French Tax Services
Relocating to France
If you are moving to France permanently you need to consider, amongst other things, tax residence issues, French income tax treatment of existing and future sources of income, French tax efficient investments, the effects of any relevant tax treaties, exposure to French capital gains and wealth taxes, estate planning and health cover.
Buying a Second Home
However if you are buying a holiday home you may be more concerned with methods of ownership for second homes in France, French tax treatment of rental income, exposure to capital gains and wealth taxes, and the implications of double tax treaties. With so much to think about you should seek advice well before making any property purchase to optimise planning opportunities, and avoid the pitfalls sometimes encountered when investing in France.
With the assistance of our UK tax team we can assist with the planning of a relocation from France to the UK, a service that includes UK tax planning.
We can also assist those moving to other territories and advise on how to break French residence, exposure to the French tax system as non residents and any planning opportunities that may be available as a result of such relocation.
French Tax and Trusts
Since July 2011, all French-connected trusts are subject to strict French tax reporting requirements and omissions can trigger harsh penalties.
These obligations concern trusts with any French resident parties or French situs assets. In the letter case the reporting is due regardless of the residence status of the trust parties.
It is the requirement of the trustee to meet these French tax reporting obligations on behalf of the trust. The French measures also contain a number of tax rules leading to the taxation of trust distributions and in some cases the taxation of its net value annually.
We offer a full review service to determine the impact of these measures on the trust’s parties and assist trustees with the preparation of the required French tax reports.
How We Can Help
Pre-immigration tax planning for anyone moving to France:
- Tax residence;
- Preparation of tax returns for residents and non-residents;
- Tax reviews, ensuring that the tax treatment and resulting liabilities are correct and assistance with the resolution of tax claims resulting from any errors including liaising, where necessary, with the French tax authorities;
Filing outstanding tax forms to bring French tax affairs up to date;
- Advising on the effects of the new French law on trusts;
- Assistance with trustees' French tax reporting;
- Planning departures from France;
- Relocation to the UK or Channel Islands.
We offer independent advice on:
- Tax residence;
- French taxes including income, capital gains and wealth taxes and the effects of double tax treaties;
- Health cover;
- Property ownership and tax planning implications;
- Estate planning.
We have specific tax expertise in the following specialist areas:
- Personal French Tax Returns;
- French property ownership;
- Retirees living in France;
- French non-residents renting out their French holiday home or investment properties;
- Artists and sportsmen undertaking performances or short term contracts in France;
- Airline pilots and their families;
- Trusts and French tax reporting of trusts;
- Restructuring French property ownership;
- Bringing French tax reporting up to date and assistance with back-filing.
We often liaise directly with the French tax administration in relation to French tax audits, or with French notaires and related parties, such as Fiscal Representatives, on the purchase or sale of a French property.
Our fees are based on time-spent but, whenever possible, our preferred model is to carry out designated tasks on the basis of a pre-agreed budget.
If you require any of the above services, please complete and return the relevant Client Questionnaires on the "New French Tax Client" page and SCI Questionnaire or Trust Questionnaire if appropriate, together with an outline of your plans, objectives, main concerns and your due diligence documentation.