What are the tax obligations of foreign companies with employees in France?
Do you own a company that is not domiciled in France and still wish to have employees in this country? First of all, you should know that the French finance law has provisions for this situation. In this article, you will get an overview of them.
Having a fiscal representative
The representative fiscal acts as an intermediary between the employer and the French tax authorities. Moreover, you will find on this Homepage, one of the best in the field with practical advice. Indeed, the choice of a tax representative is essential for all foreign companies, except for companies from the European Union and nations that have concluded a tax assistance agreement with France.
The tax representative will take care of the company's tax obligations and ensure the employer's compliance with French tax laws. In addition, the fiscal representative is the guarantor of the foreign company. This means that in case of non-compliance with tax obligations, they are held responsible and will have to bear any sanctions that may be imposed.
Registering for withholding tax
If you are not yet recognized by the French administration, it is time to register. Indeed, a company that employs employees in France must be registered in France. This will allow it to reimburse its tax charges. After your registration, you will have a SIRET number which will be useful in the creation of your professional space on impots.gouv.fr. In this way, you will be able to declare and pay the withholding tax on net-entreprise.fr.
However, if you do not have any other obligations than fiscal ones in France, it is the Direction des impôts des Non-Residents which will take care of the registration of your company. If you already have a SIRET number, you will not need to take any further steps to register for tax purposes. Use your SIRET number to access directly to your professional space on impots.gouv.fr.
You will notice that the process is simple and accessible to everyone as long as you meet the required conditions.