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Tax consultation on arrival in or departure from France

This service consists of a written consultation to determine each expatriate’s individual situation regarding tax residency and tax obligations in France and in the country of origin, or in France and in the country to which he/she is being transferred.    

The expatriate fills in a questionnaire that enables us to gather all information required so that we assess his/her tax situation, taking into account individual circumstances (marital status, dependants, personal assets, source of income…) and professional situation (split-salary, multiple-contracts…).

The Departure/Arrival Tax Consultation questionnaire is a 12- to 20-page document, depending on the complexity of the case. It enables the expatriate to be informed of current and future tax liabilities and responsibilities.

Income Tax Calculations

Specific calculations are required to determine an expatriate’s tax liabilities in respect both of France and the country that the expatriate is leaving or moving to.

  1. Foreign tax calculation

We can determine the amount of tax the individual will need to pay in any country. Using the tax law of this country, we can identify potential tax benefits such as deductions, allowances and tax credits, considering the person’s individual situation.

  1. Country of origin hypothetical income tax (Hypo Tax)

We calculate, for comparison purposes, the income tax the individual would have paid if he/she had stayed in the country of origin

  1. Tax and Social Security Differential calculation

It consists of:

  • Calculations of the actual social security contributions in the host country and of the hypothetical social security contributions in the country of origin.
  • Calculation of the tax amount due in the host country (considering all tax-free benefits, deductions, allowances, tax credits for which the expatriate may be eligible). This calculation is made regarding the latest information we have.
  • Calculation of the differential between[ the actual social security contributions + income tax amount in the host country]  and [the hypothetical social security contributions + income tax amount of the country of origin]

The difference between these two calculations is the amount the employer of your client will need to compensate. As a taxable income, your client will be liable for social security contributions and income tax calculated on this amount. This “Tax on Tax” calculation gives the final gross amount your client’s employer have to pay to him in order to completely compensate for the tax differential.

These calculations are made considering the latest tax information we have: some differences may occur.

In providing tax estimations, Elitax makes best efforts to work with the latest information available. However, Elitax will not be responsible for any modifications arising from late-breaking changes to tax rules.

What our clients have to say about our services

We’ve helped hundreds of clients resolve their tax issues.

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