Government Service Pensions - Advice Needed, Discussion and Issues Experienced

tax
pension
socialcharges

(Jane Jones) #61

I second that - it’s exactly what happens to mine.

My gov’t service pension provider very helpfully send me a Jan-Jan calendar year payroll history, as well as the April-April P60. I find it reassuring to have a piece of paper to back up the figures I put in the tax form. Just in case anyone asks.


(stella wood) #62

Aha… perhaps I am on a different planet…:thinking:

My advice to Newcomers would be to talk face-to-face with your nearest French Tax Office. In my experience, they are very helpful… just talk things through and be guided by them.


(Andrew Hough) #63

It is one of my first Jobs, go and speak to the tax office and explain my situation. :wink:


(Patrick O'brien) #64

Hi,
You will only pay french tax, if you have a substantial amount of french -taxable income , such as bank interest , dividends, or UK State pension. This would be added to your police pension as I described , to make the calculation.
Here is an example using random figures ;
police pension - 20 000€ , state pension 8000€ , bank interest 1000€ …total 29000€ tax calculated ( this is this years figs. for a couple) …1344€ tax X 20000 /29000 = 927 credit. …1344 -927 = 417 - (decote…312)=105€ tax due before any other deductions like charity donations etc. This tax is in respect only of the 9000€ french taxable ( 1.17%). In addition there would be 17.5% social charge on the investments 1000 X 17.5% =164€ . If that9000€ had been the only income it would have been below the non - tax limit of 27531€ (couple), but including the police pension means that the 9000€ is taxed at the rate it would have born if all the income had been french taxable. Social charges are always due on investment income regardless of overall income.
The police pension is not taxed ; if it were the tax due would be 1344 - 1008 (decote) tax due…336€ .
( The decote is a device to reduce tax for “modest incomes” … they deduct 3/4 of the tax due from 1939€ (couple) and deduct the result from the tax.)


(Andrew Hough) #65

Thanks again for the explanation.
I am a long way off state pension :grinning: , only is my Police Pension and that of my wife when she retires (police) and moves to France later in the year.