Annual flat-rate tax

The Annual flat-rate tax (Imposition forfaitaire annuelle or IFA) was an annual flat-tax payable by French corporations liable for corporate tax. The tax was created by the Law 73-1150 of 27 December 1973: and repealed completely on January 1, 2014.

All legal entities that were liable for the corporate tax were also liable for the flat-rate tax except some newly-established corporations (whose capital was composed of at least 50% of cash contributions) and certain not-for-profit organizations.

History
Before 2006 the amount of IFA tax payable could be deducted against the corporate tax payable (or carried forward for 2 years).

The 2006 budget removed that possibility and instead the IFA became a deductible expense in the computation of the corporate tax.

The 2009 budget presented a plan to progressively repeal the IFA in three phases
 * 1) On January 1, 2009 for corporations with revenues under 1.5 million euros.
 * 2) On January 1, 2010 for corporations with revenues under 15 million euros.
 * 3) On January 1, 2011 for all corporations.