The event was announced after the swimsuit was banned in Cannes
A ban on burkinis – a full-body swimsuit for Muslin women – in the south of France has seen a backlash over religious freedom.
The mayor of Cannes banned the wearing of the swimsuits on the beaches at the French Riviera resort.
Mayor David Lisnard signed off on a ruling that "access to beaches and for swimming is banned to anyone who does not have (bathing apparel) which respects good customs and secularism," reports thelocal.fr.
Division between religion and state has a long history in France.
In an apparent reaction, a Muslim community group planned an event for women at a water park, asking them to wear all-over body suits.
But the event, planned for September 10th, has been banned by the local government according to France24.
The broadcaster says local Mayor Michel Amiel deemed the party a “threat to public order.”
“I consider this event a provocation which we do not need” he said.
France extended its state of emergency following on from several terror attacks – most recently in Nice, which is near Cannes.
Some 84 people were killed when a jihadist drove a lorry through a crowd celebrating Bastille Day.
It is reported that anyone caught wearing the full-body swimsuit will be asked to change, leave the beach, or face a fine of €38.
A Facebook page from the Smiles 13 group, who organised the event, is no longer available.
In 2004, France also passed a law preventing students in state-run schools from displaying any form of religious.