The Legislation Options in the Taxes Now

The adaptation of the domestic legislation of Switzerland mentioned by the member allows this State to use the rights which are thus recognized to it by the various tax conventions thathe concluded and in particular the 1996 tax convention cited above. It is therefore not planned to intervene on this point with theauthorities.

The Aspects for You

Conversely, salaries, wages, pensions or pensions paid by the Federal State or one of its political subdivisions or by one of the local authorities to residents who are nationals are taxable.

With regard to public remuneration paid to residents of France with dual nationality, see below ministerial response Therein.

The tax regime for French residents, employedin a public entity, who have dual nationality is determined by the “public remuneration” clause (art. 21 relating to public remuneration of the tax treaty between France and Switzerland of 9 September 1966 modified).

The Right Agreement

The border agreement of April 11, 1983, which provides for taxation exclusively on the residence of employees, is not applicable here, insofar as it only covers the private salaries of dependent professions.

The Use of the Whole Options

Thus, the remunerations paid by theConfederation, one of its political subdivisions or local authorities, or by a legal person governed by public law of this State, to a natural person who hasnationality are only taxable in Switzerland. This provision is in accordance with that set out in the OECD model convention and with international rules granting the State which pays the remuneration the exclusive right to impose it, in accordance with its rules of domestic law.  The tax return calculator is important there.

This income, when it accrues to a resident of France, is also taken into account for the calculation of French tax. However, France eliminates double taxation by granting these persons an imputable tax credit equal to the amount of French tax corresponding to this income (of the aforementioned convention).However, it is not responsible for the level of taxationthat it can only neutralize through the tax credit.

It is specified that for this exclusive tax regime in the State of the debtor of the income to apply, two conditions relating to the personality of the beneficiary of the said income must be simultaneously fulfilled under the very terms of the aforementioned Article 21.

It is necessary:

• Whether it is a natural person;
• That this natural person has the nationality of the Contracting State from which the remuneration comes.

It follows that the public remuneration and pensions paid to a person not possessing the nationality of the State from which they originate are taxable, not under the conditions provided for by Article 21 above-mentioned, but in accordance with the provisions of the Convention applicable to the generality of private salaries and pensions.