On 23 June 2016, the UK electorate voted to leave the European Union. This unexpected outcome marked the beginning of a period of transition for the UK which is accompanied by great uncertainty and raises many questions regarding the legal environment for companies and individuals in the UK.
For enterprises that decide to make use of the time before the effective exit from the EU to reorganise their structures, the question of movement of individuals will necessarily come up in the context of their reorganisation plan.
With this in mind, the French Prime Minister, Manuel Valls, announced on 6 July 2016 that the specific tax regime in favour of impatriates would be substantially enhanced in order to improve the attractiveness of Paris and “build the financial capital of the future”.
The purpose of the impatriates regime is to ease the transition between the two tax systems by granting a favourable tax regime to individuals moving to France for work, for professional and passive income as well as French wealth tax.
This Client Alert proposes to give a high-level view of the main features of the current impatriate tax regime before presenting the adjustments announced by the French Prime Minister in order to encourage impatriation. Click on the PDF file below to read the full Client Alert.