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LIVING IN FRANCE

What is a Livret de Famille in France – and how do you get one?

If you and your family live in France for any length of time you're highly likely to be asked for your Livret de Famille - here's what this means and what the situation is for foreigners.

What is a Livret de Famille in France - and how do you get one?
Getting married opens up a whole new administrative book for French people... (Photo by Ludovic MARIN / AFP)

Point one

First things first: don’t worry if you don’t have one, or even if you don’t know what it is. Not having a Livret de Famille is not a barrier to completing an administrative task. Even in France.

When will I need one?

If you have children, it’s almost inevitable that you will be asked for one when you register them at a new school. And it’s also useful for a range of other administrative tasks, especially those involving offspring.

So what is it?

A Livret de Famille is nothing more or less than a booklet of vital records, proving a family’s make-up, parental and sibling relationships, that sort of thing.

Mixed families, with parents who have children from previous relationships, will have multiple Livrets de Familles, at which point things can get slightly confusing, administratively.

When a couple marry, that is the first entry into a new French Livret de Famille, which is given to the new couple on their marriage as an administrative symbol a new family. Otherwise, it will be delivered on the birth of an unmarried couple’s first child.

It is then the responsibility of the family to maintain their Livret de Famille, by updating these records when any life events – for example, marriage, birth, adoption, divorce, death – take place.

It is worth noting that several other countries – including EU neighbours Spain and Germany-  have something similar.

So, how do I get one?

You have to be French. Or have children with a French person – in which case the Livret is provided on the birth of the first child (note: non-French couples do not receive a Livret on the birth of a first child in France). Or marry in France. If you tie the knot here, you will be presented with your Livret at the end of the ceremony.

What?! But what about all those administration tasks?

Relax. Remember point one.

Despite its grand name, and its apparent importance in day-to-day administrative life, a Livret de Famille is just a booklet of documents. You can make up your own. You need:

  • Birth certificates – all of them; parents and any children in your household;
  • Marriage certificate, where applicable;
  • Divorce certificate(s), where applicable;
  • Proof of ID – your passport, or titre de séjour if you have one.

Be aware, you may need to have some documentation translated into French for certain administrative tasks, including renewing any visa.

Keep them together, keep them safe, and they’ll work well enough whenever you’re asked for your Livret de Famille.

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LIVING IN FRANCE

Are Canadian pensions taxed in France?

If you are considering retiring to France, you might be wondering whether you will still be able to access your Canadian pension and if it will be subject to French taxes. Here is what you need to know.

Are Canadian pensions taxed in France?

Before going any further, it is worth noting that this article is meant to give an overview of the pensions situation for people with Canadian pensions. It does not replace professional financial advice, and Canadians looking to retire in France should still seek out expert financial assistance as needed.

The first step is to determine whether or not you are a tax resident in France (you can look through our guide). All tax residents must fill out a yearly tax declaration, and they must report all global income, even if it is not subject to tax in France. 

You should also consider if you have a pension from another country besides Canada, as different rules may apply based on that country’s bilateral tax treaty with France. Here is the situation for British, American, and Australian pensions, and here is an overview of the system.

Where is my pension taxed?

In Canada, the pensions system includes multiple tiers of public and private schemes, but luckily the double tax treaty between Canada and France is explicit about where pensions are taxed.

The Local spoke with Isaac Barchichat, a registered CPA in France, Canada and the USA to understand the situation for Canadians in France. He is a managing partner at Monceau CPA, an international accounting firm based in Paris with offices in the US and Canada.

He told The Local: “Tax treaties usually follow the OECD model, which means that Article 18 is usually focused on pensions.

“Article 18 for the Canada-France treaty is very similar to the USA-France treaty. This means that pensions are taxed in the country that they are issued in,” he said.

As a result, any Canada-based pension – whether that is the Old Age Security plan, the CPP (Canada Pension Plan) or QPP (Quebec Pension Plan), or a private personal or employer plan (such as Registered Retirement Savings Plans, or RRSPs) – would be taxed in Canada, not France.  

Barchichat explained that Canadians in France should still declare their pension income in France. Like Americans, they will receive a tax credit from France attesting that they have already paid tax in Canada on their pension.

“People should still maintain proof that the pension was already subject to tax, in case of an audit,” he added.

Barchichat also recommended that Canadians resident in France can make use of the ‘mention expresse’ section in their French tax declaration.

“Sometimes French local tax authorities fail to assess foreign income properly. Using the ‘mention expresse’ allows you to specify to French tax authorities Article 18 from the tax treaty to ensure that they process your documents properly,” he advised.

All of this being said, Canadians should beware that their pension income could still count towards your total household income in France, even though it is not taxed here. As a result, it could end up pushing you into a higher tax bracket.

What about social charges?

In addition to taxes (impôts), France also requires people to pay social charges (prélèvements sociaux) on income. However, only specific types of income can be considered for social charges, such as the CSM charge (PUMa) for healthcare. 

The general rule is that pensioners and their spouses do not have to pay the CSM charge, but France specifically exempts people who have a pension from France, the EU, the EEA and the UK (people with S1 forms), as well as their non-working spouses.

There is some debate over whether American and Canadian private pensions ought to be treated as a pension (and therefore exempt from CSM) or as investment income (which can attract CSM charges). 

When it comes to Americans, tax expert Jonathan Hadida from HadTax told The Local: “Under the principle of equality amongst taxpayers, URSAAF has treated most US pensions/IRA distributions/401(k) distributions akin to a French/Swiss/European pension and have therefore exempted Americans with pension income.”

“I have called URSSAF, and I was told by the representative that they should be paying for PUMa. But in practice, I have not seen many American pensioners charged for it.”

It is likely that similar standards are applied to Canadians. 

Barchichat, who is licenced in both the US and Canada, said that in his opinion neither American nor Canadian pensioners should be charged for prélèvements sociaux

“If this happens, it is a mistake by tax authorities”, he added. You can learn more about contesting a CSM charge here.

READ MORE: Cotisations: Why you might get an unexpected French health bill

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