Retired British police officers hit with French social charge bills

A retired police officer has raised concerns about French social charges being applied to UK police pension income this year – against the rules of the UK-France double tax treaty. 

Alison Watson, 56, now living in Vienne, said she faced a €10,000 plus social charge bill as she took her pension from last year, including a large one-off ‘lump sum’, as is usual under the scheme. 

She said that she and her husband, who has been declaring his police pension since 2020 and has never been asked to pay charges before, were facing a total bill for €14,443 in social charges. 

Her part was cancelled after she showed she was not reliant on the French healthcare system in 2023 as she had a private policy as part of her move to France, but that will not apply from this year. 

Despite appealing to a conciliation service, they have been told to pay. 

Read more: Why are UK authorities asking about French work for pension top-up?

Government pensions should be exempt from taxation

Under the double treaty, foreign pension income is exempt from the charges – the main ones being CSG, at 8.3% if full rate, plus CRDS at 0.5% – if the claimant is not a burden on the health system but, this should be irrelevant in this case as the treaty states that government pensions, such as police pensions, are taxable only in the UK. 

Mrs Watson said: “It appears to be the first year this has happened. Other retired officers are also being incorrectly charged, not just in Vienne. A friend has been told he’ll have to take court action. Why should we spend a fortune for some thing we shouldn’t be paying?” 

English-speaking tax lawyer Laurent Gravelle, from Sophia Antipolis, said UK state-sector pensions are not taxable in France so social charges should not be applied. 

Anyone affected should make an official claim – réclamation contentieuse – by letter or at impots.gouv.fr.

If following the latter, click the Je signale une erreur sur le calcul de mon impôt button, then Ma demande concerne l’impôt sur le revenue ou les prélèvements sociaux. 

 The Connexion has also flagged the issue to the central tax authorities.

Read more: Retiree relieved as €160,000 bill from French state is cancelled