Aufrufe
vor 3 Monaten

CONVINUS Global Mobility Alert - Week 51.2024

  • Text
  • Pernod
  • Convinus
  • Switzerland
  • Schweiz
  • Frankreich
  • Frau
  • Payroll
  • Pharma
  • Swiss
  • Schweizer
  • Global
  • Mobility

BEST PRACTICEOperating

BEST PRACTICEOperating siteSince Ms Pernod carries out her activities in France for the Swiss company, there is a fundamentalrisk that France will regard the performance of these activities as the establishment of a permanentestablishment. However, due to Mrs Pernod's position as an internal controller, a possiblepermanent establishment risk is generally low. Nevertheless, this is an issue that should always beclarified in advance.RemunerationOne of the relevant mandatory legal provisions stipulates that the wage level in France must beobserved. As the salary level in Switzerland is generally higher than in France, this does not usuallypose a problem in this context. However, it must be checked in France whether there are certaintypes of remuneration such as Christmas bonuses, holiday pay and 13th month's pay. If this is thecase, this would have to be considered when determining Mrs Pernod's remuneration.The travel and accommodation costs in Switzerland for the working days in Switzerland must alsobe regulated. These costs cannot be regarded as travelling expenses and the reimbursement ofcosts by the employer is taxable in Switzerland.TaxesSince Mrs Pernod works more than 40% of her working hours in France and does not qualify as across-border commuter, all non-Swiss working days are taxable in France. The Swiss working days,however, are subject to Swiss withholding tax. BAS Pharma AG would have to settle the effectiveSwiss working days with the withholding tax office monthly.Social securityAs Mrs Pernod performs more than 49.9% of her work in France, which is Mrs Pernod's country ofresidence, she is subject to French social security contributions. The insurance coverage includes allbranches of insurance as well as the entire earned income at BAS Pharma AG. In accordance withFrench law, the contributions are divided between the employee and the employer.Social insurance also includes accident insurance and health insurance. Accordingly, the continuedpayment of wages in the event of an accident or illness must also be regulated in accordance withFrench law.6convinus.com

BEST PRACTICEPayrollA shadow payroll is required in France for the settlement of French social security contributionsand possibly also French tax. The information from the shadow payroll must then also beincorporated into the Swiss payroll, which can also be referred to as the "main payroll". Payment toMrs Pernod will be made via the payslip created from the Swiss payroll after the French socialsecurity contributions and taxes as well as the Swiss taxes have been deducted from the grossremuneration.ConclusionAs can be easily seen in this practical example, there are several aspects to be considered in thistype of employment. However, with good planning and the right set-up, this is definitely a viableoption for companies to hire qualified employees who may otherwise be impossible to find.7convinus.com

Global Mobility Alert

Newsletter

Presentations

Copyright © 2002 bis 2020 CONVINUS

google8089d691feca9268.html
[removed][removed]