FAQ - USA - Miscellaneous
Miscellaneous (fraudulent email, exchange rate, Foreign tax credit etc.)
1 - How to report an erroneous taxation?
If you notice a taxation error, you can address a complaint to the tax center which established the taxation (the address of this center is on the tax statement). The deadline to file a complaint is:
- for local taxes : December 31 of the year following the date of "mise en recouvrement" indicated on the assessment form ;
- for other tax matters: December 31 of the second year following the date of "mise en recouvrement" indicated on the assessment form.
2 - My French wages (or pension ) are taxable in the United States. How do I convert its amount into dollars?
To convert a remuneration or a pension from euros into dollars, you must use the exchange rate of the day of payment. The source of this exchange rate has to remain the same. You should be able to justify it with the IRS for regular income, such as compensation or pensions. You can use for example the average rate of the Trésorerie of the French Embassy.
For the US dollar:
- 1 $ = 0.7534 € - 1 € = 1.3273 $ in 2010.
- 1 $ = 0.7195 € - 1 € = 1.39 $ in 2011.
- 1 $ = 0.7826 € - 1 €= 1.2778 $ in 2012.
- 1 $ = 0.7563 € - 1 € = 1.32 $ in 2013.
- 1 $ = 0.7509 € - 1 € = 1.33 $ in 2014.
- 1 $ = 0.9043 € - 1 € = 1.1058 $ in 2015.
3 - I received an email from the French tax administration but I have doubts on the true origin of this email.
The French tax administration is regularly informed of the fraudulent use of its identity. Some taxpayers receive emails or letters or even phone calls from ill-intentioned people promising the refund of some taxes or providing, for a cost, services that are provided automatically and for free by the French tax administration. The French tax administration recommends you to be careful and provides some security tips. As a general rule, the French tax administration recommends that you never provide personal information by email or on the phone, especially not your credit card number. Those demands could be:
• Fraudulent emails (“phishing”). The phishing method is used to mislead users in order to defraud them of money. It consists in sending messages (emails) impersonating government or large organizations and asking the user to provide personal information, including credit card number. These emails may appear as messages from the tax authorities. The message has very often the header or the signature of the French tax administration. It asks users to provide their credit card number or complete their personal details. The recipient is often invited to connect to an online form, imitating the www.impots.gouv.fr website, this in order to obtain a tax refund. These emails are fake. The tax administration is not responsible for these items. The credit card number is never asked for a tax refund or a tax credit, or to complete your personal details.
What if you receive an email like this?
- Do not answer this email.
- Do not click on the provided link (it can redirect you to a fake website).
- Delete this message from your inbox.
• Postal mail containing a commercial proposal. It is very often to offer an entrepreneur a listing on Intra-Community National Registry against payment (send a check), while assigning an intra-community VAT number by administration is free and automatic;
• Phone calls from people pretending to be agents of the French tax administration, asking taxpayers to provide their bank details for a refund, but the credit card number is never required for the payment or repayment of a tax credit.
If you are contacted in this way, do not hesitate to take the name of your contact, to call the personal income tax or corporate tax service you depend on, and ask to speak to that person. Do not call the phone number that they gave you. In case of doubt on the authenticity of a postal or electronic mail or a phone call pretending to come from the French tax administration, contact your French tax service (you will find contact information here).
4 - How to benefit from the “foreign tax credit” ?
Individuals who are residents of the United States for tax purposes and who receive income from foreign sources to be reported in the United States that is already subject to taxation in the source state must apply for a foreign tax credit to eliminate the double taxation.
This request must be made through US tax form "1116 Foreign Tax Credit". This Form 1116 must be attached to the income tax return.