Social Tax

For topics that are specific to France, please go here.
User avatar
Moliere
Posts: 4753
Joined: Thu Mar 08, 2007 10:45 pm
Location: Magalas, Languedoc

Post by Moliere »

No, it's on my 2015 income.
I should add, it's not on pensions, but on other income (in my case, investments).

Mols
Jumping is just dressage with speed-bumps.
limousin-cottage
Posts: 465
Joined: Fri May 23, 2008 9:15 am
Location: Haute Vienne, France
Contact:

Post by limousin-cottage »

That's interesting Mols, because we have just received a refund on our 2015 income. And ours is also on rental income. We have a UK State pension and are S1 holders.
User avatar
Moliere
Posts: 4753
Joined: Thu Mar 08, 2007 10:45 pm
Location: Magalas, Languedoc

Post by Moliere »

Really? OK, well I'll follow this up and report back at some stage.

Mols
Jumping is just dressage with speed-bumps.
User avatar
French Cricket
Posts: 3058
Joined: Thu Apr 10, 2008 3:47 pm
Location: French Pyrénées
Contact:

Post by French Cricket »

The government has changed the rules, but with effect from 2016 - so it won't take effect until the 2017 tax returns (ie for 2016 income). That means that this year investment and rental income should still be CSG free.
chrisywilly
Posts: 7
Joined: Wed Oct 01, 2014 5:50 pm
Location: Bergerac

Post by chrisywilly »

I would be very grateful if you could point me to where that is stated - French or English. Our unexpected additional tax bill has arrived along with various other bills - as is apt to happen!

I have done some searching and found reference to a late 2015 decision by the French government following the European decision against previous introduction. It would seem logical that the new version cannot be retrospectively applied. Can logic be applied to French tax?!! - I know if often does not to UK.

Thanks very much
User avatar
French Cricket
Posts: 3058
Joined: Thu Apr 10, 2008 3:47 pm
Location: French Pyrénées
Contact:

Post by French Cricket »

Well, I suspect it's debatable :lol:

The change in law came in from January 2016. In an informal discussion with my tax office a couple of months ago, my conseiller told me that it would apply to 2016 income. But I know that some tax offices are applying it to 2015 income for tax bills received in 2016!

I've not received my avis yet so it'll be interesting to see what happens.
Mas Nialgue
Posts: 111
Joined: Tue Jul 10, 2012 10:58 am
Location: Reynes, France
Contact:

Post by Mas Nialgue »

I too have had a very nasty surprise this year with social charges added at more than double my income tax, making my tax bill this year over 500% more than last.

I am resident in France but have private pensions in the UK and have bought private health cover, and as such am and will be no burden on the state.

I have queried this with my accountant and have a friend who works for the tax department who I will also speak to off the record, but from the notes with the tax demand this now applies to furnished rentals as well as unfurnished rentals.

All the more reason to pack it in next year and draw from the pensions instead!
chrisywilly
Posts: 7
Joined: Wed Oct 01, 2014 5:50 pm
Location: Bergerac

Post by chrisywilly »

French Cricket - please let me know how you get on and I will do likewise.
User avatar
kevsboredagain
Posts: 3207
Joined: Sat Jan 20, 2007 9:32 am
Location: France
Contact:

Post by kevsboredagain »

Just got mine. Social tax added which increases my bill for 2015 income by 77%. B****ds
User avatar
pete
Posts: 1109
Joined: Sat Jan 19, 2008 6:40 am
Location: Near Sancerre, Loire Valley
Contact:

Post by pete »

The change in law came in from January 2016. In an informal discussion with my tax office a couple of months ago, my conseiller told me that it would apply to 2016 income. But I know that some tax offices are applying it to 2015 income for tax bills received in 2016!
does anyone have any idea of the act that would apply, ie is it the one we write on the form for the exemption to social charges on pensions ?
User avatar
Richard D
Posts: 563
Joined: Sat Mar 03, 2007 5:19 pm
Location: Charente-Maritime, France
Contact:

Post by Richard D »

French Cricket wrote:Well, I suspect it's debatable :lol:

The change in law came in from January 2016. In an informal discussion with my tax office a couple of months ago, my conseiller told me that it would apply to 2016 income. But I know that some tax offices are applying it to 2015 income for tax bills received in 2016!

I've not received my avis yet so it'll be interesting to see what happens.
Well I just received mine and the social charges were included, almost doubling the tax rate from 20% to 39%. It would have been 35% but they added a majoration of 10% on both income tax and social charges because I submitted my return three days after the deadline ! It''s worth noting that they are only charging non-residents the basic social charges, ie no healthcare or pension contributions, which of course makes sense. Actually I think its quite reasonable for them to expect non-residents running businesses in France to contribute to theoretically paying off their national debt and I'm surprised they never did it before. I mean there can hardly be a lot of support in the French Government for non-residents running businesses in France especially as such a lot of them are British !
User avatar
Moliere
Posts: 4753
Joined: Thu Mar 08, 2007 10:45 pm
Location: Magalas, Languedoc

Post by Moliere »

That may be the case, Richard, but surely there's no excuse to surcharge pensioners on their meagre investment income, when the UK govt pays for our health care. I mean, we don't receive any other social services, do we?

Mols
Jumping is just dressage with speed-bumps.
User avatar
French Cricket
Posts: 3058
Joined: Thu Apr 10, 2008 3:47 pm
Location: French Pyrénées
Contact:

Post by French Cricket »

Actually, Mols, you might be surprised how many UK pensioners here do receive some kind of income top up or other state aid. Working with the Brexit campaign group has taught me just how poor some British immigrants here are (and now, of course, poorer than ever :cry: ).
User avatar
Moliere
Posts: 4753
Joined: Thu Mar 08, 2007 10:45 pm
Location: Magalas, Languedoc

Post by Moliere »

Vraiment, FC? I didn't know that there was such a thing, nor that Brits were eligible. Well, you learn something every day. But I'll keep that in mind cos one or two people I know are struggling.

Thanks
Mols
Jumping is just dressage with speed-bumps.
User avatar
French Cricket
Posts: 3058
Joined: Thu Apr 10, 2008 3:47 pm
Location: French Pyrénées
Contact:

Post by French Cricket »

Yep, Brits here are entitled to the same level of social support as French people (so long as we're in the EU, of course, or they've already established permanent residency rights) - the assistante sociale attached to the local mairie is the place to start as they oversee all applications for aide and can give very useful advice.
Post Reply