Jump to content


  • Posts

  • Joined

  • Last visited


Everything posted by Grecian

  1. Once again many thanks LesLauriers for your concise and prompt answer. Not quite so good on the pension tax front as I thought, but I suppose we should be grateful for the 10% deduction.  
  2. Thanks Llwyncelyn, your advice regarding approaching COTOREP makes financial sense, which would go some way of offsetting losing the benefits from the UK. We can only hope the judgment comes out in favour of being able to transfer the benefits to another EU country.  
  3. Many thanks for the reply Benjamin. We are coming over to France again next week to try any make a final decision, so if it does not make too much difference when we move, that will help things along.  
  4. Thanks LesLauriers that is a very clear answer. Following on from the original post, I have found on the French Entree.com website, the formula that is used to tax final salary pensions in France. If your pension is a final salary scheme or is paid directly by an employer then it is likely to be taxed in France as a pension. You include the whole income from the pension as taxable income and then deduct an amount of 10% of the income subject to a minimum or euros 323 and a maximum of euros 3,160. From the net figure so calculated you then deduct a further 20% of that amount up to euros 111,900. As a very rough guide this usually results in only 80% of the pension actually being subject to French tax. Can anybody in receipt of a final salary pension confirm that this is in fact correct. Also on the same website, it states that the French authorities treat incapacity benefit as a private pension, again has anyone had any experience of this.  
  5. Can anyone please shed any light on the situation regarding the payment of social charges, if we are in possession of an E121 through long-term incapacity benefit, and not retirement age. My wife will be receiving incapacity benefit, and an ill health pension from her previous employer, I will be receiving a pension from my previous employer, which I have drawn early. I accept that we will have to pay French income tax on all the above, but will the incapacity benefit and pension payments be liable to social charges? Any feedback would be most appreciated.  
  6. Could anybody tell me if there is an advantageous time to move to France regarding the tax position, and if it affects when you decide to move over, regarding the payment of long term incapacity benefit from the UK. As always many thanks for any information provided.  
  7. Just wondering if anybody has heard anything relating to the DLA/CA European Court of Justice case, currently going through their parliament, in relation to be able to take the benefits with you, if you move to another EU country in the future. I know that Llwyncelyn has been following the progress, having read archived posts from this forum, but since early 2007 nothing has been posted. Having done a Google search relating to the matter, the only information I could find was dated April 2006, there seemed to me a good piece of advice to anyone considering moving to another EU country, and is currently receiving DLA/CA benefits. Advising clients The final outcome of all of this activity remains unknown but clients who intend to move abroad to another EEA state should be advised to make a request to export the benefits. It will inevitably be refused and the claimants should appeal. The appeal is likely to be stayed pending the outcome of the cases before the ECJ. However, by making a claim and lodging an appeal they will protect any future possible entitlement to retain their benefit.    
  8. Leslauriers many thanks for the info provided, I can see the advantage of the AV, especially after the 8 years has passed. Would you say there are more advantages investing in an AV rather than a PEA, or vice versa?  
  9. Could someone please explain to me how you are able to open an Assurance Vie BEFORE becoming a French citizen, and what would the extra tax savings be? Any feedback would be most appreciated.  
  10. Thanks again Leslauriers for the information supplied, and for the link regarding the treatment of dividends, just have to learn French now!
  11. Leslauriers excellent post. But can you run the 20,000 euros bit, relating to the UK Maxi ISA past me again please. Are you saying that in France, if you withdraw 20,000 euros from your Maxi ISA capital, that it is free from income tax and social charges? Sorry to seem a bit thick here, but I have not come across this anywhere else where I have been researching. Whilst I am here, also regarding the dividends from any equity based ISAs, are there any allowances granted against the dividends, or is the whole amount liable to income tax and social charges? Many thanks for any light you may be able to shed.  
  12. Yes 5-element I am talking long-term incapacity benefit,  which my wife receives for three ailments she has to endure life with. Very interesting to note that the payment does not have to be entered on your tax return, not to say financially beneficial as well. Many thanks for the info.  
  13. Most enlightening thread this, very informative regarding what is and what is not liable to CSG, CRDS and RS, although I think I already had this clear in my head, thanks to previous questions asked in an earlier thread, and excellently answered. I have a further question regarding as to what the dear old social charges apply to. Could anybody tell me if incapacity benefit payments are liable please, as I have been unable to find anything regarding this payment via my searches of this site.
  14. Sorry cooperlola never dabble with the gee-gee's, tend to stick with financial spreadbetting only, so am unable to answer your query.  
  15. Not wishing to post incorrect information on this site, in an earlier post I claimed that it is illegal to spreadbet in France, with a French address. I based this on an email from my own spreadbetting company CMC Markets. Having since emailed four other spreadbetting companies, two of which I have an account with, and two that I do not. They all assured me that it is legal to spreadbet in France, with a French address, providing the account is opened before leaving the UK. Proof of your new French address would be required, but other than that it seems perfectly legal to carry on trying to win/lose your shirt whilst living in France. I have since emailed CMC Markets enquiring why they think that it is illegal to spreadbet in France, but as yet have had no reply.    
  16. Will/Sunday Driver many thanks for the replies, I have now got my head around all things French, regarding social charges. Regarding the Codevi, Livret A and LEPs, what is the best interest rate achievable at the moment on these investments? Will in answer to your question regarding my user name 'Grecian', nothing Blue about it I'm afraid. It refers to the nickname of my home town football club, Exeter City, who are known as 'The Grecians', although I do not live there anymore, I now reside in East Yorkshire.  
  17. Could anybody please indicate to me as to what the French social charges of 11%, are payable on please.  If myself and my wife make the move over, we would basically be living on her ill-health company pension, incapacity benefit, my early retirement company pension, and any income derived from our savings.  Will the two pension incomes be liable to the social charges? Is incapacity benefit liable? Also if/when we make retirement age, will our UK state pension be liable?  I have been trawling through this excellent website, and trying to find information on tax free or tax advantageous vehicles. I thought I was getting somewhere with PEAs, but now I am reading about Assurance Vies, now I have to be really thick here, but are these two animals one of the same, or two different entities?  What are the implications of our old friend social charges, either on one or both of them please? Just to confuse me further I have stumbled upon Livret A, Codevi and LEPs, same old boring question I’m afraid, are these three liable to social charges? Well I hope anybody reading this isn’t as confused as I am, any help would be much appreciated.
  18. Will once again many thanks for the info. I know this thread has veered a little off subject, but all information is valuable at this moment in time. You mention that if in receipt of an E121 things are different. My wife currently receives long-term incapacity benefit for three different ailments. With what I have read so far I would assume she is eligible for an E121. So if you know, could you explain what deductions, be they income tax, social charges or otherwise she would have to pay. I totally agree with your comment regarding an accountant, and if things become serious, serious then I will be contacting one in due course, just trying to find out the basics at the moment.  
  19. Once again many thanks for the replies. Will I am slightly confused regarding the payments of CSG/CRDS/PS on company pension income. On the Partial Disability Pension thread, Sunday Driver is saying that you will pay 8% to CPAM as well as income tax, after allowances, plus eventually the person  will be liable for CRDS payments as well. Am I getting myself confused here? Is the 8% payment to CPAM different to CSG/PS, if so does this mean that as well as social charges of 11%, there is a further 8% to pay to CPAM as well? (I sincerely hope not!) If it makes any difference, my wifes company pension is paid due to ill health, whilst my pension is just a straight company pension that I have started drawing early. Any help would be much appreciated.      
  20. Will/chessfou/BJSLIV thank you all for your prompt, and helpful replies to my questions. If I understand this PEA animal, it seems that you can only invest in shares/investment trusts/unit trusts, either from the French side or other EU countries. chessfou, you said that you own some investment trusts within your PEA, can these investment trusts themselves invest in corporate bonds within their funds? Looking at the link Will provided it says that you cannot invest in bonds. I assume that to mean directly, or could this mean via any investment trusts that holds bonds within its fund? Also you mentioned charges linked to the provider, slightly confused here. If I am choosing my own investments, how do they get involved in the charges? Or did you mean just a annual management fee to be paid to them for holding your investments? Not wishing to get even more confused at this stage, but if you cannot invest cash within the PEA, are there any products that you can invest cash in tax free? Finally (for now) BJSLIV you said there is no escape from those pesky social charges on investments, does the personal allowance which you are granted for income tax (5515 euros) apply to income not derived from investments, in my and my wifes case company pension income? Or does all income from other sources other than investment income, get charged at the full 11%? If so does the 11% social charge still apply to pension income when you are 65?    
  21. I do apologise in advance if any of my questions have been answered previously on this website, as I am sure some of them must have been. Like most people when you first consider the move, you start trawling through books, magazines and websites, it then comes to a point where your head cannot take anymore. I am at that stage.   P.E.A Questions:   I understand the personal allowance to be 132,000 euros that you are allowed to invest in a P.E.A. If you wish can this all be invested in one lump?   Can the P.E.A. be invested in cash, unit/investment trusts, and bonds in companies from the UK? Or do all the investments have to be confined to French companies?   Can existing investments from the UK be transferred into the P.E.A?   If I understand the system correctly no tax is payable after 8 years, although social charges of 11% are still payable. If you wait until you are 65 and then draw an income from the P.E.A., do you still pay the 11% social charge?   A question not allied to the P.E.A. but one that is puzzling me is: When paying the 11% social charges on investments/income does the personal allowance of 5500 euros which you are allowed to earn tax free, still appertain to the social charges. i.e. are you allowed 5500 euros income allowance before you start to pay the social charges?   Thanking anybody in advance, of any information that you can provide. Hope the questions don’t look too stupid.  
  22. Regarding capital gains on your spreadbetting returns, I am afraid to say that the situation will not occur. I still live in the UK, but myself and wife are seriously considering the move to France. I e-mailed my own spreadbetting company, CMC Markets enquiring to the situation regarding speadbetting in France. They informed me that it is illegal to speadbet in France. The only way you can trade in France, is to have a UK address, then it is legal to trade in France. But you will  be unable to trade in France if you try to open an account with a French address. Hope this helps.  
  • Create New...