Important information for those people planning a move to France.

[ninewhilenine]

We are planning to move to France soon are these new residency rules in place already? 

[cooperlola]

The chances are that they will be by the time you get here. 

Health :The French government has now clarified the rules re healthcare, to some extent, and certainly as it pertains to new residents and a date for the changes has been given as the end of this month.  The important thing is that once you E106's expire, the likeliehood is now VERY STRONG that you will need full private healthcare in order to be able to stay until you qualify for an E121 (UK state pensionable age).

Keep your eyes on this thread over the next few days

http://www.completefrance.com/cs/forums/1023612/ShowPost.aspx

[ninewhilenine]

Thanks for your reply you seem well informed can you tellme a bit about social contributions I have been told we would have to pay social contributions on our investment income of 11% is this correct and if so where do I go to arrange to pay this and are the payments made for the previous year and can they be paid monthly? 

[cooperlola]

You should go to your tax office in the January following your move and ask for a tax form - there are three - the one which applies to everybody, one declaring income earned outside France, and a third declaring all your bank accounts outside France (I forget the numbers, but somebody will know.)  You then declare all your income from the previous year (ie your first year in France) which has been earned both here and in the UK - including investment income.  The social charges will be worked out for you on this basis.  The first year, you will be asked to pay the entire sum at the same time, usually towards the end of the year in which you filled in the tax form, and your social charges in the early part of the following year. After that you will be normally be offered the option to pay your income tax in instalments, but the social charges are always payable in one lump, around January.

Basically, you get plenty of time to pay, and pay in arrears, so it's best to put a sum aside bit by bit, so it's there when the bill comes.

[ninewhilenine]

So does that mean I have to pay tax and social charges on money I have earned here and already paid NI and tax on? we will be moving in October would I go to the tax office in Jan 2008 to register even though I would only have been in France a few months?

[cooperlola]

[quote user="ninewhilenine"]So does that mean I have to pay tax and social charges on money I have earned here and already paid NI and tax on? we will be moving in October would I go to the tax office in Jan 2008 to register even though I would only have been in France a few months?[/quote]You can claim all the tax paid in the UK after the date you moved.  You should inform the tax authorities in the UK of the date you move, and fill in an FD5, reclaiming the tax, which you submit to your French tax office with your first tax return.  They countersign this and send it to Nottingham, via Paris, and eventually, you get your money back.

On your first tax return in France, you declare only the portion of your income which you received after your move date.  Ergo, you pay tax in the UK until you move, and in France from that date.

If you wish to keep your rights to a UK old age pension, you should continue to pay voluntary National insurance until you have 30 years payments in total.  If you do not, you may not qualify for a full old-aged pension from the UK.