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AMERICANS IN FRANCE

Reader question: How long can I stay out of France and keep my residency rights?

Getting residency in France comes with conditions, and in some cases limits on how long you can be out of the country.

Reader question: How long can I stay out of France and keep my residency rights?
Photo by Thomas Coex / AFP

Question: I have my residency card and the right to live and work in France – but how long can I stay out of France and still keep my residency status?

The short answer to this is that it depends on the type of residency card you have.

Long-term residency

Starting with the easy one, assuming you have lived in France for more than five continuous years, you probably have a carte de séjour permanent.

Here the ‘permanent’ refers to the right of residency, the card itself lasts for 10 years and then needs to be renewed. However the renewal is a simple administrative process and you do not need to provide further proof of your work, study or financial status.

But you can lose your right to permanent residence if you leave France for more than two consecutive years, which means you would have to go through the process of building up your right to a carte de sejour permanent all over again.

Short-term residency

The standard model for any non-EU citizen who wants to stay in France for more than three months is to first apply for a visa, then move to France, then apply for a residency card at your local préfecture.

When you apply for their card varies depending on the type of visa you have, but it’s usually within one year.

The type of residency card also varies according to your reason for wanting to stay in France and all come with fees. Some even demand an ‘integration contract’ demonstrating your willingness to take language lessons if your French is poor.

The validity period for these cards varies, but the basic model is that you get a temporary card first and then after five years of residency apply for the permanent card.

However, be aware that you should not spend more than 10 months outside France during your initial five-year period, otherwise your right to a ‘permanent’ card may be held-up.

READ ALSO How to apply for a French visa

Brits

Any UK national who moves to France after January 1st 2021 is subject to the same visa and residency requirements as other non-EU nationals including Americans and Canadians.

For those who moved here before December 31st 2020, however, the situation is slightly different.

Anyone who moved to France before December 31st 2020 needs to apply for a Withdrawal Agreement carte de séjour – and must do it before September 30th 2021.

Those who have been here more than five years, or who are married to a French national, get a carte de séjour permenant, those here less than five years get a five-year card. The rules on being absent from France are the same as other types of cards mentioned above.

EU nationals

Good news for anyone with the passport of an EU country – freedom of movement means that you can enter and leave France as you wish, with no limits on how long you have to stay.

Applying for citizenship

After you have been in France for five years (or two years if you completed higher education at a French university), you may wish to apply for French citizenship.

READ ALSO Am I eligible for French citizenship?

However if you are applying through residency (as opposed to through marriage or through family) then the 10-month rule also applies.

You need five years of continuous residency before you can start your citizenship application, and more than 10 months of absence means your residency is not counted as continuous’

Exemptions

There are some exemptions to the absence rule and they include serious illness, maternity, military service, study or research.

What about dual residency?

This concept does not exist, so anyone with a second home in France who wants to stay longer than three months will either have to apply for a visa or make their French home their primary residence.

Otherwise they will be limited to a maximum stay of 90 days in 180.

READ ALSO How second-home owners can properly plan for their 90-day limit in France

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For members

MONEY

Americans in France: What you need to know about your pension

The food. The weather. The wine. The lifestyle. France has plenty to offer retirees - but ensuring you make the most of your hard-earned pension will make your new life in l’hexagone even better.

Americans in France: What you need to know about your pension

Lots of Americans retire to France, and there are generous bilateral agreements in place that make matters relatively straightforward.

First things first; US citizens can bring any type of US-based pension to France – although you’ll have to inform the US tax authorities that you’ll be paying French income tax on it.

You can move either before or after your pension starts to pay out and it doesn’t affect your payments.

US citizens coming to retire in France still have to file a US tax return every year, as well as a French one. Dual taxation agreements mean that you won’t pay tax twice on the same income, but you do have to complete two sets of tax declarations.

You can only forego US income tax responsibilities if you renounce your US citizenship – a process that is lengthy and expensive.

Tom Goold, founder of international financial advisers Valiant Wealth, said: “Generally, France is an attractive retirement destination for US expats with one of the best double taxation agreements and favourable views on US retirement accounts such as IRA 401(k)s and the like.

“If you pay state income tax in the US then this is eliminated in France. One negative could the higher estate taxes in France but there are certain structures that help navigate this issue.

“If this is a concern then you should work with an appropriately qualified advisor who has US experience and regulation.”

For further information, log on to the IRS website for advice and information on exclusions and deductions.

Tax matters

You should inform tax authorities in the USA that you’re moving to France. 

Pensioners are treated favourably here, with a 10 percent reduction factored in on income up to €36,600. You also pay tax as a household so you probably end up paying less tax than you might elsewhere.

If you own property in France expect to pay property taxes in addition to taxes on your income.

Once you have been living in France for three months you are entitled to register within the health system and if you become ill, incapacitated or need extra care as you get older, France has a generous social security system

Americans in France: What’s the deal with health insurance?

Currency matters

Be aware that currency fluctuations will mean that the amount that finally makes it into your bank account will change from month to month.

Other challenges

There’s a piece of US legislation known as FATCA that means all Americans in France, not just pensioners, may struggle to open a bank account – here’s some tips on how to get round this.

READ ALSO What are the biggest challenges for Americans in France?

In all cases, it is best to obtain independent advice that’s appropriate to your personal situation, from a financial expert.

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