Franco-Belgian Tax Convention
The Franco-Belgian tax convention lays down the rules applicable to natural persons and undertakings having interests in France and Belgium. Its aim is to avoid situations of double taxation, to determine the tax duties of each of the two States and to regulate cooperation between the French and Belgian tax administrations.
Whether you are expatriates, frontier workers, entrepreneurs, investors, employees or property owners in one of the two countries, this tax treaty can have a significant impact on your situation.
Why is there a tax treaty between France and Belgium?
France and Belgium have particularly close economic relations. Every year, many taxpayers reside in one state while working, investing or earning income in the other.
Without a tax treaty, certain income could be taxed in both countries.
The objective of the Franco-Belgian tax convention is to:
- avoid situations of double taxation;
- determine in which State certain income may be taxed;
- establish the criteria for determining tax residence;
- organise the exchange of information between the French and Belgian tax administrations.
Who is concerned by the Franco-Belgian tax convention?
The convention may apply in many situations, including when you:
- are a French tax resident and collect income from Belgium;
- are Belgian tax resident and have income from French sources;
- Consider an expatriation between France and Belgium;
- engage in paid or self-employed activity in one of the two countries;
- a frontier worker;
- hold real estate assets in France or Belgium;
- collect dividends, interest or other international income;
- run a company operating in both states.
Each situation deserves an individualised analysis in order to determine the rules actually applicable.
The main stakes of the tax convention France – Belgium
The tax convention deals in particular with matters relating to:
- determination of tax residence;
- preventing double taxation;
- the taxation of wages and professional incomes;
- the regime applicable to frontier workers;
- taxation of real estate income;
- dividends, interest and royalties;
- certain capital gains;
- exchange of information between tax administrations.
However, the interpretation of these provisions requires an analysis of your personal, family, heritage and professional situation.
Why call on an international tax lawyer?
International tax treaties are linked with the national laws of each State. Their application requires a rigorous analysis of your situation in order to identify the really applicable rules.
The firm of Édouard Pruvost accompanies a French and international clientele on all the problems related to the Franco-Belgian taxation, in particular with regard to:
- tax residence;
- expatriation and international mobility;
- taxation of frontier workers;
- international investment;
- Foreign income;
- international tax control;
- heritage and entrepreneurial structure;
- prevention and resolution of double taxation situations.
Each case is the subject of a personalized study in order to secure your tax situation and limit the risk of litigation.
Consult the official tax convention
The official text of the tax convention between France and Belgium is available on the website of the French tax administration.
You can consult the official convention by clicking on the following link:
Be accompanied by a tax lawyer
The tax treaty establishes a general framework, but its application always depends on the circumstances of each taxpayer. The tax residence, the source of income, the location of the assets and the nature of the activities carried out must be assessed as a whole in order to determine precisely the applicable rules.
Edward Pruvost's firm supports individuals, managers and companies facing Franco-Belgian tax issues. We advise you in applying the tax convention, securing your international transactions and defending your interests with the tax administration.
