2022-10-20 22:00:00
Considering article 34-1 of the Constitution,
Having regard to the convention between the Government of the French Republic and the Government of the Grand Duchy of Luxembourg for the avoidance of double taxation and the prevention of tax evasion and evasion with respect to taxes on income and on wealth signed on March 20, 2018,
Having regard to the amicable agreements between the competent authorities of France and Luxembourg concerning cross-border workers in the context of the fight once morest the spread of covid-19 approved on July 16, 2020, August 27, 2020, December 7, 2020, March 10, 2021, 15 June 2021, September 23, 2021 and December 13, 2021,
Having regard to Regulation (EC)
Having regard to Regulation (EC)
Considering that the aforementioned tax agreement concluded between the Government of the French Republic and the Government of the Grand Duchy of Luxembourg allows French cross-border workers to telework for a maximum of 29 days per year from France for an employer established in Luxembourg without the related remuneration is taxed in France and without the social security contributions being collected directly by France;
Considering that this ceiling is clearly not adapted to the number of French cross-border workers employed in Luxembourg, of the order of 100,000, which entails a considerable number of daily journeys which clog the rail and road transport infrastructures, which are not adapted to such a flow;
Considering that beyond the annual ceiling of 29 days, Luxembourg companies must draw up pay slips and French social declarations separately and, therefore, have recourse to a specific manager, which is a source of complexity, which dissuades them from developing teleworking those of their employees who are cross-border workers;
Considering that in terms of telework, this leads, within Luxembourg companies, to create discrimination between cross-border workers and others;
Considering also that the possible passage of the reference threshold, from 29 to 34 or 50 days, will only partially resolve this difficulty;
Considering that the above-mentioned amicable agreements between France and Luxembourg stipulated that the period of health crisis following the covid-19 epidemic should be considered as a case of force majeure justifying that the days worked by a cross-border worker in his State of residence are not taken into account for the calculation of this ceiling;
Considering that these measures following the covid-19 epidemic have shown that the application of the simplified tax regime governing telework reduced by at least 25% the number of daily trips by cross-border workers between France and Luxembourg;
Considering, however, that, for lack of renewal by the deadline of June 30, 2022, these measures ceased to be applied on that date and that the French cross-border workers concerned lose, since then, the benefit of the stipulations of the agreement drawn up with a view to avoiding double taxation;
Considering that this 29-day ceiling, the insufficiency of which was already evident before the health crisis, appears more than ever to be totally disconnected from today’s environmental, economic and social issues, as well as from the expectations of our fellow citizens , as evidenced by the success of a petition organized in Lorraine asking that cross-border workers in Luxembourg be able to use the simplified teleworking scheme two days a week;
Considering that a ceiling of the order of 90 days per year, both for taxation and for social security contributions, corresponding to approximately two days of teleworking per week, would make it possible, in compliance with the logic of cross-border work, to preserve the environment by avoiding unnecessary travel, improving the living conditions and productivity of cross-border workers using telework and also improving the transport conditions of other cross-border workers by reducing congestion on motorways and railways;
Considering that, in order to produce its positive effects with regard to social security contributions, such a measure should be accompanied by an adaptation of the regulations (EC)
Finally, considering that the Government has always been reluctant to relax the tax regime for teleworking and that it is still currently trying to save time by simply considering replacing the withholding tax with a direct payment which would continue to weigh on cross-border workers (as evidenced by a videoconference of September 2, 2022 with Moselle parliamentarians);
Request to the Government:
1° With regard to the tax aspect, to initiate without delay the process of modifying the Franco-Luxembourg tax treaty in order to increase from 29 to 90 the maximum number of days per year that cross-border workers in Luxembourg can work remotely under the simplified regime;
2° To support with the European Union a system allowing cross-border workers to telework for up to 90 days a year without this inducing a change in the determination of the State to which their social security contributions must be paid;
3° With regard to social security contributions, to accept that the number of days that French cross-border workers can telework without there being any need to pay social security contributions in France always corresponds to the maximum authorized by the Union European Union, i.e., as of today, 25% of their working time and, eventually, 90 days.
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