Credit Agricole/Britline Paying 4.50% for 1 Year Term Less Fees

[Freelance]

It might be worth mentioning that the Livret A is subject to 30% tax for non residents. The 30% tax is not deposit interest tax but rather a different tax type. Hence, it seems to not be deductible against your Irish DIRT liability.

@Lightning. I can't find a reference anywhere to Livret A being taxed in the case of Non Residents. When I was researching it, I found a lot of this kind on language floating around:

Britline: Interest paid is tax free for French residents. It is the responsibility of non-residents to declare any interest earned to their local tax authorities.

and

Patrimea: What is the taxation of the livret A for a non-resident?
Booklet A is a totally tax-free investment. The remuneration of this investment, i.e. the interest received, is exempt from income tax and social levies. Thus, you do not have to include on your tax return in France the income received from your livret A.

However, it is not excluded, according to the tax treaties between France and the country of residence of the investment holder, that a tax is due on the interest collected in the so-called country of residence.

Which could be said to be slightly misleading, but it definitely doesn't say that it will be taxed in France. As an Irish tax resident I fully accept that it will be liable to DIRT in Ireland.

 

[Freelance]

Also worth mentioning that the Livet A rate is now fixed at 3% until Jan 2025.

It may not be worth the trouble of setting up a Livret A on it's own, but having gone through the motions of setting up a French Current Account and DAT Quattro, it appeared to make sense to me to open one of these as well. After all it's not often you come by a Government guaranteed demand deposit account offering 3%, even if the max balance is €22,950.

 

[Freelance]

Just wondering if you cancelled your cards so the monthly current account fee is just 1 euro and if so how that went?

No. The "vibe" was that they "expected" one of the packages "Essential" or "Premium" to be selected. I sensed that there would be push back if I started arguing the fine print of the charging booklet. As I stand to make over €5k before DIRT, I decided to overlook the issue for now, especially as the Premium package is currently being offered with a 50% reduction in year 1.

For the purposes of the Best Buy thread I think the following statement would cover this "Current account mandatory with this product. One of two current account packages must be chosen, either "Premium" which costs €183.60/year or "Essentiel" which costs €109.80/year."

 

[Lightning]

Thanks for the correction on the 30% tax. Very strange that I can see multiple posters mention this on Reddit. Maybe there is confusion with other taxes as suggested above or maybe it is an old tax. Anyways, great that the Livret A is not taxed for non residents bar normal DIRT.

I will add the Livret A (and the associated fees) to the best buys later.

Understood that reducing the fees to 1 euro per month is far from easy and most people will need to pay the current account fees you mention. I will make that clear later too.