France-UK Double Taxation Treaty

France-UK Double Taxation Treaty

Updated on Friday 08th November 2019

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France-UK-Double-Taxation-Treaty.jpgFrance and the United Kingdom have signed a double taxation convention, entered into force on December 18, 2009. The convention was concluded with the purpose of avoiding double taxation related to taxes on income and capital gains as well as for preventing fiscal evasion. The double taxation treaty between France and the UK concerns residents of the two countries who are doing business or own companies in the contracting states. Our French attorneys can give you more details about the implications of this treaty.

The scope of the treaty

The Convention for the avoidance of double taxation applies to individuals who are residents of one or both countries. For the purpose of the treaty, a resident individual is one who has British or any other Commonwealth territory nationality or a citizen who has French nationality.  A company is defined as a corporate legal entity that is subject to corporate taxation.
The treaty covers not only the personal income, like salaries or wages, but also income from immovable property, business profits, profits derived from vehicles in international traffic, the taxation of dividends, interest, royalties, capital gains, income from employment, directors’ fees, pensions and income produced by artists and sportsmen.
Our French lawyers can give you detailed information about the articles of the convention that cover these types of income.

Taxes covered by the treaty

The taxes that are covered by the double taxation agreement between France and the UK are as follows:
  • for France: the income tax, the corporate tax, the social contribution on corporation tax, the tax on salaries, social security contributions;
  • for the United Kingdom: the income tax, the corporate tax, the capital gains tax.
The convention applies to any taxes levied in place of existing taxes as well as similar taxes that are imposed after the date of signature. The tax authorities within each state must notify one another of any changes in their taxation system.
France has signed double tax treaties with more than 120 countries worldwide. If you would like more details about the list of double tax treaties signed by France, you can contact our French law firm.