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Discussion Starter · #1 ·
Hi
Can anyone help, please?

Our financial situation has changed since completing our tax return last year -our only income is now taken from an Assurance Vie based in Luxembourg.

I can see on the Blue tax form where to put a tick for the Assurance Vie (8TT) but don't understand where to put the relevant information on the Pink form. My French isn't good enough to go to the local tax office (and the Dragon there HATES foreigners and does everything she can to make things difficult, even reducing my wife to tears on one occasion - and we later proved her to have been wrong in what she was insisting) and I can't afford to pay for professional help.

Our finances are uncomplicated, I just need to know where to put the information.

I do hope there is a good samaritan out there who can help - thanking you in advance
 

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The box you tick on the blue form is just to say that you have a foreign assurance de vie. You then are supposed to provide a list of the accounts - either on plain paper or there is a form you can use for it. (I file our taxes online and just put my list in the "comments" section following the check box.)

But the income from an assurance vie gets tricky to report. It depends a bit on how long you've held the contract and how you are taking your payments (i.e. an annuity, individual withdrawals, etc.). There are tax advantaged assurance vie contracts, and in any event, you wind up being taxed only on the portion of the "income" that is deemed to be earnings or gains on the original amount invested.

I've only dipped into the matter, when I was considering changing my retirement funds around. Perhaps we can flag down Parsnips, a forum member here who seems to have considerable experience in these matters and can probably better explain the situation - especially from a "British" perspective. (I get wrapped up the in US tax issues, which don't affect you.)
Cheers,
Bev
 

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Hi,
If you have held the plans for more than 6 or 8 years you declare the gain element of the drawdown at 2042 CH , if less , I believe you declare at 2GO, in any case add an explanatory note (as Bev says) and copies of any paperwork you have been sent by the insurance co. showing the taxable gain.
You have a choice of declaring to be taxed at your marginal rate or at a varying set rate (prelevement liberatoire) according to the time you have held the plan; unless you have a very high income it will pay you to opt for taxation at your marginal rate.
 

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Discussion Starter · #4 ·
Thank you both so much for your help - I really appreciate you taking the time to reply.

The tax office sent us a Pink 2047 form which is the form we used last time for our Fixed Interest Fixed Term Bond income. I don't see a box 2GO on that one - do I need to download a different form? I assumed I'd use the same one as the income is 'from abroad'.
 

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Thank you both so much for your help - I really appreciate you taking the time to reply.

The tax office sent us a Pink 2047 form which is the form we used last time for our Fixed Interest Fixed Term Bond income. I don't see a box 2GO on that one - do I need to download a different form? I assumed I'd use the same one as the income is 'from abroad'.
The pink 2047 form is a form for foreign income that you file in addition to the standard (blue) 2042. You include all your worldwide income (including your foreign income) on the 2042 and then you detail the income that is foreign source on the pink 2047 form so they can understand what its status is for French purposes.

There are also two spaces on the last page of the form 2042 that you need to fill out - 8TI and 8TK - which are for foreign income reported but exonerated from French taxes (because it's used in the overall calculation) and then the foreign income reported for which you are entitled to a tax credit equal to the French tax on that income (so basically you don't pay any tax on it in France). These should be the same amounts as what you indicate on sections VI and VII of the "pink form."
Cheers,
Bev
 

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Hi,
In my opinion there is no suitable line on 2047 to enter this income . Best to explain it on a separate piece of paper. Or you could email the tax office and explain the situation and ask them how they think you should declare. I have an idea they may have a special form for foreign life assurances.
 

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Hi
Can anyone help, please?

Our financial situation has changed since completing our tax return last year -our only income is now taken from an Assurance Vie based in Luxembourg.

I can see on the Blue tax form where to put a tick for the Assurance Vie (8TT) but don't understand where to put the relevant information on the Pink form. My French isn't good enough to go to the local tax office (and the Dragon there HATES foreigners and does everything she can to make things difficult, even reducing my wife to tears on one occasion - and we later proved her to have been wrong in what she was insisting) and I can't afford to pay for professional help.

Our finances are uncomplicated, I just need to know where to put the information.

I do hope there is a good samaritan out there who can help - thanking you in advance
I am sorry you have found your local tax officer unhelpful. (This is NOT usual.) Just put a cross in the 8TT box and attach a list detailing your Assurance Vie contracts. If you have the correct Pink Form it will say, somewhere, "Total à reporter ligne 8TT de la Declaration de Revenues". The fact that you cannot find this, makes me wonder if you have the correct Pink Form (there are several). Anyway, send the Blue "Declaration 2042K" in to the Tax Office and they will contact you either with a correct Pink Form to be completed, or else just asking for more info. Best of luck.. keep in touch.. Etoile :)
 
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