I am a non-resident. Assessment and declaration of wages, salaries and pensions

In principle, you have informed your French employer or pension fund of your departure abroad.

You will be taxed differently, depending on whether you are a resident or non-resident.

For French residents, wages and salaries, as well as retirement pensions are liable for withholding at source (PAS).

Non-residents remain liable for withholding at source for this income provided it is derived from French sources and is liable for tax in France under international tax treaties.

In this case, the Individual Tax Department for Non-Residents will handles your income tax affairs.

Please note : although you are domiciled abroad, you may be considered as a tax resident of France.

Income corresponding to wages and salaries

Unless otherwise stipulated in international tax treaties, you must declare the following amounts that you have earned in connection with an activity carried out in France:

• Wages, salaries, fees, paid holidays, tips, etc. ;
• Social security benefits (sick leave, maternity leave, etc.) ;
• Benefits in kind from an employer, including meals, accommodation, use of a car for personal reasons, etc. ;
• Unemployment benefits, early retirement benefits, compensation for members of the government, the Economic, Social and Environmental Council or the Conseil Constitutionnel, allowances for MPs (including EMPs), and duty allowances for local elected officials in the case that the tax regime for wages and salaries was chosen

Please note : generally speaking, wages and daily sick leave and maternity benefits are automatically filled in on your income tax return. You must check the accuracy of the figures and, if necessary, correct them.

Using return 2042, you must declare your wages and salaries in box 1AF et seq. (subject to the withholding tax for non-residents), in order to not be considered for withholding at source.

Retirement pensions

Pensions are considered to be from a French source if the body that pays them is established in France, even if the services compensated by the pension were performed abroad during your working life.

When it comes to public pensions, the location of the body that pays them is immaterial.

If you want to be sure that your pension is taxable in France after your departure, please contact your pension fund, which will inform you of the type of pension you have (private, social security or public). Then refer to the international tax treaty or to Appendix 1 of the instruction sheet for return 2041-E.

The following pensions, which are mandatory under French law, are deemed to be social security schemes:

• Basic social security schemes :

- General social security schemes

- Special social security schemes

- The Agricultural Workers' and Farmers' Mutual Welfare Fund

• Mandatory supplementary pension schemes:

- Supplementary pension scheme for private-sector executives (AGIRC)

- Supplementary pension scheme for private-sector employees (ARRCO)

- Pension scheme for non-salaried professions

• The Fund for French Nationals Abroad (voluntary social security fund)
• Supplementary schemes adopted within a company or sector that are mandatory for employees

Additional information :

- Pensions paid out by supplementary pension schemes are deemed to be social security schemes.

- Maintenance payments are treated like private pensions, subject to provisions in international tax treaties.

If you are a non-resident and your pension is subject to the withholding tax at source for non-residents, this income must be entered in sections 1AL et seq., so that it is not included in the amount subject to withholding at source.

Where applicable, you must report the source deductions made by your employer or pension fund and specify the period of employment using Form No. 2041-E.

Note :

- If you would like to change the applicable period for form 2041-E, check “No” next to the question “Avez-vous perçu chacun de vos revenus (salaires, pensions) sur l'année entière (du 01/01/2023 au 31/12/2023) ?” The fields will then be available to change the period.

- If you have not had any non-resident income withheld at source, indicate “0”.

To find out more about withholding at source and how to declare your income, please refer to the information sheet “I am non-resident. How is the withholding at source deducted by my employer or pension fund calculated? How should I file my return?”

UPDATED DINR PART - FEBRUARY 22, 2024