Employer Tax Contributions

Tax Type	Rate (Employer Share)	Base
Social Security	6.2%	Up to $176,100 of employee wages
Medicare	1.45%	All wages
Federal Unemployment (FUTA)	Up to 6%	First $7,000 of employee wages

Filing & Compliance

• Monthly DSN (Déclaration Sociale Nominative) must be submitted by the 5th of the following month for companies with 50+ employees without delayed pay, or by the 15th for companies with fewer than 50 employees or those with delayed pay.
• Event-based DSN for work stoppages or contract terminations must be sent within 5 days of the event.
• Annual federal unemployment (Form 940) is due by January 31.

Income Tax Brackets

Income Range	Tax Rate
Up to €11,497	0%
€11,498 to €29,315	11%
€29,316 to €84,359	30%
Over €84,359	41% - 45%

Note: Reunion Island applies the same tax scale as mainland France, with a 30% allowance on the calculated tax up to a limit of €2,450.

Employee Contributions

Deduction Type	Rate	Cap
Social Security (OASDI)	6.2%	$176,100
Medicare (HI)	1.45%	No limit

Note: Employee social contributions represent approximately 20% to 23% of remuneration on average.

Personal Allowances

• A standard deduction of 10% of salary for professional expenses, with minimum and maximum limits.
• Employee contributions to mandatory social security schemes (health, pension, unemployment) are generally deductible from gross salary.
• A 30% allowance on income tax for residents, up to a limit of €2,450.