FAQ - Advice on Applying for E106

[Ex Forum Admin]

Originally posted by Penny29 and taken from two threads:

I'll just try to clarify a few points regarding E106's (used to work for the Inland Revenue, and prior to this the Contributions Agency):-

1. All E106's are issued in line with "Benefit Years". A Benefit Year runs 12 months from the first Sunday in January (this may explain why some of you have different expiry dates on your 106's, although all will be a date between 1 - 8th January in any given year).

2. The Issue date runs from the date you inform Newcastle that you intend to move abroad and runs for a MAXIMUM of 2 "benefit" years.

Example A. You (have been sensible) and informed Newcastle that you are moving to France on 10th January 2005 (so, assuming you have paid enough National Insurance) your E106 should run from 10.1.05 to first Saturday in January 2007. I.e. Two complete "Benefit Years".

Example B. You (were truthful, but not sensible) and informed Newcastle that you were moving to France on 31st December 2004. Therefore you will only get an E106 which runs from 31/12/2004 to first Saturday in January 2006. This is because the issue date falls into the 2004 Benefit Year, which is almost over!

In other words, you have to look carefully at the date you intend to move over, as anything other than a January date will eat into that particular Benefit year's entitlement.

3. It's your National Insurance contributions for the previous 2 COMPLETED tax years which determines overall entitlement. Naturally, tax years run to a different schedule (April 6th - April 5th) just to confuse the punters! So, basically forget any NI you have paid in the tax year in which you apply for the E106 as this won't be a completed year and therefore won't count.

 

Following on from the previous thread I've had a few thoughts which may help someone in the process of planning a move to France:

1. If possible, about 6 months before your proposed move pop into your local DSS and ask for a form BR19 (Pension Forecast Form), fill it in and send it off (to the Inland Revenue at Newcastle, naturally). When you get the Forecast back it should show you exactly what your NI position is to date i.e. The number of past tax years in which you have paid enough NI to qualify for a pension & how many more completed years you need to contribute to in order to get maximum Old Age Pension.

This information will help you in three ways:

A. Will provide you with peace of mind regard

[Ex Forum Admin]

Info from Deimos:

A couple of thoughts on this E016 FAQ thread.

There are actually two sources of E106: DWP and Inland Revenue. If you move to France and are not working, etc. you will get your E106 from DWP. However, if you continue to work for a UK employer who has obtained an E101 Exemption Certificate (max 5 years in theory in practice in France max 2 years), and you continue to be paid in the UK, paying UK National Insurance contributions and not French NI contributions (hence the need for the E101) then you need to get your E106 from the Inland Revenue and not DWP).

It is your Employer who needs to sort out the E101 Exemption Certificate. To get your E106 from the Inland Revenue then you need to contact the "Centre for Non-Residency, Inland Revenue +44 191 203 70 10).

Note they are friendly and should be fine with you calling to verify the above (and make any corrections appropriate).

Not so relevant:

If you are resident in France but employed by a UK company, paid in UK, etc. then you and your employer must still make contributions to the French system (which are high and may involve starting a French subsidiary company, etc.) -not so sure about that one. I would add that anybody unsure might want to contact the Inland Revenue Centre for Non-Residency.

[Ex Forum Admin]

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Post From: Altan
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I have lived in france for only 6 months and work exclusively in the uk. I pay tax and NI in the UK

I was given an E106 which l was advised to apply for annually. This was to assess any change in circumstances. In France my carte vitale is also given yearly.

The key for Newcastle was that l could continue on this system providing my work was exclusive to the UK and that l did no work in france.

My employer did not have to apply for an E101.

[BobDee]

As a recently retired person, do I need to apply for a 106?

 

 

[Sunday Driver]

If you are early retired, then yes.  However, if you have reached state retirement age and are in receipt of an old age pension, then you qualify for an E121.  There is no time limit on the E121 - lasts for life.

 

[Le 47]

There are other permutations as well. If you are self employed in UK and living in France you can get an E106 for 5 years.

 I am the proof as I am now on my 5th and final year of having an E106.

Bill