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Can anyone help? Bev? Just deciding whether to move the family to france for a year and Im getting confused about tax because of the nature of my job. Im a self employed full time voice over. All the commercials etc i voice are in the uk. I do this via a special isdn line which would allow me to be living in france but link up with uk studios to do the recordings. And heres the query... with the 183 days in france or over and you count as resident yes? Would I pay French tax or UK tax as my business is in the uk? Also do the french take off income tax from your gross earnings and then the cotisations on top of that? And is the cotisation from your net or your gross? I think Bev said for a self employed person the cotisations are a high as 40%? Im just thinking after all the tax what on earth would be left!
Thanks again folks.
 

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First of all, the French do not take income tax out of your gross income. It's only cotisations (which run anywhere from 25 to 40%, depending on what sort of business set up you have). You settle up income taxes after the end of the year.

I'll have to defer to some of the other folks on the matter of who gets to tax you, France or the UK on a "temporary" arrangement like this. As long as you are only going to be in France for one year, I suspect there is a way to retain your UK residency, at least for tax purposes - but I don't know where you would go to ascertain this.
Cheers,
Bev
 

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Discussion Starter · #3 ·
Thanks Bev. You're being a great help! Its such a minefield and I don't want to get over and find its a tax disaster. I've got my accountant on the case so hopefully I'll know more soon. Cheers again tho!
 

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Well actually I'm not sure it's a matter of residency. You might fall under "frontalier" basicaly people living on one side of a border and working on the other. ie, when I was working in switzerland and living in france, I was paying my income tax in switzerland and was just declaring to france what I had earn in switzerland with no further taxation. So also you're self employed, it realy depend where your income come from and also how you're insured health wise.
For a year, I'm not sure I will change anything as long as you keep a uk address.
France is only bothered about residency problem for people with really large income and for council tax if your a home owner.
 

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Well actually I'm not sure it's a matter of residency. You might fall under "frontalier" basicaly people living on one side of a border and working on the other. ie, when I was working in switzerland and living in france, I was paying my income tax in switzerland and was just declaring to france what I had earn in switzerland with no further taxation. So also you're self employed, it realy depend where your income come from and also how you're insured health wise.
For a year, I'm not sure I will change anything as long as you keep a uk address.
France is only bothered about residency problem for people with really large income and for council tax if your a home owner.
I've actually never heard of "frontalier" permits anywhere but Switzerland. It would be interesting to know more about that.

As to the OP, you could find yourself owing taxes to both countries! The UK has very difficult criteria for losing domicile in the UK, if you have significant ties to the UK, which I imagine you might considering you are planing only a temporary move.

Research carefully your liability in the UK first. Then from there figure out what is the best way to set up your presence in France.

Good luck!
 

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I know

I've actually never heard of "frontalier" permits anywhere but Switzerland. It would be interesting to know more about that.
I was one of them at the time but I know same apply for people working in Belgium and in Germany, I don't know what happen of those living in France and working in the UK, I know people do travel from Calais or Dunkerque to London.
 

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I was one of them at the time but I know same apply for people working in Belgium and in Germany, I don't know what happen of those living in France and working in the UK, I know people do travel from Calais or Dunkerque to London.
I worked for a company that was located in Germany and we had a number of employees who lived in France. I don't know anything about a frontalier permit, but I do know that the company was required to make French withholdings for cotisations, and the employees were expected to pay French income taxes and use French health and social services.

We've had a number of Brits here in the forum who were working in the UK and living in France, and the situation is indeed complicated. It's best to check with the authorities on both sides of the border, since they may not be in agreement about which tax authority reigns.
Cheers,
Bev
 

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hi
dont know if this will help, but HSBC seems to help with these type of things. I dont work for them, had a brief presentation the other night. they also help with your money in uk and can draw it in france type of thing.
 

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I would doubt that the frontalier regulations apply since the OP will be physically doing the work IN France, albeit over the phone. AFAIK if you do the work in France you pay the cotisations and tax in France, irrespective of where your clients are. For a one year period, it might be easiest to set up as an Auto Entrepreneur in France, as long as your turnover doesn't exceed the limits.
 

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Living in France, Employed in UK

Can anyone help? Bev? Just deciding whether to move the family to france for a year and Im getting confused about tax because of the nature of my job. Im a self employed full time voice over. All the commercials etc i voice are in the uk. I do this via a special isdn line which would allow me to be living in france but link up with uk studios to do the recordings. And heres the query... with the 183 days in france or over and you count as resident yes? Would I pay French tax or UK tax as my business is in the uk? Also do the french take off income tax from your gross earnings and then the cotisations on top of that? And is the cotisation from your net or your gross? I think Bev said for a self employed person the cotisations are a high as 40%? Im just thinking after all the tax what on earth would be left!
Thanks again folks.
You have various options, Gayanne:
a) Live and work in France (for British employers). Register with a portage company e.g. Challenge. They will act as your French employer but yes, you will then have to pay the high French cotisations. Allowing for tax deductible expenses, I was walking away with about 52% of my gross salary.

b) As you are essentially self-employed, register as an autoentrepreneur. You will then pay 23% of your income as you earn it. I have concerns, however, as to what will happen to the autoentrepreneur regime once Hollande and his boys get in. This regime is so simple, so fair, so un-French and I don't think the civil servants are happy with it.

c) Do what I eventually had to do. Commute to England for work, in which case, I am "tax domiciled" in France (i.e. have to fill in a tax return in France), but the salary I earn when I am physically in England is taxed in England and while declared in France is not taxed in France.
 
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