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working for UK company

Posted by joanna allaway - Created: 13 years ago
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How does it work to be paid in UK for work done in France? Any info gratefully received

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6 replies (Showing replies: 1 to 6)

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Posted by MikeP-180526 - 13 years ago

I was wondering about this same point, as I also often order from UK companies (incl. Amazon) and was pretty sure that the stuff is posted from UK with UK VAT - I don't have any of the invoices to hand.

And if one of the principles of the EU/Common Market is free movement of goods, how can cross-border mail order be forbidden?

Talking of consumer protection,  this might be of interest

"Citizens Advice has set up a website to help shoppers that have problems with purchases made in another EU country. By logging on to euroconsumer.org.uk, consumers can find out how to get their money back or have their goods replaced. Two-thirds of complaints to the Euro Consumer Council last year were made from the UK. Nearly half of those related to goods purchased in Spain."

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Posted by Shanwick - 13 years ago

Myop,

"Cross-country mail order is expressly forbidden throughout the EU as there is almost no consumer protection in case of faulty goods or fraudulent advertising. Order from Amazon.co.uk and your order is shipped (with French, not British, TVA on the invoice) from Amazon France."

I regularly order books/dvd's etc from several mail order companies (Amazon included) in the UK and having looked through the last few invoices they're all posted from the UK and charged UK VAT.

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Posted by Myop - 13 years ago

TonyP's link only concerns the CSG and CRDS side of the question as they are assimilated to "tax". That is not the case for the larger chunk of "social charges" (ie URSSAF, etc). As MikeP points out, the loopholes are being filled based upon the general EU principle that one is permitted to work and trade in any EU country on the express condition that the work and trade is subject to the same terms, conditions and taxes as the locals. If that wasn't so, would there be any French companies left?There are exceptions, but not many. (cabotage laws concerning hauliage, shipping and air travel) Cross-country mail order is expressly forbidden throughout the EU as there is almost no consumer protection in case of faulty goods or fraudulent advertising. Order from Amazon.co.uk and your order is shipped (with French, not British, TVA on the invoice) from Amazon France.URSSAF (and ASSEDIC where applicable) will expect to be paid on and work or trading done "on a continual or regular basis" in France (the quotes are from a legal eagle I consulted recently on this). URSSAF has the means to force payment and is doing so more and more often, often with fines and penalties.A word of caution therefore. Consult a local business lawyer or accountant and get proper advice. Some UK lawyers tend to say that everything is possible but that is often not so "sur le terrain".

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Posted by TonyP-191937 - 13 years ago

If you are posted to France temporarily and you have an E101 then you pay the social security in your home country and not in France.

This is not a loophole, you still pay the contributions, but in the UK they are less.  The idea is to protect your rights in your home country during a temporary posting.

A few years back the French claimed that the social security payments were in fact taxes and tried to make expats pay them, but this was ruled illegal by our friends in Brussels.  More info here

Tony

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Posted by MikeP-180526 - 13 years ago

If you perform work in France you are taxable in France and subject to French SS charges (unfortunately).  According to what I am told,  the various methods such as offshore companies which have been used to get around this are illegal, as one loophole after another has been plugged.

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Posted by TonyP-191937 - 13 years ago

If you are working for a UK company but you are resident in France, more than 6 months a year you should pay French taxes.

That is to your advantage because for all but the highest salaries, the tax is lower in France than in most other countries including the UK.

Social Security is a different matter, much more expensive in France.  If you are moving to France you have the right to keep paying UK social security for at least a couple of years,  It is much cheaper and gives you the right to health care, but not to the unemployment benefits or the French pension.

Should you have the good fortune to be extremely wealthy, there is a wealth tax in France, which complicates the issue.

Tony