Re: Exchange rate for Tax purposes

French Finance

Exchange rate for Tax purposes


ErnieY 11/05/2008, 8:44
Understandably all figures on the tax forms are to be entered in Euros but at what exchange rate.

For those who have Sterling incomes (your's truly for instance) this is an important number yet I haven't seen a rate stated anywhere. For those currently filling out their forms (again your's truly) it can't be "as on the day" surely ?

Confused [8-)]


My doctor said one drink per day, I can live with that !

Re: Exchange rate for Tax purposes


Patf 11/05/2008, 8:52
I rang our tax office on Friday and the man gave me 1.4237   This is obviously a good bit higher than today's rate. Mysterious - perhaps an average for last year.

Re: Exchange rate for Tax purposes


Clair 11/05/2008, 8:58
http://www.completefrance.com/cs/forums/1218672/ShowPost.aspx
Clair, a Real Virtual French Person

Ma Plus Belle Histoire d'Amour

Re: Exchange rate for Tax purposes


Bob T 11/05/2008, 8:58
Easy for me, I just enter the amounts paid into my French bank account and include the UK P60.

Bob T 24
http://bikesindordogne.blogspot.com/

Re: Exchange rate for Tax purposes


Ron Avery 11/05/2008, 9:15

What use is a P60 to support a tax return Bob?  Apart from being totally unnecessary, they will contact you if they want proof, it only gives the totals for the UK tax year March - April. 

The mean average rate for 2007 calculated from the bank exchange rates, which is probably not what you actually got, was 1.45€ so if 1.42€ is being given as the official  figure that is lower.  At the start of the year it was 1.50€ going down to 1.38€.

Ernie, its the rate prevailing at the time you received your income whether that was in £, $ or yen.  How you calculate what you declare is for your conscience.


Why not post a sensible answer, people will appreciate it more

Re: Exchange rate for Tax purposes


Nell 11/05/2008, 9:17
1.3636 is what the French News newspaper said, so that is what I have used

Re: Exchange rate for Tax purposes


spg 11/05/2008, 9:25

 Nell wrote:
1.3636 is what the French News newspaper said, so that is what I have used

But that figure was for calculating the value of your goods and chattels for the Impot sur la Solidarité de la Fortune ie ISF or wealth tax which is worked on 1st January with the exchange rate value for that day.

Sue


Computing - it's another world

Re: Exchange rate for Tax purposes


Ron Avery 11/05/2008, 9:27

"1.3636 is what the French News newspaper said, so that is what I have used"

 IF that is what it says, it just goes to show what a load of c**p that paper is then.  You know its wrong unless you got all your income in December 2007.

If you got income throughout the year,  using an average rate below 1.42 is taking the piss and you know itAngry [:@]


Why not post a sensible answer, people will appreciate it more

Re: Exchange rate for Tax purposes


ErnieY 11/05/2008, 9:52
 Ron Avery wrote:
Ernie, its the rate prevailing at the time you received your income whether that was in £, $ or yen.  How you calculate what you declare is for your conscience.
On that basis then I should be looking at each of my payslips from August (when we moved) to December and calculating the rate on the relevant pay day.

I pay PAYE tax in UK anyway so that side of things is not really an issue, it's really just for the interest from other deposits etc. and in all honesty, for the modest amounts involved at this point in time and for the 5 month's covered, whether it's calculated at 1.42 or 1.36 is pretty inconsequential.

Don't know how I missed the other threads on the topic BTW so apologies for starting this new one Blush [:$]


My doctor said one drink per day, I can live with that !
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