Hello - we seem to be in a very similar situation, although I suspect I may end up having to close the ME side of things, due to inactivity.
I’ve heard differing things about amounts payable in France on UK pension. Do you know what percentage you would be paying? Many thanks.
With an S1 you pay income tax according to your band (0% up to around €10k, 11% from then to around €25k, etc) and then the prélèvement sociale of 7.5%.
Without an S1 you also pay CSG-CRDS, which is a further 11.7%.
You have to tick the box 8SH or 8SI on your tax return. (Unless they change the numbers this year!)
And don’t they love changing the forms each year?!
Thank you - that’s very helpful. It was the CSG-CRDS bit I was unsure about… so now I see where the 19.2% figure mentioned elsewhere comes in.
Hello
You have to close your business if you declare 0 returns for 2 consecutive years. Maybe you can do a little bit of work here and there to keep it ticking over? Even if you only earn, and declare, 50€ it all helps!
According to the following, it seems it would be a total deduction in social charges of around 9.10%: Pensions de retraite : quelles sont les cotisations sociales ? - Previssima
Whether or not you would also pay tax would depend on your total household income.
Intrigued - can you keep an ME status for 2 years before it’s closed automatically, as I was hearing conflicting views and opiniins on that?
Also, you mention 50€, but would that really allow you to maintain the ME status?
The reason for the questions is that I now have ME status, don’t really need to work, but have it just in case and that allowed me to get into the healthcare system quickly.
With no S1 these are the social charge rates which would be payable (EDIT - on pensions sorry) which I have for last year - (income tax is separate / extra)
|<€11,306|0%|
|<€14,781|3.80%|
|<€22,941|6.60%|
|>€22,941|8.30%|
plus 0.5% for the last three bands. A small amount of social charges is deductable from income tax.
But that seems to conflict with Jane’s 7.5% so I might might need to recheck. With an S1 I’ve not delved too much into this.
My info source was here and I think excellent - it covers all the different types of income and also the ‘variability’ of tax office interpretations!
Social Charges in France - Contributions Sociales CSG/CRDS.
Note the distinction between a UK government pension (e.g. local authority, teachers. civil service and a non government pension (e.g. most NHS and the state pension).
Finally, you can deduct 10% from the France taxable pension before assessment - think you declare the full amount and its applied automatically by the system ??
Regards
Social charges are a nightmare, and there are bands for certain types of income. Other types of income have a set rate. I try to look at French sources, as these are often more appropriate: