French Tax Filings
Do you have income from sources in France? Do you have a property in France? Are you a beneficiary of a trust or a company?
If you have answered yes to any of the above then you might have a French tax filing obligation.
We offer a French tax filing service and can help with the tax filings. There might be an overlap between the UK and French taxes in certain cases and we can help analyse the most appropriate and tax efficient approach in fulfilling your tax obligations.
French property social security charges
Since 2012, many non-French residents selling or letting their French properties were required to pay social security charges (15.5%) in addition to their capital gains or income taxes. This additional charge was deemed by non-French residents as being discriminatory. A risk of double taxation was also created for tax payers residing in a EU Member State.
On 26 February 2015, the European Court of Justice ruled on the validity of the levy of social security charges on real estate income received by a French-resident working in another Member State of the European Union (i.e. Netherlands). The court had ruled that this charge was contrary to European law.
The court ruling is applicable to a French tax resident subject to the social security scheme of another Member State, and also applies to residents of another Member State when they are subject to social security charges in France on their French property gains or income.
Therefore if you are not residing in France and you are residing in another EU Member state where you are subject to its local social security tax system, you can potentially issue a claim to recover the social security charges you paid in relation to sale or rental of your property in France.
If you paid the social charges in 2013 and/or 2014, you have up to the end of 2015 to issue a claim according to the French Procedural Tax Code. We work with a French tax lawyer as your claim must include legal representation in order to recover the social security tax paid.
Please contact us if you would like more information on this or would like to pursue such a claim.