ratio only tells part of the story. A French dividend is calculated in three layers: corporate tax (impôt sur les sociétés, IS) on taxable profit at 15% then 25%, the allocation of the result (clearing prior losses, legal reserve, optional reserves), then the shareholder’s personal tax. Reasoning on 31.4% alone understates the real cost of a distribution by 10 to 17 points, depending on the corporate tax rate.
Finally, the net in hand is not always final. The 12.8% withheld at source is an income tax advance: it is credited against the following year’s income tax and can be refunded if the shareholder opts for the progressive scale and falls in a low bracket. The 18.6% social levies are final.
Formulas to calculate a dividend in 2026
- Corporate tax (eligible SME)
- CIT = 15% × min(profit; €42,500) + 25% × (profit − €42,500) if positive
- Legal reserve
- Allocation = min(5% × (net profit − prior losses); 10% of capital − reserve already built)
- Distributable profit
- Net profit − prior losses − legal reserve − optional reserves + retained earnings (credit)
- Flat tax on the gross
- PFU = gross × 31.4% (12.8% income tax advance + 18.6% social levies)
- Gross to net
- Net dividend = gross dividend × 0.686
- Net to gross (reverse calculation)
- Gross dividend = net dividend ÷ 0.686
- Back to profit before corporate tax
- Net profit ÷ 0.85 up to €36,125; above: €42,500 + (net profit − €36,125) ÷ 0.75
The €36,125 threshold is the €42,500 of profit taxed at 15%, after tax (42,500 × 0.85). When the legal reserve still has to be funded, the net profit required equals gross ÷ 0.95, but only while the allocation stays below the 10%-of-capital ceiling: beyond it, you simply add what is left of the ceiling. This is exactly how the calculator works.
Calculate your net dividend in 6 steps
The method follows the real order of operations, from year-end to payment. It is also the order in which we validate a distribution with a company owner.
- 1
Start from taxable profit, not accounting profit
Corporate tax is computed on taxable profit (résultat fiscal), after add-backs (fines, the non-deductible share of some expenses) and deductions. A gap of a few thousand euros changes the tax, and therefore the distributable amount.
- 2
Apply the corporate tax scale
15% on the first €42,500 if the company qualifies (revenue not exceeding €10 million, share capital fully paid up and at least 75% held by individuals), then 25% on the rest. Without these conditions, everything is taxed at 25%.
- 3
Allocate the result
First clear prior losses, then fund the legal reserve (réserve légale) at 5% of profit until it reaches 10% of share capital. With €10,000 of capital the legal reserve caps at €1,000: it weighs little in a small company and much more in a company with large capital.
- 4
Set the gross dividend against the cash position
Distributable profit is a legal ceiling, not a target. The amount voted must remain compatible with the cash available after paying corporate tax, upcoming instalments and operating needs.
- 5
Apply the flat tax or opt for the progressive scale
By default the company withholds 31.4% of the gross at source and pays out 68.6%. If the shareholder opts for the progressive scale in the tax return, the 40% allowance and the 6.8% deductible CSG apply, and the 12.8% advance is credited against the final tax.
- 6
Check the 10% rule if you are a majority manager
In an SARL, EURL or SEL subject to corporate tax, the share of dividends above 10% of capital, share premiums and shareholder current account balances bears self-employed social contributions (cotisations TNS) instead of the 18.6% social levies. Income tax remains due on the whole amount.
Worked example: from €100,000 profit before tax to the net dividend
A SASU eligible for the reduced corporate tax rate, with €10,000 of share capital, no prior losses and no legal reserve yet, earns €100,000 of profit before corporate tax and distributes all its distributable profit. The sole shareholder is an individual who stays under the flat tax. These are the settings you get in the calculator by entering €100,000 before tax.
| Step | Calculation | Amount |
|---|---|---|
| Profit before corporate tax | Amount entered | €100,000 |
| Corporate tax at 15% | 42,500 × 15% | €6,375 |
| Corporate tax at 25% | 57,500 × 25% | €14,375 |
| Net profit | 100,000 − 20,750 | €79,250 |
| Legal reserve | min(5% × 79,250 = 3,962.50; 10% × 10,000) | €1,000 |
| Gross dividend voted | 79,250 − 1,000 | €78,250 |
| Income tax advance at 12.8% | 78,250 × 12.8% | €10,016 |
| Social levies at 18.6% | 78,250 × 18.6% | €14,554.50 |
| Net dividend paid | 78,250 × 0.686 | €53,679.50 |
| Corporate tax attached to the dividend | 20,750 × 78,250 ÷ 79,250 | €20,488.17 |
| Total cost and overall rate | (20,488.17 + 24,570.50) ÷ 98,738.17 | €45,058.67, i.e. 45.6% |
Reading: out of €100,000 of profit, the shareholder receives €53,679.50, or 53.7%; €1,000 stays in the company as legal reserve. The 45.6% overall rate sits between 41.7% for profit fully taxed at 15% and 48.6% for profit taxed at 25%. If the same company were an SARL whose shareholder is a majority manager, the 10% threshold would be only €1,000: €77,250 of dividends would bear self-employed contributions instead of the 18.6%. At the calculator’s default 40% rate, the net would fall to about €37,150 (€10,016 of income tax, €186 of social levies and €30,900 of self-employed contributions), against €53,679.50 in a SASU. Conversely, to target €50,000 net you must vote €72,886 gross, generate €73,886 of net profit (legal reserve included) and therefore about €92,848 of profit before corporate tax.
SAS or SARL: how the dividend is taxed depending on your situation
The 31.4% rate does not apply to every shareholder. This table summarises how a dividend is treated depending on the company form and the shareholder’s position, for a French tax resident.
| Shareholder situation | Levy on the dividend | Watch point |
|---|---|---|
| President or shareholder of an SAS/SASU (individual) | 31.4% PFU on the whole amount, or progressive scale on option | No social contributions, but no pension rights earned through the dividend |
| Non-manager shareholder, minority or equal manager of an SARL | 31.4% PFU on the whole amount, as in an SAS | Majority is assessed including shares held by the spouse, PACS partner, minor children and other managers |
| Majority manager of an SARL or EURL under corporate tax, SEL partner | Up to 10% of (capital + premiums + current account): 31.4% PFU. Above: self-employed contributions + income tax | With €1,000 of capital the threshold is €100: almost the whole dividend becomes subject to contributions |
| Corporate shareholder (holding under corporate tax) | No PFU; parent-subsidiary regime possible, with a 5% share of costs taxed at corporate tax | Holding conditions to check; the funds stay in the holding |
| Non-resident shareholder | Withholding tax, often reduced by the tax treaty | Treaty paperwork to prepare before payment |
Summary table for guidance only; the final treatment depends on the articles of association, the split of share capital and each shareholder’s personal situation. High-income contributions may apply on top for the households concerned.
Best practices before setting the amount
- Price the year’s corporate tax before announcing a distributable amount: it is the step that consumes the most profit, and it is settled before the meeting.
- Compare the PFU with the progressive scale at your marginal bracket: at 0% or 11% the scale (40% allowance, 6.8% deductible CSG) is generally more favourable; from 30% upwards the flat tax almost always wins.
- Ask for the waiver of the 12.8% advance before 30 November of the year preceding payment if your reference tax income (revenu fiscal de référence) for year N-2 is below €50,000 (single) or €75,000 (couple).
- In an SARL with a majority manager, model salary and dividends together: above the 10% threshold, the dividend loses most of its social-charge advantage.
- Keep a cash buffer after the distribution: corporate tax, VAT and next year’s corporate tax instalments do not vanish with the vote.
- Document the decision: minutes of the meeting, form 2777 and payment of the withholding within 15 days of the month following payment.
Common mistakes in the gross-to-net calculation
Applying 31.4% to profit before corporate tax
The flat tax applies to the gross dividend, which comes out of profit already taxed. On €100,000 of profit you do not receive €68,600 but €53,679.50 in our example, because corporate tax and the legal reserve come first.
Still using the 30% rate
The PFU rose from 30% to 31.4% on 1 January 2026, following the 1.4-point rise in CSG on capital income. A €50,000 gross dividend therefore yields €34,300 net instead of €35,000: a €700 difference.
Dividing by 0.95 without the legal reserve ceiling
The 5% allocation stops as soon as the reserve reaches 10% of share capital. In a company with €10,000 of capital it never exceeds €1,000: dividing a €72,886 gross by 0.95 would overstate the required net profit by about €2,840.
Forgetting the 10% rule in an SARL
A majority manager who computes net as 68.6% of gross is wrong as soon as the dividend exceeds 10% of capital, premiums and current account: the excess bears self-employed contributions, usually heavier than the 18.6% social levies.
Confusing the 12.8% advance with the final tax
The advance is credited against the following year’s income tax. If you opt for the scale and are in a low bracket, part of it is refunded; without a timely waiver request, it is withheld even if you end up not taxable.
From profit before corporate tax to net dividend: how it works
A dividend is not decided at random: the company first pays corporate tax, then allocates the result (legal reserve, retained earnings), votes a gross amount at the meeting and finally applies the shareholder tax. The calculator follows this chain both ways, from the profit down to the net and from the net back up to the profit, and remains indicative: the right setup depends on your status, your cash position and your personal situation.
1. Pay corporate tax and allocate the result
The profit first bears corporate tax, then follows a set order laid down by the French Commercial Code.
- Corporate tax 2026: 15% up to €42,500 for eligible companies, 25% above (art. 219, I-b of the tax code).
- Clearing of prior losses, then legal reserve: 5% of profit up to 10% of capital (art. L232-10).
- Optional reserves and retained earnings, then distributable profit (art. L232-11).
2. Vote the gross dividend
The annual ordinary meeting votes a gross dividend, within the limit of the distributable profit.
- The gross amount is the one recorded in the minutes.
- Any undistributed balance goes to retained earnings.
- The meeting must be held within 6 months of the year-end.
3. Apply the flat tax and measure the cost
On the gross dividend, the company withholds 31.4%: the shareholder receives 68.6% of the gross.
- 12.8% income tax advance (creditable, refundable if your bracket is low), reported on form 2777.
- 18.6% social levies (final).
- Total cost of the payout: the corporate tax paid on the profit that funds it, plus the flat tax.
Before paying a dividend
A secure distribution is prepared: the calculator gives the order of magnitude, these points validate the decision.
- Price the corporate tax charge of the year before announcing a distributable amount.
- Check the real distributable profit (retained earnings, mandatory reserves).
- Review the available cash before voting the amount.
- For a majority manager, measure the share above 10% of capital, premiums and current account.
- Draft the minutes of the meeting and prepare the 2777 return.
Our chartered accountant analysis
The real issue with a dividend is not the rate shown by a calculator, but the overall consistency: a genuinely distributable profit, a cash position that follows, compliant minutes and, for a majority manager, the 10% rule anticipated. Corporate tax is the invisible half of it: a gross dividend of €10,000 assumes the company already earned close to €11,800 of profit before tax, and that is settled long before the meeting votes. We also arbitrate the salary/dividend mix, because the best net in hand often combines both.
The underestimated risk
Distributing more than the distributable profit (a fictitious dividend), forgetting the legal reserve or ignoring the 10% rule exposes you to a reassessment and to the distribution being challenged. The formalities (minutes, 2777 return) secure the operation.
What the manager must decide
- The gross amount to vote, within the distributable profit.
- The share kept in reserves or retained earnings.
- The tax regime: flat tax or progressive scale option.
- How it fits with compensation and cash.
2026 watchpoints
- Corporate tax 2026: 15% up to €42,500 for eligible companies (revenue below €10 million, capital fully paid up, 75% held by individuals), 25% above.
- The taxable profit is not the accounting profit: add-backs and deductions change the tax actually due.
- Flat tax raised to 31.4% (18.6% social levies) since 1 January 2026.
- Waiver of the 12.8% advance possible if the N-2 reference income is below €50,000 / 75,000.
- The 10% rule for majority managers of SARL, EURL and SEL.
- Form 2777 and payment by the 15th of the month after payment.
- Corporate shareholder (holding): parent-subsidiary regime, not the flat tax, handled separately.
Dividend calculator FAQ
What is the tax rate on a dividend in 2026?
By default a dividend is subject to the 31.4% flat tax (PFU): 12.8% for income tax and 18.6% of social levies (the CSG rose to 10.6% with the 2026 social security act). The shareholder therefore receives 68.6% of the gross dividend voted. You can still opt for the progressive income tax scale, which unlocks a 40% allowance (art. 158-3-2 of the tax code) but keeps the 18.6% of social levies.
How do I go from the net I want to the gross I must vote?
You make a reverse calculation (gross-up): the gross dividend to vote equals the net you want divided by 0.686. For example, to receive €6,860 net, you must vote a gross dividend of €10,000 in the minutes of the meeting. The calculator does this automatically in the 'from the net I want' mode, and climbs one step further: those €10,000 gross assume the company earned about €11,765 of profit before corporate tax, at the reduced 15% rate.
What is the total effective rate on a dividend, corporate tax included?
The 31.4% flat tax measures only part of the levy: it bears on profit that has already carried corporate income tax. Adding the two layers, the total effective rate comes to 41.7% while the profit stays within the band taxed at 15% (up to €42,500), and 48.6% once it is taxed at 25%. Put differently, out of €100 of profit before tax the shareholder receives about €58 at the reduced rate and €51 at the standard rate. It is this total rate, not the flat tax alone, that should be compared with the cost of a salary.
How much profit before corporate tax do I need for a given net?
You climb two steps. The net first converts into a gross dividend (net divided by 0.686), then that gross converts into profit before corporate tax. At the reduced 15% rate you divide by 0.85 as long as the profit stays under €42,500; above that, the excess is taxed at 25%, so you divide by 0.75. To receive €6,860 net you therefore need €10,000 of gross dividend and about €11,765 of profit before corporate tax: the full cost of the operation is €4,905, a total effective rate of 41.7%. The calculator shows this climb in all three modes.
What is the gross amount on the minutes of the meeting?
The gross amount is the dividend voted by the meeting, before any levy. It is the figure recorded in the minutes. The 31.4% flat tax is then withheld on payment: the gross is not what the shareholder receives in the bank, but the calculation base.
Is the legal reserve always compulsory?
Yes, until it reaches 10% of the share capital. Each year the company must set aside 5% of the profit (reduced by prior losses) to the legal reserve, up to that 10% ceiling. Once the ceiling is met, the allocation is no longer compulsory and the distributable profit increases accordingly.
Is the calculator suitable for a majority SARL manager?
Yes, with a caveat: for a majority manager of an SARL, EURL or SEL, the share of dividends above 10% of capital, share premiums and current account is subject to self-employed social contributions (art. L131-6 of the Social Security Code) instead of the 18.6% social levies; the 12.8% income tax instalment still applies to the whole amount. The calculator prices these contributions at the rate you enter (40% by default): the real rate depends on your income and scheme, so it is a case-by-case matter.
Should I choose the flat tax or the progressive scale for my dividends?
The scale is generally more favourable if your marginal bracket is 0% or 11%, the flat tax from 30%. Under the scale, 60% of the dividend is taxed (40% allowance) and 6.8% of CSG is deductible the following year. On €78,250 gross, the marginal tax, net of the deductible CSG, is about €4,579 at 11% and €12,489 at 30%, against €10,016 of PFU. The option applies to the whole household.
Can I be exempted from the 12.8% advance on dividends?
Yes, if the reference tax income of the year before last is below €50,000 for a single person or €75,000 for a couple taxed jointly. The request, a sworn statement, must reach the company by 30 November of the year preceding payment. The 18.6% social levies are withheld in all cases.
Does the 31.4% flat tax apply to dividends paid in 2026 out of 2025 profit?
Yes. The 31.4% rate applies to dividends paid since 1 January 2026, whatever financial year generated the profit. A dividend voted in June 2026 on the 2025 accounts therefore bears a 12.8% income tax advance and 18.6% social levies, i.e. €6,860 net for €10,000 gross.
Dividends in an SAS or an SARL: what is the difference?
In an SAS or SASU, a dividend paid to an individual bears only the 31.4% flat tax, with no social contributions. In an SARL the same applies to a non-manager shareholder or a minority manager. For a majority manager, the share above 10% of capital, premiums and current account bears self-employed contributions instead of the 18.6% social levies.
What is the maximum dividend I can pay myself?
At most the distributable profit: the year’s net profit, less prior losses and the legal reserve, plus credit retained earnings and any available reserves the meeting decides to distribute. In our €100,000 before-tax example, the ceiling is €78,250. Paying more creates a fictitious dividend, and the available cash must follow.
Official sources
Updated August 2026. The calculation includes corporate tax at the 15% then 25% scale. Indicative estimate for a shareholder who is a French tax resident; it does not replace a tailored study.
Go further
Optimise your dividend distribution
We secure the allocation of the result, the minutes and the 2777 return, and we arbitrate the salary/dividend mix to maximise your net in hand.