French Finance

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   08/03/2008, 6:39
Clair is not online. Last active: 01/07/2008 18:46:50 Clair



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2008 tax ceilings on 2007 income
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Tranches de revenus et taux applicables aux revenus 2007 (IR 2008)
Income ceilings and rates applicable to year 2007 income (2008 tax)
Jusqu’à (up to) 5 687 €
0
De (from) 5 687 € à (to) 11 344 €
5,5 %
De (from) 11 344 € à (to) 25 195 €
14 %
De (from) 25 195 € à (to) 67 546 €
30 %
Plus de (over) 67 546 €
40 %

Clair, a Real Virtual French Person

La vérité est si obscurcie en ce temps et le mensonge si établi, qu'à moins d'aimer la vérité, on ne saurait la reconnaître. (Blaise Pascal)
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   09/03/2008, 17:19
Pads is not online. Last active: 03/07/2008 21:53:12 Pads



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Re: 2008 tax ceilings on 2007 income
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Do you know what the allowence is for these brackets before you have to pay tax ?

Is there a difference allowence for each person or a married couples allowence?

If I wasnt working Smile [:)] and my hubby was can he use my allowence ?

Are the allowences the same for self employed ?

For some one working in different countries , but paid by UK American and european companies


Dirty Tom =^..^=
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   09/03/2008, 19:31
ams is not online. Last active: 14/04/2008 08:42:04 ams

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Re: 2008 tax ceilings on 2007 income
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The scales shown represent those for a single person with no children. married couples get twice the amounts and another 50% OF THE SINGLE SCALE FOR EACH ELIGIBLE CHILD. Other allowances exist in respect of persons of a certain age etc.

 

ams


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   15/03/2008, 15:35
Alan D is not online. Last active: 06/04/2008 11:56:56 Alan D

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Re: 2008 tax ceilings on 2007 income
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Thanks.  Starting to make sense. What tax free allowance would a married man with no other dependents receive?  I assume that the system is the same in France as the UK-ie you get a tax free allowance till the lower rate of tax (5.5%?) kicks in and then you move steadily upwards.

Alan D


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   16/03/2008, 11:19
cooperlola is not online. Last active: 03/07/2008 10:06:41 cooperlola



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Re: 2008 tax ceilings on 2007 income
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Yes, look at Clair's table - 0% for the first 5687€ and so on.
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   16/03/2008, 14:08
Pads is not online. Last active: 03/07/2008 21:53:12 Pads



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Re: 2008 tax ceilings on 2007 income
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Cooperlola I think Alan and I are confused over the difference of tax bracket and tax allowence . Does everyone receive an allowence of 5,687e no matter what thier circumstances ? and can then earn up to the amount of each bracket to fall into that % ?      
Dirty Tom =^..^=
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   16/03/2008, 14:08
Lollie is not online. Last active: 09/04/2008 13:59:38 Lollie

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Re: 2008 tax ceilings on 2007 income
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We get fours parts allowance,  one for hubby, one for me, one for first child, then half each for our other two children.

 

Lollie


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   16/03/2008, 14:45
Sunday Driver is not online. Last active: 25/06/2008 14:12:23 Sunday Driver



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Re: 2008 tax ceilings on 2007 income
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Here's a very simplified explanation of how the French tax system works.

You enter your income in the various parts of the tax form.

Certain income is subject to an initial allowance (eg, UK pension income qualifies for a 10% allowance off the top) which is deducted from your global income to leave your taxable income - this is your revenu fiscal de reference.

The remaining income is divided by the number of 'parts' in your tax household - one part for husband, one part for wife, one part for first child, half parts for additional children and people having certain benefits like invalidity entitlement, etc.

Each 'part' is then assessed according to Clair's tax bands.  Once the calculation is complete, the tax for each 'part' is added together to make the total tax payable.

Net effect is if the husband is the sole earner - a proportion his income is alloted to the other 'parts' of his tax household, so more of this shared income falls within their lower tax bands.

 


Waddya mean it's only Saturday......
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   16/03/2008, 14:45
Clair is not online. Last active: 01/07/2008 18:46:50 Clair



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Re: 2008 tax ceilings on 2007 income
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Remember that the French income tax system takes the whole household income into account, not the income of each individual.
Then there are the allowances:

Situation familiale et enfants à charge Nombre
de parts (1)
  • Célibataire, veuf(ve) (2) ou divorcé(e) sans enfants à charge
1
  • Célibataire, veuf(ve) ou divorcé(e)
- vivant seule(e) et ayant élevé un ou plusieurs enfants;
- ou titulaire d'une carte d'invalidité;
- ou titulaire d'une pension d'invalidité ou d'accident du travail d'au moins 40%
- ou ayant perdu un enfant d'au moins 16 ans ou à la suite de faits de guerre
- ou âgé(e) de plus de 75 ans et titulaire de la carte du combattant ou d'une pension d'invalidité de guerre
1,5
  • Marié(e) ou partenaire d'un Pacs soumis(e) à l'imposition commune sans enfant à charge
2
  • Célibataire ou divorcé(e) ayant 1 enfant à charge
- ne vivant pas en concubinage
- vivant en concubinage

2
1,5
  • Marié(e) ou partenaire d'un Pacs soumis(e) à imposition commune ayant 1 enfant à charge. Ou veuf(ve) dont les 2 enfants sont issus du (de la) conjoint(e) décédé(e).


2,5
  • Célibataire ou divorcé(e) ayant 2 enfants à charge
- ne vivant pas en concubinage
- vivant en concubinage

2,5
2
  • Marié(e) ou partenaire d'un Pacs soumis(e) à imposition commune ayant 2 enfants à charge. Ou veuf(ve) dont les 2 enfants sont issus du (de la) conjoint(e) décédé(e).

3
  • Célibataire ou divorcé(e) ayant 3 enfants à charge
- ne vivant pas en concubinage
- vivant en concubinage

3,5
3
  • Marié(e) ou partenaire d'un Pacs soumis(e) à imposition commune ayant 3 enfants à charge. Ou veuf(ve) dont les 3 enfants sont issus du (de la) conjoint(e) décédé(e).

4
  • Célibataire ou divorcé(e) ayant 4 enfants à charge
- ne vivant pas en concubinage
- vivant en concubinage

4,5
4
  • Marié(e) ou partenaire d'un Pacs soumis(e) à imposition commune ayant 4 enfants à charge. Ou veuf(ve) dont les 4 enfants sont issus du (de la) conjoint(e) décédé(e).

5
  • Célibataire ou divorcé(e) ayant 5 enfants à charge
- ne vivant pas en concubinage
- vivant en concubinage

5,5
5
(1) La détention d'une carte d'invalidité donne droit à une demi-part supplémentaire.
(2) Le veuf ou la veuve dont les enfants ne sont pas issus du conjoint est considéré(e) comme célibataire.



Clair, a Real Virtual French Person

La vérité est si obscurcie en ce temps et le mensonge si établi, qu'à moins d'aimer la vérité, on ne saurait la reconnaître. (Blaise Pascal)
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   17/03/2008, 8:59
Alan D is not online. Last active: 06/04/2008 11:56:56 Alan D

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Re: 2008 tax ceilings on 2007 income
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Thank you very much for going into detail.  Does that mean that the sequence of events where one of us is the sole earner through a UK pension is:

  • Take 10% from annual income
  • Divide residue in half (husband/wife)
  • For each of the two halves, take off the 5687
  • Then with the residue of each half, start subtracting the appropriate percentages from each band, the sum of which represents the total amount payable for that year.

Alan


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