International mobility and taxation of impatriates and expatriates
You are a foreign employee who has come to France to carry out a professional activity. You are an employee affected by intra-group mobility.
You have been directly hired from abroad to carry out a professional activity in France.
Taxation in France
Employees and certain executives coming to carry out a professional activity in France can benefit from certain special tax breaks. This regime known as the “impatriates tax regime” is provided for in articles 155 B and 81-1° of the French General Tax Code.
To benefit from the tax breaks, certain conditions need to be met:
- You need to be an employee or senior executive who has come to carry out a professional activity in France, either under inter-group mobility, or you have been directly hired for a position in France from abroad
- You must not have been resident in France on an uninterrupted basis for 5 calendar years before taking up dutie
- You must establish your tax residency in France from taking up your duties. The advantages provided by the impatriates tax regime are as follows:
- Tax relief on salaries: tax relief on the impatriation bonus or on 30% of the salary as well as the share of remuneration corresponding to the days worked abroad (strict conditions to be verified);
- Relief on passive income: 50% relief on financial income and capital gains from divestment of foreign-source company shares as well as 50% on foreign-source copyrighted products;
- The limitation of tax on well-located real estate assets in France (assets in excess of €1.3 million) for a limited period;
The impatriates regime applies for a limited period.
Altexis offers you full support in your capacity as an impatriate or expatriate, in particular:
- We can check if you meet the criteria to benefit from the impatriates regime
- We can calculate the taxable amount and the tax relief on your income
- We can help you file your income tax return for you in France.