Sunday, 21 October 2012

All power to Dianne, we know she is right

I too have received my first-ever demand from the tax authorites for a large sum in social charges.
I arrived in France in 2007 in receipt of a Civil Service pension but not the State Pension. I have never had to pay social charges on my civil service pension, (which is declarable but not taxable in France) apart from a sum relevant only to health care which has been levied by CPAM and payable to URSSAF (not to the Tresor Publique).  This payment stopped when I started receiving the UK State Pension and submitted my Form S1. So I believe my problem lies within the tax office at Montauban, not CPAM. 
I began receiving the State Pension in the 2011 tax year and declared it in my tax return.  I have suddenly been clobbered for CSG at 8.2% and CRDS  at 0.5% on the totality of my pensions and investments. PS of 4.8% has only been applied to my negligible investment income  - which I think is correct.  The other two certainly are not. The charges are unexpected, unwelcome, most likely not lawful and I won't be paying them any time soon!  I make my tax return on line so I haveregistered my objection on line as well.  I said amongst other things that my pensions are  "exoneres(with an accent!) de charges sociales - covention Franco-Britannique sur la double imposition Article 19".  These are the words that Connexion suggested in their guide to completing the tax returns.  I was gratified to see that because I was registering an objection, I could also request deferring payment of the charges.  Of course, if I lose the argument they will clobber me for an extra 10% because of late payment,- but I don't envisage failing.   I'll keep you informed of progress as appropriate.
Dianne Hope
VAL SAYS
Copy Diane everybody and we think somebody at Montauban is going to have a red face .